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

Quick Facts

• In general, Progressive offers significantly less expensive prices than Preferred Mutual
• Progressive tends to be a much cheaper option for policyholders who drive a short distance to work everyday
• Progressive has more affordable rates for policyholders who live in suburban areas

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

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

You might have narrowed it down to Preferred Mutual or Progressive as potential options, but between the two, which one will offer you cheaper prices?

Looking at nationwide averages, Progressive has average rates that are around 65% a month less expensive than those from Preferred Mutual.

However, that doesn't mean Progressive will necessarily be more affordable than Preferred Mutual for every driver. Car insurance carriers use a ton of complex algorithms to determine premiums, so depending on how good your credit score is or how clean your driving record is (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 Preferred Mutual and Progressive by a bunch of different rate factors, so read on to find out which company is the best for you.

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

Preferred Mutual and Progressive only compete against each other in two states, with Preferred Mutual offering cheaper premiums to the average driver in all of them. New York has the most noticable difference, where Progressive rates are $145 more affordable than insurance prices at Preferred Mutual.

That being said, there's a lot more that goes into your car insurance bill than just where you call home. Continue reading to see how other variables will affect your rates.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive insurance premiums of any other group of drivers. That's normally because teen drivers are statistically much more likely to get into accidents since they have less experience on the roads.

But that doesn't mean teen drivers can't still save money on their auto insurance. For example, 18-year-old drivers pay an average of over 60% less per month by choosing Progressive over Preferred Mutual.

Even so, with both companies, you'll see your rates drop significantly by the time drivers turn 25. For example, average premiums for Preferred Mutual policyholders decrease more than 55% and Progressive's prices reduce almost 70% over that time.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll typically enjoy the lowest insurance premiums out there. You've been on the road for years, and all that experience pays off when it comes to your monthly rates for car insurance.

When looking at Preferred Mutual and Progressive specifically, which carrier is best for retired drivers? Progressive gets the edge here, with average prices coming in at about $131 monthly compared to Preferred Mutual's $398.

Which is the Best Company for Married Drivers?

You may not be aware, but auto insurance rates tend to be more expensive for those who are single than they are for married drivers. That's usually because married couples 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 carriers is significant, with Progressive premiums coming in at around a third of Preferred Mutual's. The advantage for married policyholders with Progressive is also obvious, where drivers save over 70% a month.

Preferred Mutual or Progressive: Average Rates by Gender

Men are statistically more likely than women to get speeding tickets and get into accidents, which means they'll generally end up paying more for car insurance than women.

On average, men see rates about 3% per month higher with Preferred Mutual, and around 3% more with Progressive.

When it comes to the cheapest premiums for each gender, Progressive comes out on top for both men and women. On average, male drivers save about $367 a month and women save about $356 with Progressive compared to the average Preferred Mutual policyholder.

Preferred 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 a complicated subject for most people. Everyone needs auto insurance, but there are so many different limits and coverages that it can be hard to find the right policy for you.

That being said, the most common policies that drivers look at fall into two categories -- liability coverage (that covers property damage and bodily injury for other drivers and passengers if you cause a collision) and full coverage (which typically refers to having collision and comprehensive coverages in addition to liability).

Looking specifically at state minimum liability limits, Progressive has the significant edge, with average monthly prices coming in at $111. If you want a full coverage policy with the same state minimum limits, Progressive again has the edge, with policies averaging around $250 per month to Preferred Mutual's $850.

Is Preferred 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 car insurance. But that's not to say you can't save money if you don't have the best driving record, either.

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

Which Company is Best for Drivers with Speeding Tickets?

Policyholders who use Preferred Mutual for their auto insurance can generally expect their monthly bill to go up about 1% after getting a speeding ticket. Progressive policyholders can expect a bit more drastic of an increase of around 17%.

Even so, Progressive has less expensive rates for drivers in both categories, offering prices that are $240 and $212 more affordable, respectively, compared to Preferred Mutual.

Which Company is Best for Drivers After an Accident?

Preferred Mutual drivers who get in an accident can expect to see their premiums increase by over $95, while those who have insurance through Progressive will see about a $65 increase.

At the end of the day, the cheaper prices come from Progressive, with average rates coming in at $214 compared to Preferred Mutual's $486.

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 insurance bill -- normally a lot more than a collision or ticket. For example, Preferred Mutual increases average premiums by more than $500 a month -- that's more than a 55% increase.

How does Credit Score Impact Preferred Mutual and Progressive Rates?

Did you know many auto insurance carriers take your credit score into account when determining rates? This isn't true for everyone (for example, Massachusetts and Hawaii are two states that ban the practice entirely), but it does affect a lot of policyholders out there.

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

Looking specifically at Preferred Mutual and Progressive, which company has the best premiums for policyholders at different credit levels?

Which Company is Best for Drivers with Good Credit?

Which Company is Best for Drivers with Bad Credit?

Is Preferred Mutual or Progressive 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 insurance carriers will charge for coverage. That's because the more milage you put on your car each year, the more likely you are to be in an accident and file an insurance claim.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Progressive charges. However, there's a small difference in monthly rates for Preferred Mutual, with policyholders who drive 6,000 miles annually paying around $2 less every month compared to those who drive 12,000 miles each year. Still, for drivers in both categories, Progressive is the cheaper company.

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

Where you live can play a considerable 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 insurance, while the opposite is true for people in rural areas.

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

Those in rural areas can expect to save about $99 with Progressive compared to Preferred Mutual. People who live in suburban areas pay around $293 less with Progressive compared to Preferred Mutual. For drivers in urban ZIP codes, Progressive's average prices are about $695 less than Preferred Mutual.

Preferred 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 difficult to nail down the carrier that has the most discounts for your unique driver profile and to find all the discounts you qualify for.

Luckily, we did the hard work for you and broke down all of the different discounts offered by both Preferred Mutual and Progressive so that you can see which carrier can save you the most money each month.

Progressive knocks Preferred Mutual out of the park when it comes to the sheer number of discounts available, offering 34 different discounts to Preferred Mutual's 34.

Both carriers offer lots of the same discounts -- like anti-theft discounts, DRL discounts, discounts for being a good driver, and mature driver discounts -- but Progressive also offers discounts for advance quote, advanced safety feature, agency transfer, and more.

On the other hand, Preferred Mutual has a few proprietary discounts of their own like annual mileage discounts and new business discounts.

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

You've seen the role certain factors have on your car insurance and the different discounts companies offer. But, at the end of the day, which company is the right company for you, your vehicle, and your wallet?

Progressive might be best for you if....

• Your driving record contains an at-fault collision.
• Your credit is below-average.
• You're of retirement age and want to take advantage of lower premiums.

Preferred Mutual might be best for you if...

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

Hopefully, this guide helps you get a good idea of the differences between Preferred Mutual and Progressive. 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 insurance policy is to compare quotes from several carriers, not just Preferred Mutual and Progressive. 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 auto insurance companies in your area, all for free.

Preferred Mutual vs. Progressive FAQs

Is Preferred Mutual or Progressive cheaper?

Progressive is the less expensive of the two carriers when looking at national average rates, with policies averaging $180 per month with Progressive and $542 for Preferred Mutual. That being said, that doesn't mean Progressive will be the cheapest carrier for every driver, since there are multiple different variables (things like age, driving record, gender, etc.) that play a role in how much you pay.

Who is better, Preferred Mutual or Progressive?

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

Why do Preferred Mutual and Progressive offer me different rates?

Insurance companies use lots of different factors when calculating the prices they charge. Variables like age, gender, where your home is, your driving record, and sometimes even things like your credit score can all be taken into consideration. Both Preferred Mutual and Progressive use different formulas, so it's likely they'll offer different rates. The best way to determine which carrier is the most affordable for you is by comparing personalized quotes from lots of different carriers.

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

The only way to find the auto 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 do all the hard work for you. Just enter your information once and you'll get quotes from dozens of your local top insurance carriers for free. That way, you can guarantee you're getting the cheapest premium. And maybe you'll find that the best carrier for you isn't Preferred 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.