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

Quick Facts

• In general, State Farm offers cheaper prices than Safeway
• State Farm has more affordable rates for residents of urban areas
• State Farm tends to be a much less expensive option for policyholders who may not have much of a commute

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

So, you're considering switching your auto insurance. 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 Safeway or State Farm for your next policy, but which one will offer you cheaper prices?

As you can see, Safeway has average rates that are about 19% per month more expensive than those from State Farm when looking at the national average rates for insurance.

That being said, that doesn't mean State Farm will necessarily be less expensive than Safeway for every driver. Auto insurance companies use all sorts of complex algorithms to calculate premiums, so depending on where you live or how old you are (among an array of other factors), you could see wildly different rates from the ones above.

So, if you want to find out which of Safeway or State Farm is really the best for you, keep reading to see average premiums for each carrier broken down by multiple different rate factors.

Safeway or State Farm: Average Car Insurance Rates by State

Safeway and State Farm compete against each other in five states, with Safeway offering more affordable prices to the average driver in all of them. Mississippi has the most noticable difference, where Safeway rates are over 40% cheaper than car insurance prices at State Farm.

There's a lot more that goes into your auto 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 insurance premiums of any other group of drivers out there on the road. It'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 rates, teen drivers can still find ways to save money. For example, 18-year-old drivers pay an average of more than $100 less a month by choosing State Farm over Safeway.

But with both carriers, you'll see your premiums decrease significantly by the time you turn 25. For example, average prices for Safeway policyholders reduce over 60% and State Farm's premiums lower 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 prices out there.

So, which company offers the best rates to retired drivers? State Farm gets the edge, with premiums for drivers 65 and older $25 more affordable than the national average for Safeway.

Which is the Best Company for Married Drivers?

Married couples tend to get slightly less expensive insurance rates than single drivers. That's because policies for married drivers generally cover several cars, which a lot of companies will offer you a discount for.

When it comes to relationship status, State Farm is the clear winner for those who are single, with prices around $52 per month cheaper than Safeway, on average. For married policyholders, the advantage is clear again - State Farm has the edge when it comes to average rates.

Safeway vs. State Farm: 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 usually end up paying more for auto insurance than women.

Women normally pay almost 10% a month less than men with Safeway, while with State Farm, the difference is closer to 7% per month.

When it comes to the most affordable premiums for each gender, State Farm comes out on top for both men and women. On average, male drivers save about $39 a month and women save about $33 with State Farm compared to the average Safeway policyholder.

Safeway 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 a range of 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 a collision.

The two most common policies end up falling into two different types of coverage -- liability only (that covers property damage and bodily injury for other drivers if you cause an accident) and full coverage (which includes comprehensive and collision coverages that protect your own vehicle, in addition to liability coverage).

If you're looking for state minimum liability limits, State Farm typically offers less expensive prices of $99 compared to Safeway's $130. When it comes to full coverage policies with similar limits, State Farm again has the edge, with policies around $40 per month more affordable than Safeway, on average.

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

You've probably seen plenty of commercials from auto 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.

You'll probably end up paying more with accidents and tickets on your record, but which of these two companies offers the lowest prices to drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Safeway policyholders can expect their premiums to go up an average of $7 a month if they get a ticket, while State Farm normally raises rates about $21 per month, on average.

However, State Farm is typically the cheaper option for drivers both with clean records and with a speeding ticket. Drivers with a clean record can save around $29 a month and drivers with a ticket can save about $15 per month with State Farm.

Which Company is Best for Drivers After an Accident?

Safeway drivers who get in a collision can expect to see their prices increase by $60, while those who have insurance through State Farm will see around a $30 increase.

Overall, the more affordable premiums come from State Farm, with monthly prices averaging $163 compared to Safeway Insurance's $223.

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 insurance bill. Safeway drivers usually see a 26% raise in their auto insurance rates after a DUI charge, while State Farm will usually increase premiums by about 25%.

How does Credit Score Impact Safeway and State Farm Rates?

You may not have known, but your credit score can come into play when carriers determine your monthly bill. Certain states and companies do not allow for credit score to be used as a rating factor, but it might come into play for quite a few policyholders.

Insurance carriers argue that those with good credit scores are more likely to pay their bills on time each month, which lowers the risk involved on their end, while the opposite is true for those with bad credit.

Looking at Safeway and State Farm specifically, which carrier has the best rates 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 Safeway or State Farm Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a sizable impact on how much car insurance companies will charge for coverage. Generally, those who drive fewer miles will end up with less expensive premiums since there's less of a chance of getting into an accident 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 Safeway charges. However, there's a small difference in monthly prices for State Farm, with policyholders who drive 6,000 miles annually paying around $13 less every month compared to those who drive 12,000 miles each year. Still, State Farm is the more affordable option for drivers in both categories.

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

Where your home is can have a large impact on your monthly auto insurance payment. Typically, 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 carriers side-by-side, State Farm normally comes out as the cheapest option for drivers in every type of area, no matter if it's urban, suburban, or rural.

Policyholders in rural ZIP codes see the lowest rates from both companies, but State Farm comes out on top with average prices about $127 per month. State Farm also has less expensive average premiums for drivers in urban and suburban ZIP codes -- a $49 and $40 a month respective difference when compared to Safeway policyholders in similar areas.

Safeway 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, and the best way to do that is by taking advantage of as many car insurance discounts as you can.

But with what seems like a million different discounts out there, it can be hard 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.

Below, we've taken a look at all of the different discounts Safeway and State Farm offer their customers so that you can easily see which company offers the most discounts and see which ones you might be able to take advantage of.

State Farm blows Safeway away when it comes to the sheer amount of discounts available, offering 23 different discounts to Safeway's 11.

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

On the flip side, Safeway has a couple unique discounts of its own -- agency transfer discounts, full coverage discounts, paid in full discounts, and more.

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

So, you've seen how different factors can affect your auto insurance rates. We've shown you all the discounts each company offers, too. But, at the end of the day, which carrier is the best one for you and your specific profile and needs?

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

• You value the experience that comes with a large national insurance company.
• You live in an suburban area.
• You are purchasing your car insurance with a spouse.

Safeway 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 better idea of the difference between Safeway and State Farm and that it aids in making a more informed decision about your insurance.

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

Safeway vs. State Farm FAQs

Is Safeway or State Farm cheaper?

Looking just at the national average premiums, State Farm is the cheaper of the two companies, offering average rates of $158 per month compared to $194 for Safeway. Even so, State Farm won't necessarily be the most affordable carrier for everyone, since there are a bunch of different variables that come into play when it comes to your insurance cost.

Who is better, Safeway or State Farm?

Sadly, the real answer is "it depends.". One company is not necessarily "better" for every driver -- it all comes down to what your unique auto insurance profile looks like. For example, State Farm offers more affordable prices for drivers with an at-fault collision on their record, while Safeway is cheaper for drivers who have less-than-stellar credit scores.

Why do Safeway and State Farm offer me different rates?

Insurance carriers take a look at lots of different factors when calculating the rates they charge policyholders. Things like age, gender, your driving record, where you park your car, and sometimes even things like your credit score can all come into play. Both Safeway and State Farm use different formulas, so each one will most likely offer different prices. The only real way to see which carrier is the cheapest for you is by comparing personalized quotes from a variety of different companies.

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

The only way to find the car insurance company that's right for you is by getting quotes from a handful of carriers 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 area information and you'll get free quotes from dozens of the best auto insurance companies in your area. With those, you can guarantee you're getting the most affordable premium. And who knows, the best carrier for you might not be Safeway 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.