Key vs. State Farm: Which Company is the Best Fit for You?

Quick Facts

• In general, State Farm offers significantly more affordable premiums than Key
• State Farm offers less expensive average prices for drivers with a DUI charge on their record
• State Farm tends to be a much more affordable option for residents of suburban areas

Key vs. State Farm: Which Company has the Cheapest Car Insurance?

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

You might have narrowed your search down to Key or State Farm for your next policy, but which carrier will offer you cheaper premiums?

As you can see, Key has average rates that are about 45% per month more expensive than those from State Farm when looking at the national average rates for insurance.

That being said, that doesn't necessarily mean State Farm will be the less expensive option for every driver. Auto insurance companies vary their rates depending on things like how good your credit score is, how old you are, where you live, how clean your driving record is, and tons of other factors, so prices could change drastically from person to person.

So, if you want to find out which of Key or State Farm is really the best for you, keep reading to see average rates for each company broken down by lots of different rate factors.

Key or State Farm: Average Car Insurance Rates by State

Key and State Farm only compete against each other in Nevada, where State Farm offers the cheaper average premiums. For Nevada residents, State Farm offers insurance for $123 per month on average. Key's average prices come out to be over 70% more expensive, at $285 a month.

But there's more to car insurance than just the state you live in. As we mentioned above, there's a lot of things that go into how auto insurance carriers calculate your rates. Continue reading to see how other factors will affect your rates.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive car insurance prices of any group out there on the road. Generally, that's because young, inexperienced drivers are statistically much more likely to cause collisions and other accidents that will result in an insurance claim.

But still, even with seemingly sky-high premiums, teen drivers can still find ways to save money. Just look at the table above -- where 18-year-old drivers who have State Farm for their auto insurance pay nearly $350 less than those who use Key.

Even so, both companies will offer you dramatically lower rates by the time you turn 25. For example, average prices for Key policyholders drop almost $450 and State Farm's premiums decrease more than $200 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 prices you'll ever find.

So, which carrier offers the best rates to retired drivers? State Farm gets the edge here, with average premiums coming in at around $111 monthly compared to Key's $223.

Which is the Best Company for Married Drivers?

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

When it comes to relationship status, State Farm is the clear winner for single policyholders, with premiums about $162 a month cheaper than Key, on average. For married policyholders, the advantage is clear again - State Farm has the edge when it comes to average prices.

Key vs. State Farm: Average Rates by Gender

Did you know women tend to pay less for insurance than men? This is because men are more likely to get speeding tickets and get into collisions, which increases the chances of an insurance claim.

Usually, men see rates around $55 per month higher with Key, while with State Farm, the difference is closer to $12 a month.

When it comes to the most affordable prices for each gender, State Farm comes out on top for both men and women, with average premiums $147 less for men and $106 cheaper for women.

Key or State Farm: 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.

Auto insurance isn't the easiest topic to understand. There are many different coverages that account for several different things. Some protect you and your vehicle, while others only provide coverage for other people's property and health if you cause an accident.

But the most common policies that many drivers look at fall into two categories -- liability only (which covers the other party's property damage and injuries if you cause a collision) and full coverage (which includes comprehensive and collision coverages that protect your own vehicle, alongside liability coverage).

If you're looking for state minimum liability limits, State Farm normally offers significantly more affordable rates of $99 compared to Key's $196. When it comes to full coverage policies with similar limits, State Farm again has the edge, with policies about $150 per month less expensive than Key, on average.

Is Key or State Farm Better for Drivers with Spotty Records?

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

It's no secret secret that tickets and at-fault accidents lead to higher premiums, but which company -- Key or State Farm -- has the lowest prices for drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Drivers with Key auto insurance policies don't report seeing their premiums increase after getting a ticket, but State Farm policyholders can expect to see their monthly bill increase by around $20.

However, State Farm is usually the cheaper option for both drivers who have a recent ticket and those with clean records, offering rates that are 36% and 26% less expensive, respectively, compared to Key Insurance Company.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their insurance through Key can expect to see about an $25 -- or around 11% -- increase in their auto insurance prices. Drivers who use State Farm for their car insurance will see a monthly bill about $29 (or 18%) more expensive after reporting an accident to their insurance carrier.

Overall, the more affordable rates come from State Farm, with monthly premiums averaging $163 compared to Key Insurance Company's $235.

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 -- typically a lot more than a collision or speeding ticket. Key drivers usually see a 57% increase in their auto insurance prices after a DUI charge, while State Farm will normally raise rates by around 25%.

How does Credit Score Impact Key and State Farm Rates?

Did you know that many insurance carriers take into account your credit score when calculating prices? Certain states and companies do not allow for credit score to be used as a rating factor, but it might come into play for a lot of policyholders.

Car insurance carriers argue that those with poor credit scores are less likely to pay their bills on time each month, which increases the risk involved on their end, while the opposite is true for those with good credit.

So, which company offers the best premiums for drivers with poor, average, or good credit?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is Key or State Farm Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a sizable impact on your monthly insurance bill. That's because the more miles you drive, the more likely you are to get into an accident and cause an insurance claim.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Key charges. However, there's a small difference in monthly rates for State Farm, with policyholders who drive 6,000 miles annually paying about $13 less every month compared to those who drive 12,000 miles each year. Still, State Farm is the cheaper option for drivers in both categories.

Key vs. State Farm: Compare Rates for Urban, Suburban, and Rural Drivers

Where you call home can have a large impact on your monthly auto insurance cost. Usually, those who live in urban areas will pay more than policyholders in rural areas because there are a lot more cars on the roads in those areas.

When comparing these two companies side-by-side, State Farm generally comes out as the cheapest option for drivers in every type of area, no matter if it's urban, suburban, or rural.

In urban areas, State Farm's average premiums are around 52% less than Key Insurance Company. Drivers in suburban ZIP codes pay about 31% less with State Farm compared to Key. If you live in a rural area, you can expect to save around 46% with State Farm compared to Key.

Key vs. State Farm Discounts

Regardless of why you might be in the market for a new car insurance policy, you're always going to want to save as much money as possible. That's where auto insurance discounts comes into play.

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

Below, we've taken a look at all of the different discounts Key and State Farm offer their customers so that you can see which one can save you the most money each month.

State Farm blows Key away when it comes to the sheer amount of discounts available, offering 23 different discounts to Key's four.

There are a couple discounts both carriers offer, but State Farm also offers ABS discounts, annual mileage discounts, anti-theft discounts, and more that Key does not.

Key's discounts come through just a few categories, including Defensive Driver, Good Driving, Multi-Car, and more.

Final Thoughts: Is Key or State Farm Best for You?

So, we've broken down the average prices for many of the variables insurance companies look at, and we've shown you all the discounts each company offers. But, when it comes down to it, which insurance carrier is the best carrier for you, your vehicle, and your wallet?

State Farm might be best for you if....

• You've been pulled over for speeding recently.
• You already have a great credit score.
• You drive fewer than 12,000 miles yearly.

Key might be best for you if...

• You have a more unique driver profile than those we mentioned above.

We hope this guide helps you get a good idea of the differences between Key and State Farm and that it aids in making a more informed decision about your auto insurance.

At the end of the day, the best way to make sure you're getting the best deal on your car insurance policy is to compare quotes from several carriers, not just Key and State Farm. Luckily, Compare.com does all the hard work for you. Simply enter your ZIP codes below and get multiple quotes from some of the best insurance companies in your area, all for free.

Key vs. State Farm FAQs

Is Key or State Farm cheaper?

Looking just at the national average premiums, State Farm is the less expensive of the two carriers, offering average rates of $158 a month compared to $285 for Key. Even so, State Farm won't necessarily be the most affordable company for everyone, since there are multiple different factors that come into play when it comes to your car insurance payment.

Who is better, Key or State Farm?

Sadly, the answer truly is "it depends.". No one carrier is necessarily "better" for every driver -- it all depends on the makeup of your unique auto insurance profile. For example, State Farm offers more affordable rates for drivers with an at-fault accident on their record, while Key is less expensive for drivers who have less-than-stellar credit scores.

Why do Key and State Farm offer me different rates?

Insurance companies take a look at many different variables when determining the prices they charge policyholders. Things such as gender, where you park your vehicle, age, your driving record, and sometimes even things like your credit score can all come into play. Both Key and State Farm calculate rates differently, 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 a range of different carriers.

How do I know if Key or State Farm is right for me?

The only way to find the car insurance carrier that's right for you is by getting quotes from multiple companies and finding the one best suited for your individual budget. Luckily, sites like Compare.com do all the hard work for you. Just enter your information once and you'll get free quotes from dozens of the best 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 Key or State Farm 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.