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

Quick Facts

• Based on national averages for insurance, Farmers Mutual offers significantly less expensive rates than Progressive
• Farmers Mutual has cheaper premiums for drivers who have a speeding ticket on their driving record
• Progressive may help you save more money -- they offer more discounts than Farmers Mutual

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

Are you in the market for a new insurance policy? With so many ads from all sorts of companies offering huge savings, you're probably wondering exactly how much you might be able to save.

You might have narrowed it down to Farmers Mutual or Progressive for your next policy, but between the two, which carrier has more affordable prices for auto insurance?

Looking at the national average rates for both carriers, Farmers Mutual has average rates that are around 50% a month less expensive than those from Progressive.

Even so, Farmers Mutual may not be the lowest or best option for each driver out there. Insurance companies use all sorts of complex algorithms to determine premiums, so depending on how good your credit score is or how clean your driving record is (among a lot of other factors), you could see wildly different rates from the ones above.

Wanting to know if Farmers Mutual or Progressive is really the right carrier for you? Keep on reading to see how average prices can change based on all of the factors we've mentioned above.

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

Farmers Mutual and Progressive only compete against each other in two states, with Farmers Mutual offering more affordable rates to the average driver in all of them. Nebraska has the most noticable difference, where Farmers Mutual premiums are $79 cheaper than car insurance prices at Progressive.

But there's more to calculating auto insurance rates than just where you live. Read on to find out more.

Which is the Best Company For Young Drivers?

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

But still, even with seemingly sky-high premiums, teen drivers can still find ways to save money. As you can see above, teens who use Farmers Mutual save over 60% per month compared to those who use Progressive.

But both carriers will offer you dramatically lower rates by the time drivers turn 25. Progressive offers the steepest decrease, with 25-year-olds paying less than a third of what 18-year-old drivers are charged. That being said, Farmers Mutual still has the cheapest prices at $88 monthly.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll normally enjoy the most affordable car insurance premiums you'll ever find. You've been on the road for years, and all that experience pays off when it comes to your monthly rates for insurance.

So, which company offers the best premiums to retired drivers? Farmers Mutual gets the edge, with prices for drivers 65 and older $70 less expensive than the national average for Progressive.

Which is the Best Company for Married Drivers?

Did you know that car insurance premiums are usually cheaper for married couples than they are for those who are single? That's generally because married drivers tend to own and insure more than one vehicle, which can often earn you a discount.

For single policyholders, the difference in average prices between these two companies is significant, with Farmers Mutual rates coming in at about half of Progressive's. The advantage for married policyholders with Farmers Mutual is also obvious, where drivers save almost 45% a month.

Farmers Mutual or Progressive: Average Rates by Gender

Men typically pay more for auto insurance than women. That's because women are less likely to get tickets and get into collisions, which decreases the chances of filing a claim with insurance.

Men usually pay around $10 per month more than women with Farmers Mutual, and about $5 with Progressive.

When it comes to the cheapest prices for each gender, Farmers Mutual comes out as the lowest option for both genders. On average, male drivers save about $89 a month and women save around $92 with Farmers Mutual compared to the average Progressive policyholder.

Farmers Mutual vs. Progressive: 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.

It's no secret that insurance can be pretty complicated. There are so many different terms and coverages that it can make it pretty confusing to find the right policy for you.

The two most common policies end up falling into two different types of coverage -- liability coverage (which provides property damage and bodily injury coverage for other drivers if you cause a collision) and full coverage (which normally refers to having collision and comprehensive coverages alongside liability).

Looking specifically at state minimum liability insurance, Farmers Mutual has the significant edge, with average monthly premiums 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 about $147 per month to Progressive's $250.

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

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

Speeding tickets and collisions will most likely raise your rates, but is Farmers Mutual or Progressive more affordable for drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Farmers Mutual for their car insurance can generally expect their monthly bill to go up around 8% after getting a speeding ticket. Progressive policyholders can expect a bit more drastic of an increase of about 17%.

However, Farmers Mutual tends to offer the best prices for drivers both with clean records and with a ticket. With Farmers Mutual, drivers with a clean record can save around $79 a month and drivers with a speeding ticket can save about $104 per month.

Which Company is Best for Drivers After an Accident?

Both carriers will raise premiums pretty significantly if you get into an at-fault collision with Progressive climbing by around 30%. Farmers Mutual has a less extreme rise, but you can still expect to pay nearly 20% more than you were prior to your first accident.

At the end of the day, Farmers Mutual offers the most affordable rates for drivers with an at-fault collision on their records, with average prices coming in at $86 compared to Progressive's $214.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single accident or ticket when it comes to your insurance bill. For example, Farmers Mutual increases average rates by nearly $60 a month -- that's more than a 45% increase.

How does Credit Score Impact Farmers Mutual and Progressive Rates?

You may not realized it, but your credit score can be used as one of the variables to calculate your monthly car insurance premiums. This isn't true for everyone (Hawaii, for example, has banned the use of credit score as an auto insurance factor) but it does affect many drivers out there.

The reasoning auto insurance companies use is that policyholders with bad credit will be less likely to pay their bills on time; so typically, they'll be asked to pay more, while those with good credit will be rewarded with less expensive prices.

Looking at Farmers Mutual and Progressive specifically, which one has the cheapest premiums 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 Progressive Better for Drivers who Work from Home or Have Short Commutes?

Did you know that the amount of time you spend in your car have a substantial impact on your monthly insurance cost? Usually, those who drive fewer miles will end up with cheaper prices since there's less of a chance of causing an accident and filing an insurance claim.

In this case, neither Farmers Mutual or Progressive report increasing rates for drivers with higher annual mileage figures. That being said, Farmers Mutual comes out as the lowest for drivers at both intervals, whether they put 6,000 or 12,000 miles on their car every year, with average premiums of $90 per month for both.

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

Where your home is can have a sizable impact on your monthly car insurance bill. Normally, policyholders who live in less densely populated rural areas will pay quite a bit less than urban drivers since there are a lot fewer vehicles on the roads where they live.

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

For drivers in urban ZIP codes, Farmers Mutual's average prices are about $93 a month compared to Progressive's $207. Drivers in suburban ZIP codes pay a monthly price of around $87 with Farmers Mutual compared to $179 with Progressive. If you live in a rural area, you can expect to pay about $90 a month with Farmers Mutual and $154 with Progressive.

Farmers Mutual vs. Progressive Discounts

You want to save as much money as you can, right? 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 hard to find all the ones you qualify for 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 compared all of the different discounts offered by Farmers Mutual and Progressive so that you can see which company offers the most discounts and see which ones you might be able to take advantage of.

Progressive knocks Farmers Mutual out of the park when it comes to the sheer number of discounts available, offering 27 more discounts than Farmers Mutual.

Both carriers offer a lot of the same discounts -- like discounts for being a good student, multi-policy discounts, and passive restraint discounts -- but Progressive also offers discounts for ABS, advance quote, advanced safety feature, and more.

On the other hand, Farmers Mutual has a few proprietary discounts of their own like driver training discounts and secondary vehicle discounts.

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

You've seen the role certain factors have on your car insurance and the different discounts companies offer. That's all well and good, but when it comes down to it, is Farmers Mutual or Progressive the right one for you and your specific needs?

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

• You will be the only person on the insurance policy.
• Your home is in a busy urban area.
• Your neighborhood is in a rural area.

Progressive might be best for you if...

• You are considering moving to another state -- undefined only offers policies in.
• You're looking for discounts -- Progressive has the most.

Hopefully, this guide has ben a valuable resource as you compare Farmers Mutual and Progressive and that you can now make a more informed decision when it comes to your auto insurance.

At the end of the day, the sure-fire way to make sure you're getting the best deal on your car insurance policy is to compare quotes from multiple carriers, not just Farmers Mutual and Progressive. Luckily, Compare.com does all the hard work for you. Simply enter your ZIP code below and get free quotes from dozens of the top auto insurance companies in your area, all in just a few minutes.

Farmers Mutual vs. Progressive FAQs

Is Farmers Mutual or Progressive cheaper?

Farmers Mutual is the more affordable of the two carriers when looking at national average rates, with policies averaging $90 per month with Farmers Mutual and $180 for Progressive. That being said, that doesn't mean Farmers Mutual will be the lowest carrier for everyone, since there are a bunch of different variables (things like gender, age, driving record, etc.) that play a role in how much you pay.

Who is better, Farmers Mutual or Progressive?

Unfortunately, the real answer is "it depends.". No single company is necessarily "better" for each policyholder -- it all depends on what your unique insurance profile looks like.

Why do Farmers Mutual and Progressive offer me different rates?

Auto insurance companies use lots of different factors when determining the premiums they charge. Things like gender, where you live, age, your driving record, and sometimes even things like your credit score can all be used. Both Farmers Mutual and Progressive use different formulas, so it's likely they'll offer different prices. The best way to determine which carrier is the cheapest for you is by comparing personalized quotes from a variety of different carriers.

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

The only way to find the insurance company that's right for you is by getting quotes from a handful of companies 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 ZIP code and you'll get quotes from dozens of your local top car insurance carriers for free. That way, you can guarantee you're getting the best rate. And maybe you'll find that the best carrier for you isn't Farmers Mutual or Progressive 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.