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

Quick Facts

• Looking at the national averages for insurance, State Farm offers significantly more affordable prices than Mercury
• Mercury offers more discounts than State Farm
• State Farm offers cheaper average premiums for drivers who have received a ticket within the last few years

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

Are you considering a new insurance policy? With so many ads from all sorts of companies offering big discounts, you're probably wondering exactly how much you might be able to save.

You might have narrowed your search down to Mercury or State Farm, but between the two, which carrier will offer you less expensive rates?

Looking at nationwide averages, State Farm has average rates that are about 45% per month more affordable than those from Mercury.

Even so, State Farm may not be the most affordable or best option for every driver out there. Auto insurance companies use a variety of complex algorithms to calculate premiums, so depending on how good your credit score is or how old you are (among a variety of other factors), you could see wildly different prices from the ones above.

Luckily, we've broken down average rates from both Mercury and State Farm by a range of different rate factors, so read on to find out which company is the best for you.

Mercury or State Farm: Average Car Insurance Rates by State

Mercury and State Farm compete against each other in 11 states, with Mercury offering cheaper premiums to the average driver in all of them. If you live in, undefined is the less expensive of the two carriers when looking at the overall average prices, but State Farm is the cheaper option in most of the others.

There's a lot more that goes into your car insurance payment 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 insurance premiums of any group out there on the road. It's 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.

But that doesn't mean teen drivers can't still save money on their auto insurance. Just look at the table above -- where 18-year-old drivers who have State Farm for their insurance pay nearly $400 less than those who use Mercury.

That being said, with both companies, you'll see your rates lower significantly once you turn 25. For example, average prices for Mercury policyholders drop almost 70% and State Farm's premiums reduce nearly 60% over that time.

Which is the Best Company for Retired Drivers?

When it comes to car insurance, patience and experience pay off, with drivers around retirement age paying some of the cheapest rates you'll ever see.

When looking at Mercury and State Farm specifically, which carrier is best for retired drivers? State Farm gets the edge here, with average prices coming in at around $111 monthly compared to Mercury's $219.

Which is the Best Company for Married Drivers?

Did you know that auto insurance premiums are usually more expensive for those who are single than they are for married couples? That's generally because married policyholders 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 rates about $176 a month more affordable than Mercury, on average. The advantage for married drivers with State Farm is also obvious, where drivers save around $85 per month.

Mercury vs. State Farm: Average Rates by Gender

Men tend to pay more for insurance than women. This is because women are less likely to get into accidents and get tickets, which lowers the chances of an insurance claim.

Men typically pay about 5% more a month than women with Mercury, and around 7% more with State Farm.

Looking at the data for each company specifically, State Farm comes out as the most affordable option for both genders, with average prices $138 less for men and $136 cheaper for women.

Mercury 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.

For most people, car insurance isn't the easiest topic to understand. There are many different coverages that account for a bunch of 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.

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

If you're looking for state minimum liability insurance, State Farm generally offers significantly cheaper premiums of $99 compared to Mercury's $184. When it comes to full coverage policies with similar limits, State Farm again has the edge, with policies about $200 per month less expensive than Mercury, on average.

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

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

It's no secret secret that tickets and accidents lead to higher prices, but which carrier -- Mercury or State Farm -- has the cheapest premiums for drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Mercury policyholders can expect their prices to go up an average of $57 a month if they get a ticket, while State Farm normally raises rates around $21 per month, on average.

However, State Farm tends to offer the best prices for drivers both with clean records and with a speeding ticket. Drivers with a clean record can save about $103 a month and drivers with a ticket can save around $139 per month with State Farm.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their car insurance through Mercury can expect to see about an $109 -- or around 32% -- increase in their auto insurance premiums. Drivers who use State Farm for their insurance will see a monthly bill about $29 (or 18%) more expensive after reporting an accident to their car insurance company.

Overall, drivers who use State Farm end up with the cheaper prices after an accident, with monthly prices averaging $163 compared to Mercury Insurance's $346.

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 speeding ticket when it comes to your auto insurance bill. For example, Mercury increases average rates by over $65 a month -- that's over a 20% increase.

How does Credit Score Impact Mercury and State Farm Rates?

You may not have known, but your credit score can be used as one of the factors to determine your monthly car insurance prices. This isn't always the case (Massachusetts, for example, has banned the use of credit score as a rating factor) but it might come into play for many drivers.

The reasoning insurance companies use is that policyholders with good credit will be more likely to pay their bills on time; so they'll reward them with cheaper rates, while those with poor credit will usually be forced to pay more.

Looking specifically at Mercury and State Farm, which one has the lowest 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 Mercury or State Farm 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 considerable impact on how much auto insurance carriers will charge for coverage? Typically, those who drive fewer miles will end up with more affordable prices since there's less of a chance of getting into a collision and causing an insurance claim.

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

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

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

State Farm boasts the most affordable average premiums for drivers in all types of areas, no matter if they're urban, suburban, or rural.

Policyholders in rural ZIP codes see the cheapest rates from both companies, but State Farm comes out on top with average prices about $127 per month. State Farm also has cheaper average premiums for drivers in urban and suburban ZIP codes -- a 54% and 41% per month respective difference when compared to Mercury policyholders in similar areas.

Mercury vs. State Farm Discounts

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

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

In the table below, we've broken down all of the different discounts offered by both Mercury and State Farm so that you can easily see which company offers the most discounts and see which ones you might be able to take advantage of.

Overall, Mercury has the advantage when it comes to total number of discounts. State Farm offers a grand total of 23 discounts, while Mercury has 27.

A couple of those are overlapping for things like anti-theft discounts, distant student discounts, DRL discounts, and discounts for being a homeowner. Mercury also offers advance quote discounts, continuous insurance discounts, COVID-19 relief discount, and more that State Farm does not.

On the flip side, State Farm has a couple unique discounts of its own -- annual mileage discounts, drive safe & save discounts, discounts for getting driver training, and more.

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

So, we've broken down the average rates for many of the variables auto insurance carriers look at, and walked through the different discounts each company offers, too. That's all well and good, but at the end of the day, is Mercury or State Farm the best fit for you?

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

• Your driving record contains an at-fault collision.
• You live in an suburban area.
• You are over 65 years old and want to save some money on your insurance.

Mercury might be best for you if...

• You're looking for discounts -- Mercury has the most.

We hope this guide helps you get a good idea of the differences between Mercury and State Farm. We also hope we've given you the information you need to make the best 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 a handful of companies, not just Mercury and State Farm. Luckily, Compare.com makes it easy for you to do just that. Just enter your ZIP code below and get multiple free quotes from some of the best insurance carriers in your area, all in just a few minutes.

Mercury vs. State Farm FAQs

Is Mercury or State Farm cheaper?

Looking just at the national average premiums, State Farm is the more affordable of the two companies, offering average rates of $158 a month compared to $295 for Mercury. Even so, State Farm won't necessarily be the lowest carrier for each driver, since there are lots of different factors that come into play when it comes to your auto insurance bill.

Who is better, Mercury or State Farm?

Sadly, the answer truly is "it depends.". No single company is necessarily "better" for everyone -- it all comes down to what your unique car insurance profile looks like.

Why do Mercury and State Farm offer me different rates?

Insurance carriers take a look at a lot of different variables when calculating the prices they charge drivers. Things like gender, your driving record, where you park your vehicle, age, and sometimes even things like your credit score can all be taken into consideration. Both Mercury and State Farm use different formulas, so each one will most likely offer different rates. The only real way to see which carrier is the cheapest for you is by comparing personalized quotes from several different companies.

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

The only way to find the auto 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 information once and you'll get free quotes from dozens of the best car insurance companies in your area. That way, you can guarantee you're getting the best premium. And who knows, the best carrier for you might not be Mercury 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.