Farmers Mutual vs. Kemper: Which Company is the Best Fit for You?

Quick Facts

• Based on national averages for car insurance, Farmers Mutual offers significantly more affordable rates than Kemper
• Farmers Mutual has less expensive premiums for drivers with a DUI
• Kemper may help you save more money -- they offer more discounts than Farmers Mutual

Farmers Mutual or Kemper: Which Company has the Cheapest Car Insurance?

Are you considering a new insurance policy? You've probably seen commercials and billboards from companies offering big savings, but exactly how much money can you save by switching?

You've maybe even narrowed your search down to Farmers Mutual or Kemper as potential options, but between the two, which company will save you the most?

Looking at the national average rates for both carriers, Kemper has average rates that are around 60% a month more expensive than those from Farmers Mutual.

That being said, that doesn't necessarily mean Farmers Mutual will be the cheaper option for every driver. Insurance companies vary their prices depending on things like where you live, how clean your driving record is, how old you are, how good your credit score is, and tons of other factors. So, at the end of the day, premiums from every carrier will differ quite a bit from person to person.

So, if you want to find out which of Farmers Mutual or Kemper is really the best for you, keep reading to see average rates for each company broken down by a variety of different rate factors.

Farmers Mutual vs. Kemper: Average Car Insurance Rates by State

Farmers Mutual and Kemper only compete against each other in one states, with Farmers Mutual offering less expensive prices to the average driver in all of them. South Dakota has the most noticable difference, where Farmers Mutual premiums are $71 cheaper than car insurance rates at Kemper.

That being said, there's a lot more that goes into your auto insurance cost than just your home state. Read on to learn more.

Which is the Best Company For Young Drivers?

Young drivers -- especially teens -- generally pay a lot for car insurance compared to older drivers. That's normally because teen drivers are statistically much more likely to get into accidents since they have less experience on the roads.

But that doesn't mean that teen drivers have to just accept sky-high auto insurance premiums. For example, 18-year-old drivers pay an average of over 60% less per month by choosing Farmers Mutual over Kemper.

However, with both carriers, you'll see your prices drop significantly once you turn 25. For example, average rates for Farmers Mutual policyholders lower more than 50% and Kemper's premiums reduce over 55% over that time.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll usually enjoy the lowest insurance prices out there. You've been on the road for years, and all that experience pays off when it comes to your monthly rates for auto insurance.

So, which carrier offers the best prices to retired drivers? Farmers Mutual gets the edge, with rates for drivers 65 and older $118 more affordable than the national average for Kemper.

Which is the Best Company for Married Drivers?

Did you know that insurance premiums are typically more expensive for single drivers than they are for married policyholders? That's normally because married drivers tend to own and insure multiple vehicles, which can often earn you a discount.

For those who are single, the difference in average rates between these two companies is significant, with Farmers Mutual premiums coming in at about a third of Kemper's. For married couples, the advantage is clear again - Farmers Mutual has the edge when it comes to average prices.

Farmers Mutual or Kemper: Average Rates by Gender

Men generally pay more for car insurance than women. This is because men are statistically more likely than women to get into collisions and file an insurance claim, which leads to increased risk for insurers and, therefore, higher premiums.

With Farmers Mutual, men typically pay almost 10% more a month than women., and nearly 10% with Kemper.

Looking at the data for each company specifically, Farmers Mutual offers the cheapest average prices for both men and women, with average rates $150 less for men and $139 cheaper for women.

Farmers Mutual vs. Kemper: Compare State Minimum vs. Full Coverage Rates

*State minimum value indicates liability-only policies at each state's minimum bodily injury and property damage (BI/PD) limits

**Full coverage indicates state minimum BI/PD limits with collision and comprehensive coverages added to policy.

For most people, insurance can be pretty complicated. There are several different coverages that account for many different things. Some protect you and your car, while others only provide coverage for other people's property and health if you cause a collision.

Even so, most policies end up falling into two different types of coverage -- liability coverage (which covers the other party's injuries and property damage if you cause an accident) and full coverage (which includes two additional coverages -- collision and comprehensive -- in addition to what you get with liability coverage).

Looking specifically at state minimum limits for liability insurance, Farmers Mutual has the significant edge, with average monthly prices coming in at $32. If you want a full coverage policy with the same state minimum limits, Farmers Mutual again has the edge, with policies averaging around $147 per month to Kemper's $331.

Is Farmers Mutual or Kemper Better for Drivers with Spotty Records?

It's no secret -- drivers with good records end up getting the best deals on their car insurance. But that's not to say you can't save money if you don't have the best driving record, either.

It's no secret secret that speeding tickets and accidents lead to higher rates, but which carrier -- Farmers Mutual or Kemper -- has the most affordable premiums for drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Farmers Mutual for their auto insurance can usually expect their monthly bill to go up about 8% after getting a speeding ticket. Kemper policyholders can expect a bit more drastic of an increase of around 21%.

But Farmers Mutual tends to offer the best prices for both drivers who have a recent ticket and those with clean records. With Farmers Mutual, drivers with a clean record can save about $104 a month and drivers with a speeding ticket can save around $143 per month.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their car insurance through Farmers Mutual can expect to see about an $16 -- or around 19% -- rise in their auto insurance rates. Drivers who use Kemper for their insurance will see a monthly bill about $85 (or 33%) more expensive after reporting a collision to their car insurance company.

At the end of the day, Farmers Mutual offers the lowest premiums for drivers with an at-fault collision on their records, with average prices coming in at $86 compared to Kemper's $259.

Which Company is Best for Drivers with a DUI?

If you get a DUI charge on your record, it's probably going to cost you more than a simple ticket or even an accident. For example, Kemper increases average rates by more than $100 a month -- that's nearly a 40% increase.

How does Credit Score Impact Farmers Mutual and Kemper Rates?

Did you know many insurance carriers take into account your credit score when determining prices? Certain states and companies do not allow for credit score to be used as an insurance factor, but it will come into play for many drivers.

Auto insurance carriers argue that someone with good credit is more likely to pay their bills on time, which makes them less risky to insure. Because of that, policyholders with good credit will often be rewarded with cheaper premiums.

Looking at Farmers Mutual and Kemper specifically, which carrier has the cheapest prices for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is Farmers Mutual or Kemper Better for Drivers who Work from Home or Have Short Commutes?

The amount of time you spend behind the wheel of your car plays a big role in how much insurance companies will charge for coverage. That's because the more milage you drive, the more likely you are to be in a collision and file an insurance claim.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Farmers Mutual charges. However, there's a small difference in monthly rates for Kemper, with policyholders who drive the least paying around $1 less each month compared to those who drive 12,000 miles annually. Still, for drivers in both categories, Farmers Mutual is the more affordable carrier.

Farmers Mutual or Kemper: Compare Rates for Urban, Suburban, and Rural Drivers

Where your home is can have a sizable impact on your monthly car insurance bill. Typically, if you live in a rural area with fewer cars on the road, you'll pay a little less for auto insurance, while the opposite is true for people in urban areas.

Farmers Mutual boasts the lowest average premiums for drivers in all areas, regardless of if they're urban, suburban, or rural.

If you live in a rural area, you can expect to pay about $90 monthly with Farmers Mutual and $182 with Kemper. Drivers in suburban ZIP codes pay around $87 with Farmers Mutual compared to Kemper's $226 per month. In urban areas, Farmers Mutual's average prices are about $93 while Kemper offers premiums around $296.

Farmers Mutual vs. Kemper Discounts

No matter why you might be in the market for a new insurance policy, you're always going to want to save as much money as you can, and the best way to do that is by utilizing as many auto insurance discounts as possible.

But with what seems like a million different discounts out there, it can be difficult to find all the ones you can take advantage of or to nail down the company that has the most discounts for your unique driver profile.

Luckily, we did the hard work for you and broke down all of the different discounts offered by both Farmers Mutual and Kemper so that you can find the one that has the most discounts and, therefore, the largest savings.

Kemper knocks Farmers Mutual out of the park when it comes to the sheer number of discounts available, offering 17 more discounts than Farmers Mutual.

A couple of those are overlapping for things like discounts for getting driver training, discounts for being a good student, and multi-policy discounts. Kemper also offers discounts for AAA, ABS, advance quote, and more.

On the other hand, Farmers Mutual has a proprietary discount of their own -- a secondary vehicle discounts.

Final Thoughts: Is Farmers Mutual or Kemper Best for You?

You've seen the effect certain variables have on your car insurance and the different discounts carriers offer. That's all well and good, but when it comes down to it, which insurance carrier is the right company for you and your specific needs?

Farmers Mutual might be best for you if....

• You haven't received any speeding tickets or been in an accident in the last few years.
• You're looking for the best rates on liability only coverage.
• You have a short commute.

Kemper might be best for you if...

• You already have plans to move to another state -- undefined only offers policies in.
• You care about discounts (Kemper offers the most).

Hopefully, this guide helps you get a better idea of the difference between Farmers Mutual and Kemper. We also hope we've given you the information you need to make the best decision about your insurance.

But, at the end of the day, there's only one way to know for sure that you're getting the best possible deal on auto insurance -- comparing quotes from a handful of companies, not just Farmers Mutual and Kemper. Luckily, sites like Compare.com do all the hard work for you. Simply enter your ZIP codes below and get multiple free quotes from some of the best car insurance carriers in your area, all in just a few minutes.

Farmers Mutual vs. Kemper FAQs

Is Farmers Mutual or Kemper cheaper?

Farmers Mutual is the less expensive of the two companies when looking at national average prices, with policies averaging $90 per month with Farmers Mutual and $235 for Kemper. Even so, that doesn't mean Farmers Mutual will be the most affordable company for every driver, since there are multiple different factors that are considered when it comes to your auto insurance payment.

Who is better, Farmers Mutual or Kemper?

Unfortunately, the real answer is "it depends.". No one carrier is necessarily "better" for each policyholder -- it all boils down to your unique insurance profile.

Why do Farmers Mutual and Kemper offer me different rates?

Car insurance carriers use quite a few different variables when calculating the premiums they charge. Things such as where you park your car, where you live, gender, age, and sometimes even things like your credit score can all come into play. Both Farmers Mutual and Kemper use different formulas, so it's likely they'll offer different rates. The best way to determine which company is the cheapest for you is by comparing personalized quotes from lots of different companies.

How do I know if Farmers Mutual or Kemper is right for me?

The only way to find the auto insurance carrier that's right for you is by getting quotes from multiple carriers and finding the one best suited for your individual budget. Luckily, sites like Compare.com make it easy for you to do just that. Just enter your area information and you'll get quotes from dozens of your local top insurance companies for free. That way, you can guarantee you're getting the best price. And maybe you'll find that the best company for you isn't Farmers Mutual or Kemper at all, but another you hadn't even thought of!

Methodology

All of the data referenced in this article has been gathered in collaboration with Quadrant Information Services. We analyzed more than 2.5 million rows of carrier-reported data to calculate the average rates referenced above. All rates are based on an insurance profile of a single-vehicle policy for a driver that owns a 2016 Honda Accord. For more information on how we calculate rates, please reference our data methodology.