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

Quick Facts

• Looking at the national averages for car insurance, Pemco offers significantly more affordable prices than Kemper
• Kemper may help you save more money -- they offer more discounts than PEMCO Insurance
• Pemco offers more affordable rates for policyholders who drive a short distance to work everyday

Kemper or Pemco: Which Company has the Cheapest Car Insurance?

So, you're thinking about switching to a new insurance policy. After all, you've seen ads from all sorts of companies offering huge savings. But exactly how much can you save by switching?

You've maybe even narrowed your search down to Kemper or Pemco as your top options, but which carrier will offer you cheaper premiums?

Looking at nationwide averages, Kemper is quite a bit more expensive than Pemco, with rates averaging $235 a month compared to just $107 with Pemco.

That being said, Pemco may not be the lowest or best option for every driver out there. Auto insurance carriers use all sorts of complex algorithms to determine prices, so depending on how old you are or where you live (among a variety of other factors), you could see wildly different rates from the ones above.

Luckily, we've broken down average premiums from both Kemper and Pemco by multiple different rate factors, so read on to find out which company is the best for you.

Kemper vs. Pemco: Average Car Insurance Rates by State

Kemper and Pemco only compete against each other in Washington, where Pemco offers the cheaper average prices. Pemco drivers tend to pay about $67 per month less on average compared to drivers who use Kemper for their insurance.

That being said, there are plenty of other factors that go into your car insurance payment than just your home state. Continue reading to see how other variables will affect your rates.

Which is the Best Company For Young Drivers?

You might already know that teen drivers normally pay a lot more for auto insurance than any group on the road. That's typically because teen drivers are statistically much more likely to cause collisions and other accidents that will result in an insurance claim.

However, that doesn't mean teen drivers can't still save money on their car insurance. For example, 18-year-old drivers pay an average of almost 55% less a month by choosing Pemco over Kemper. It's worth noting that Kemper offers insurance in 15 different states compared to Pemco's one, which can skew the average rates a bit, but the difference here is still considerable.

Even so, both companies will offer you dramatically lower premiums by the time you turn 25. For example, average prices for Kemper policyholders decrease over 55% and Pemco's premiums reduce more than 55% over that time.

Which is the Best Company for Retired Drivers?

Drivers around retirement age usually enjoy some of the most affordable auto insurance rates out there. After all, they've likely been driving for quite some time, which generally decreases their chances of collisions and other infractions that can raise prices.

When looking at Kemper and Pemco specifically, which carrier is best for retired drivers? Pemco gets the edge here, with average premiums coming in at around $91 per month compared to Kemper's $179.

Which is the Best Company for Married Drivers?

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

For single policyholders, the difference in average prices between these two carriers is significant, with Pemco premiums coming in at about half of Kemper's. The advantage for married policyholders with Pemco is also obvious, where drivers save nearly 55% per month.

Kemper or Pemco: Average Rates by Gender

Men are statistically more likely than women to get into accidents and file an insurance claim, which means they'll normally end up paying more for car insurance than women.

Women generally pay around $20 a month less than men with Kemper, and about $4 less with Pemco.

Looking at the data for each company specifically, Pemco offers the cheapest average rates for both men and women, with average prices 55% less for men and 53% cheaper for women.

Kemper vs. Pemco: 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 auto 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 bodily injury and property damage coverage for other drivers and passengers if you cause a collision) and full coverage (which usually refers to having collision and comprehensive coverages alongside what you get with a liability policy).

Looking specifically at state minimum liability insurance, Pemco has the significant edge, with average monthly premiums coming in at $62. If you want a full coverage policy with the same state minimum limits, Pemco again has the edge, with policies averaging around $152 per month to Kemper's $331.

Is Kemper or Pemco Better for Drivers with Spotty Records?

You've probably seen plenty of commercials from car insurance companies offering great prices for good drivers, but that doesn't mean people with less-than-perfect driving records can't save money, too.

You'll probably end up paying more with speeding tickets and collisions on your record, but which of these two carriers offers the lowest rates to drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Kemper for their insurance can typically expect their monthly bill to go up about 21% after getting a speeding ticket. Pemco policyholders can expect a less drastic increase of around 16%.

But Pemco tends to offer the best prices for drivers both with a ticket and with a clean record, offering premiums that are $89 and $118 less expensive, respectively, compared to Kemper.

Which Company is Best for Drivers After an Accident?

Kemper drivers who get in an accident can expect to see their prices rise by just under 35%, while those who have insurance through Pemco will see about a 25% increase.

At the end of the day, drivers who use Pemco end up with the cheaper prices after an accident, with average rates coming in at $111 compared to Kemper's $259.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single collision or speeding ticket when it comes to your car insurance bill. For example, Kemper increases average premiums by more than $100 a month -- that's nearly a 40% increase.

Pemco has the overall most affordable rates for drivers with a DUI on their records at $131 a month, but it's worth noting that Kemper's average rates come from 15 states compared to just one for Pemco, so the data may be skewed slightly.

How does Credit Score Impact Kemper and Pemco Rates?

Did you know many auto insurance companies take into account your credit score when determining prices? This isn't true for everyone (for example, Michigan and Massachusetts are two states that ban the practice entirely), but it might come into play for many policyholders.

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, drivers with good credit will often be rewarded with cheaper premiums.

Looking specifically at Pemco and Kemper, which company has the best prices for policyholders at different credit levels?

Which Company is Best for Drivers with Good Credit?

If you have great credit, Pemco will usually reward you the most. For drivers with "excellent" credit scores, Pemco comes in just under 64 more affordable. Drivers with "good" credit scores generally save around 61% with Pemco compared to average rates from Kemper.

Which Company is Best for Drivers with Bad Credit?

Pemco typically offers lower premiums than Kemper when it comes to drivers with less-than-perfect credit. Drivers with "fair" credit pay about 56% per month less with Pemco compared to Kemper, and those with "poor" scores normally save an average of around 45% monthly.

Is Kemper or Pemco 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 car 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.

For both remote workers and those taking short commutes, Pemco tends to be the less expensive option. Pemco average rates for drivers with 6,000 annual miles come in nearly $150 cheaper than Kemper. Those who drive 12,000 miles every year can expect to pay just under $150 less with Pemco over Kemper.

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

Where you live can play a pretty big role in how much you pay for auto insurance. Generally, if you live in an urban area with more cars on the road, you'll pay a little more for insurance, while the opposite is true for people in rural areas.

When comparing these two carriers side-by-side, Pemco typically comes out as the lowest option for drivers in all types of areas, no matter if they're urban, suburban, or rural.

In urban areas, Pemco's average rates are about $115 while Kemper offers premiums around $296. Drivers in suburban ZIP codes pay a monthly premium of about $119 with Pemco compared to $226 with Kemper. If you live in a rural area, you can expect to pay around $88 per month with Pemco and $182 with Kemper.

Kemper vs. Pemco Discounts

No matter why you might be in the market for a new auto 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 car insurance discounts as possible.

But where do you even start? With what seems like a million different discounts out there, it may be difficult to find all the ones you qualify for.

Luckily, we did the hard work for you and looked at all of the different discounts Kemper and Pemco offer their customers so that you can see which one can save you the most money each month.

Kemper blows Pemco away when it comes to the sheer amount of discounts available, offering 24 different discounts to Pemco's 12.

Both companies offer several of the same discounts -- like anti-theft discounts, distant student discounts, discounts for being a good student, and multi-policy discounts -- but Kemper also offers discounts for AAA, ABS, continuous insurance, and more.

On the other hand, Pemco has a few proprietary discounts of their own like employee discounts and low mileage discounts.

Final Thoughts: Is Kemper or Pemco Best for You?

So, we've broken down the average prices for many of the factors insurance carriers look at, and walked through the different discounts each company offers, too. But, when it comes down to it, is Kemper or Pemco the best fit for you?

Pemco might be best for you if....

• You have a clean record.
• You have above-average credit.
• You want to save money while purchasing auto insurance for a teenager.

Kemper might be best for you if...

• You already have plans to move to another state -- PEMCO Insurance is only available in Washington.
• You care about discounts (Kemper offers the most).

Hopefully, this guide helps you get a good idea of the differences between Kemper and Pemco and that you can now make a more informed 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 insurance policy is to compare quotes from multiple companies, not just Kemper and Pemco. Luckily, sites like Compare.com do all the hard work for you. Just enter your ZIP code below and get multiple free quotes from some of the best auto insurance carriers in your area, all in just a few minutes.

Kemper vs. Pemco FAQs

Is Kemper or Pemco cheaper?

Pemco is the more affordable of the two companies when looking at national average rates, with policies averaging $107 a month with Pemco and $235 for Kemper. Even so, that doesn't mean Pemco will be the cheapest carrier for each driver, since there are lots of different variables that come into play when it comes to your car insurance bill.

Who is better, Kemper or Pemco?

Sadly, the only answer we can give you is "it depends.". No one company is "better" for every policyholder -- it all boils down to your unique insurance profile.

Why do Kemper and Pemco offer me different rates?

Auto insurance carriers use a lot of different factors when calculating the premiums they charge. Things like your driving record, gender, where you call home, age, and sometimes even things like your credit score can all come into play. Both Kemper and Pemco calculate prices differently, so it's likely they'll offer different premiums. The best way to determine which carrier is the most affordable for you is by comparing personalized quotes from a variety of different companies.

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

The only way to find the insurance company that's right for you is by getting quotes from several carriers 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 quotes from dozens of your local top car insurance companies for free. With those, you can guarantee you're getting the best price. And maybe you'll find that the best carrier for you isn't Kemper or Pemco 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.