GEICO vs. North Star Mutual: Which Company is the Best Fit for You?

Quick Facts

• Looking at the national averages for car insurance, North Star Mutual offers slightly cheaper prices than GEICO
• GEICO tends to be a much less expensive option for residents of rural areas
• North Star Mutual has cheaper rates for policyholders who may not have much of a commute

GEICO vs. North Star Mutual: Which Company has the Cheapest Car Insurance?

Are you in the market for a new insurance policy? After all, you've seen ads from all sorts of companies offering large discounts. But exactly how much can you save by switching?

You might have narrowed your search down to GEICO or North Star Mutual for your next policy, but which company has more affordable premiums for insurance?

Looking at nationwide averages, North Star Mutual is about $5 per month less expensive than GEICO.

However, that doesn't mean North Star Mutual will necessarily be more affordable than GEICO for every driver. Car insurance companies use all sorts of complex algorithms to calculate rates, so depending on how good your credit score is or how old you are (among several other factors), you could see wildly different prices from the ones above.

Luckily, we've broken down average rates from both GEICO and North Star Mutual by a bunch of different rate factors, so read on to find out which company is the best for you.

GEICO or North Star Mutual: Average Car Insurance Rates by State

GEICO and North Star Mutual compete against each other in four states, with North Star Mutual offering cheaper premiums to the average driver in all of them. If you live in Nebraska or South Dakota, GEICO is the less expensive of the two carriers when looking at the overall average prices. North Star Mutual is the more affordable option in Minnesota and North Dakota.

That being said, there's a lot more that goes into your insurance bill than just where you live. Keep reading to learn more.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive auto insurance premiums of any other group of drivers. That's generally because young, inexperienced drivers are statistically much more likely to get into an accident that results in a car insurance claim, making them much riskier to insure.

That being said, that doesn't mean teen drivers can't still save money on their car insurance. Just look at the table above -- where 18-year-old drivers who have North Star Mutual for their auto insurance pay more than $35 less than those who use GEICO.

Even so, both companies will offer you dramatically lower rates by the time you turn 25. For example, average prices for GEICO policyholders lower over 55% and North Star Mutual's premiums decrease more than 50% over that time.

Which is the Best Company for Retired Drivers?

When it comes to insurance, patience and experience pay off, with drivers around retirement age paying some of the lowest rates you can find.

So, which carrier offers the best prices to retired drivers? North Star Mutual gets the slight edge here, with average rates coming in at around $144 per month compared to GEICO's $148. But the difference is only about 5%, so other factors (such as your credit score or where you live) will likely come into play when determining which company has the most affordable prices for you.

Which is the Best Company for Married Drivers?

You may not be aware, but car insurance premiums tend to be more expensive for those who are single than they are for married drivers. That's usually because married policyholders tend to own and insure several cars, which can often earn you a discount.

When it comes to relationship status, North Star Mutual is the winner for single policyholders, with rates around $9 a month cheaper than GEICO, on average.

GEICO vs. North Star Mutual: Average Rates by Gender

Men are statistically more likely than women to get into an accident or get pulled over for speeding, which means they'll typically end up paying more for auto insurance than women.

On average, men see premiums about 4% per month higher with GEICO, and around 2% more with North Star Mutual.

Looking at the data for each carrier specifically, North Star Mutual offers the cheapest average prices for both men and women, with average rates $7 less for men and $3 cheaper for women.

GEICO or North Star Mutual: 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 so many different coverages and terms that it can make it pretty confusing to find the right policy.

The two most common policies that many drivers look at fall into two categories -- liability only (which provides property damage and bodily injury coverage for other drivers if you cause a collision) and full coverage (which normally refers to having comprehensive and collision coverages alongside liability).

In this case, North Star Mutual offers the lowest average premiums for state minimum liability insurance, while GEICO has the edge for full coverage policies with similar coverage limits. Drivers looking for basic state minimum coverage can save around $35 with North Star Mutual, while full coverage comes out to be about $25 less expensive with GEICO.

Is GEICO or North Star Mutual Better for Drivers with Spotty Records?

It's no big secret that drivers who are accident-free get better deals on their auto insurance. But even if you have a spotty record, you can still find plenty of ways to save some cash on your monthly bill.

You'll probably end up paying more with at-fault accidents and tickets on your record, but which of these two carriers offers the most affordable prices to drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

GEICO policyholders can expect their premiums to go up an average of $35 a month if they get a ticket, while North Star Mutual typically raises rates around $44 per month, on average.

However, North Star Mutual is generally the cheaper option for drivers both with clean records and with a speeding ticket, offering prices that are 12% and 3% less expensive, respectively, compared to GEICO.

Which Company is Best for Drivers After an Accident?

GEICO policyholders who get in an accident can expect to see their rates rise by $85, while those who have insurance through North Star Mutual will see about a $75 increase.

Overall, the more affordable premiums come from North Star Mutual, with monthly prices averaging $174 compared to GEICO's $200.

Which Company is Best for Drivers with a DUI?

If you get a DUI charge, you can expect some pretty significant increases in your monthly car insurance bill -- usually a lot more than a collision or ticket. North Star Mutual drivers usually see a 66% increase in their insurance premiums after a DUI charge, while GEICO will normally climb prices by around 58%.

If you have a DUI on your record and are looking for more affordable rates, GEICO tends to be the much cheaper option with average premiums of $275 a month compared to $299 from North Star Mutual.

How does Credit Score Impact GEICO and North Star Mutual Rates?

Did you know that many car insurance companies take your credit score into account when calculating rates? This isn't always the case (for example, Hawaii and California are two states that ban the practice entirely), but it does affect many drivers out there.

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 more affordable prices.

Looking at GEICO and North Star Mutual specifically, which one has the best rates for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

If you have a great credit score, you'll usually find a better deal with GEICO for an "excellent" credit score. Policyholders with "excellent" credit can save 4% compared to North Star Mutual, while those with "good" scores can expect to see better savings from North Star Mutual -- about $12 or 7% less expensive than GEICO each month.

Which Company is Best for Drivers with Bad Credit?

North Star Mutual typically offers lower premiums than GEICO when it comes to drivers with less-than-stellar credit. Drivers with "fair" credit pay around $18 a month less with North Star Mutual compared to GEICO, and those with "poor" scores generally save an average of about $1 monthly.

Is GEICO or North Star Mutual Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a considerable impact on your monthly insurance payment. Normally, the more miles you drive, the more you can expect to pay for auto insurance.

As you can see in the table above, annual mileage doesn't have much of an impact on how much North Star Mutual charges. However, there's a small difference in monthly prices for GEICO, with drivers who put 6,000 miles on their vehicle annually paying around $8 less every month compared to those who drive 12,000 miles yearly. Still, North Star Mutual is the cheaper option for drivers in both categories.

GEICO vs. North Star Mutual: Compare Rates for Urban, Suburban, and Rural Drivers

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

When comparing these two companies side-by-side, North Star Mutual typically comes out as the more affordable option for drivers in urban and suburban areas, while GEICO wins in rural areas.

If you live in a rural area, you can expect to save about 4% with GEICO compared to North Star Mutual. Drivers in suburban ZIP codes pay around 11% less with North Star Mutual compared to GEICO. In urban areas, North Star Mutual's average premiums are about 1% less than GEICO.

GEICO vs. North Star Mutual Discounts

You want to save as much money as possible, right? The best way to do that is by taking advantage of as many auto insurance discounts as you can.

The hard part is finding all of the discounts you're eligible for, since it can feel sometimes like every company has different discounts and each one is advertised differently.

In the table below, we've taken a look at all of the different discounts GEICO and North Star Mutual offer their customers so that you can find the company that has the most discounts and, therefore, the biggest savings.

GEICO knocks North Star Mutual out of the park when it comes to the sheer number of discounts available, offering 28 different discounts to North Star Mutual's six.

There are a couple discounts both carriers offer, but GEICO also offers ABS discounts, commercial drivers license discounts, COVID-19 relief discount, and more that North Star Mutual does not.

On the flip side, North Star Mutual has a unique discount of its own -- a family discounts.

Final Thoughts: Is GEICO or North Star Mutual Best for You?

You've seen the effect certain variables have on your car insurance and the different discounts companies offer. But, at the end of the day, which carrier is the best one for you and your specific profile and needs?

North Star Mutual might be best for you if....

• You like the personalized touch of a small, local company.
• You want basic insurance coverage at the state minimum limits.
• You drive often but have a short commute.

GEICO might be best for you if...

• You already have plans to move to another state -- North Star Mutual is only available in four states.
• You're looking for the carrier with the most discounts.
• You live in a rural neighborhood.

We hope this guide helps you get a good idea of the differences between GEICO and North Star Mutual. We also hope we've given you the information you need to make the best decision when it comes to your car insurance.

At the end of the day, the sure-fire way to make sure you're getting the best deal on your auto insurance policy is to compare quotes from multiple carriers, not just GEICO and North Star Mutual. Luckily, Compare.com makes it easy for you to do just that. Simply enter your ZIP code below and get free quotes from dozens of the top insurance companies in your area, all in just a few minutes.

GEICO vs. North Star Mutual FAQs

Is GEICO or North Star Mutual cheaper?

Looking just at the national average rates, North Star Mutual is the less expensive of the two carriers, offering average rates of $180 per month compared to $185 for GEICO. That being said, North Star Mutual won't necessarily be the lowest company for each driver, since there are many different factors that come into play when it comes to your auto insurance payment.

Who is better, GEICO or North Star Mutual?

Unfortunately, the real answer is "it depends.". Neither carrier is "better" for every driver -- it all comes down to what your unique car insurance profile looks like.

Why do GEICO and North Star Mutual offer me different rates?

Insurance companies take a look at lots of different variables when determining the prices they charge drivers. Factors like your driving record, age, where you call home, gender, and sometimes even things like your credit score can all be taken into consideration. Both GEICO and North Star Mutual use different formulas, so each one will most likely offer different premiums. The only real way to see which company is the cheapest for you is by comparing personalized quotes from several different carriers.

How do I know if GEICO or North Star Mutual is right for me?

The only way to find the auto insurance carrier that's right for you is by getting quotes from several companies and finding the one best suited for your individual budget. Luckily, Compare.com does all the hard work for you. Just enter your ZIP code and you'll get free quotes from dozens of the best car insurance carriers in your area. That way, you can guarantee you're getting the best rate. And who knows, the best company for you might not be GEICO or North Star Mutual at all!

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.