What Insurance Is Cheaper Than Farmers? (2024)

FAQs

What Insurance Is Cheaper Than Farmers? ›

State Farm, Geico, and Progressive are better than Farmers, based on factors like average premiums, number of discounts available, and customer service record. Geico is also one of eight top-10 car insurance companies that are cheaper than Farmers, on average, along with Travelers, USAA and Progressive.

We give State Farm a higher overall score and stronger recommendation because of these factors: Its car insurance rates are much lower than Farmers' on average. It has many local agents around the nation. Its usage-based insurance program won't raise policyholders' insurance costs.

The cheapest car insurance rate is $38 a month from Geico according to our research team's cost analysis of national average prices for minimum coverage. The top 10 cheapest car insurance companies are Nationwide, Geico, State Farm, Travelers, Progressive, AAA, Allstate, Chubb, Farmers and USAA.

Farmers Insurance's average auto insurance rate for full coverage is $3,169 per year, which puts it above the national annual average of $2,008. Farmers is more expensive than most companies because its insurance agents get commission, and insurance costs are rising as well.

On average, Progressive offers more affordable liability auto insurance policies, at $80 per month compared to Farmers' $110 monthly average. However, this doesn't guarantee you'll save the most with Progressive insurance, as many factors affect premium pricing, like your ZIP code, car type, and driving record.

State Farm tends to be a much more affordable option for most people than Farmers. For a minimum coverage policy, State Farm is 46% cheaper than its competitor. Drivers with poor credit may get the most comparable deal with Farmers, but its quotes are still 33% higher than State Farm's.

Important note: As of April 2021, The Farmers Insurance Group has acquired all MetLife auto and homeowners policies. MetLife Auto & Home is no longer affiliated with MetLife, Inc and policyholders will use Farmers services to manage their accounts.

After we considered average cost estimates for a variety of types of drivers, our top picks for the cheapest full-coverage car insurance were Nationwide, State Farm, Geico, USAA and American Family. Nationwide is our top choice for the cheapest full-coverage car insurance.

Geico's rates are typically lower overall, but Progressive tends to offer better prices to high-risk drivers. High-risk drivers are those with a recent DUI, at-fault accident or speeding ticket on their driving record. Of course, costs vary by driver, and your rates are determined by a number of factors, including: Age.

Are Farmers and Allstate the same? ›

While those looking for the cheapest coverage may skew towards Farmers, both Allstate and Farmers are relatively similar in their coverage options. This means that both companies are worth considering for most drivers. Compare quotes and weigh your individual situation before making a decision.

We now believe Farmers' capital adequacy to remain comfortably at '99.50%' stress level, which is further supported by the expected improvement in the underwriting performance, risk exposure reduction in certain catastrophe prone states, and higher investment income.

Your credit score affects the cost of homeowners insurance significantly. Farmers charges an average of $9,982 a year to insure people with a poor credit history. This average is slightly higher than the national average for the same homeowners.

Considering State Farm and Geico are the two biggest auto insurance companies in the U.S., most drivers can find what they need from either company, whether that's minimum or full coverage. However, there are a few key differences between State Farm vs. Geico when it comes to auto insurance options.

State Farm is so expensive because car insurance is expensive in general, due to rising costs for insurers. But at $718 per year, the average State Farm car insurance policy is actually cheaper than coverage from most competitors. In fact, State Farm is one of the cheapest car insurance companies nationally.

In our 2023 review, we give State Farm a 9.3 out of 10.0 for cost, while Allstate receives only a 7.4. As you can see in the chart below, State Farm's average annual rate falls well below the national average, while Allstate's is significantly higher.

WOODLAND HILLS, Calif. //BestWire// - Farmers Group Inc. and Farmers Exchanges have completed their acquisition of MetLife Inc.'s U.S. property/casualty business for $3.94 billion, assuming 2.4 million in-force policies, the companies announced April 7.

In addition to The Hartford Financial Services Group, Inc. (NYSE:HIG), American Financial Group, Inc. (NYSE:AFG), and Liberty Mutual Insurance, some of the biggest farm and ranch insurance providers include Chubb Limited (NYSE:CB), Zurich Insurance Group AG (OTC:ZURVY), and AXA SA (OTC:AXAHY).

At the same time, AM Best has affirmed the Long-Term Issue Credit Ratings (Long-Term IR) of “bbb+” (Good) on the outstanding surplus notes of Farmers Insurance Exchange (Woodland Hills, CA) and Farmers Exchange Capital (Wilmington, DE). The outlook of these Credit Ratings (ratings) is stable.