Safeco vs State Farm

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Safeco vs. State Farm policies and products are geared towards different types of policyholders. Safeco was founded in 1923 in Seattle as the General Insurance Company and was then purchased in 2008 by Liberty Mutual. According to yougov, Safeco is most popular with millennials. Safeco is set up to provide the best level of service through the mobile app, website or independent agents.

In a Safeco vs. State Farm comparison, State Farm is best-known for its traditional approach to insurance. State Farm was founded in 1922 in Bloomington, Illinois and is the largest carrier in the country. State Farm also has a robust mobile app and website but is strongest when it comes to local representatives. There are 19,000 dedicated, local agents and offices throughout the country.

Safeco vs State Farm: car insurance rates comparison

To best get an idea of State Farm vs. Safeco’s strengths and weaknesses, review some of the most important factors responsible for how a car insurance company performs. AM Best’s score rates the carrier for financial strength, which gives you an idea of how capable a carrier is to meet its financial obligations. The J.D. Power score is based on its annual study based on responses from policyholders regarding customer satisfaction around claims and customer service in general.

Car insurance company Bankrate Score AM Best J.D. Power Average annual premium for minimum coverage Average annual premium for full coverage
Safeco 4.5 NR 870/1,000 N/A N/A
State Farm 4.4 A 881/1,000 $539 $1,457

Rates by credit score

Unless you are a resident of Hawaii, California, Massachusetts or Michigan, insurance carriers review your credit history to set your insurance premiums. Car insurance companies typically charge more for coverage if your credit score is lower. Insurance companies use statistics that show that vehicle owners with poor credit are more likely to file insurance claims as their reasoning for the price increase.

Car insurance company Poor Average Good Excellent
National Average $3,873 $1,865 $1,674 $1,487
State Farm $3,309 $1,656 $1,457 $1,126

Rates by age

The highest insurance premiums are typically leveled for younger drivers such as teens or young adults under 25. A driver’s lack of experience and a high rate of accidents for the age group are part of the reason rates are higher. The good news is, after you hit the age of 18, premiums should drop with most policy renewals as long as you avoid tickets and claims.

Car insurance company Age 16* Age 18 Age 25 Age 30 Age 40 Age 60
National Average $2,531 $5,243 $2,108 $1,850 $1,674 $1,544
State Farm $2,077 $4,137 $1,694 $1,494 $1,457 $1,327

*16 year old cost of car insurance when added to parents’ policy, 18-year-old renter

Rates by driving record

Generally speaking, the cleaner your driving record, the cheaper your premiums will be. While rates for Safeco are not available, Safeco and State Farm both reward safer drivers with more discounts.

Car insurance company Clean driving record Speeding ticket Accident DUI conviction
National average $1,674 $2,062 $2,311 $3,139
State Farm $1,457 $1,590 $1,657 $2,201

Safeco vs State Farm: discounts

Safeco and State Farm both offer the standard list of insurance discounts you could expect from nearly every insurance provider. Discounts for autopay, paperless billing and safe driving are typical. Some of the savings unique to each carrier include:

Safeco

  • RightTrack — Sign up for the driver tracking program to get a potential discount of up to $513 per year on average, based on your driving.
  • Claims-free cash back — receive a check for 2.5% of your policy’s premium for every six months without a claim (up to 5% per year).

State Farm

  • Steer Clear — The program helps drivers under 25 years old learn to be a better driver with tips on suggestions on safer driving. Avoiding accidents, tickets and claims for three years may lower your premiums up to 20%.
  • Multiline — Insuring more than one vehicle or your car and home or rental with State Farm can potentially save you money. A multi-car discount may save you up to 20%. A multi-line discount may save you up to 17%.

Safeco vs State Farm: online and mobile experience comparison

Both companies have a strong digital presence and provide a full-featured mobile app and easy-to-navigate website. State Farm’s online resources and knowledge base is more comprehensive than Safeco’s. Safeco’s mobile app was recently redesigned and is receiving good feedback from policyholders.

Safeco

  • Apple Store — Safeco’s app for iOS received 4.8 out of 5 from 24,000 reviews. Just a few taps let you pay your bill using your debit or credit card and even file or track your claims.
  • Google Play — The Safeco app has a 3.9 out of 5 from 1,400 votes. The app integrates with your smartphone for security using facial recognition or fingerprint ID. Contact your agent or request roadside assistance and access your documents and bills through the app.

State Farm

  • Apple Store — With a score of 4.8 out of 5 from 328,000 votes, the State Farm app gets rave reviews from iOS users. The latest update allows you to choose your rental car in just a few taps while your car is in the shop being repaired. The app integrates with all your State Farm coverages and lets you file a claim in just a few steps.
  • Google Play — Over 68,000 Google Play users scored the State Farm app with a 4.7 out of 5. You can pay your bills, file property, vehicle and glass claims and order roadside assistance or search for repair facilities.

Frequently asked questions

Does Safeco have local offices?

Safeco sells insurance through independent insurance agents. There are no dedicated Safeco offices but you can handle most of your insurance needs online or through the mobile app.

In a Safeco vs. State Farm comparison, which carrier is available in the most areas?

Safeco and State Farm are both available in all states. State Farm has 19,000 dedicated offices and agents throughout the country. However, Safeco is available through independent agents nationwide.

Methodology

Bankrate utilizes Quadrant Information Services to analyze 2021 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:

  • $100,000 bodily injury liability per person
  • $300,000 bodily injury liability per accident
  • $50,000 property damage liability per accident
  • $100,000 uninsured motorist bodily injury per person
  • $300,000 uninsured motorist bodily injury per accident
  • $500 collision deductible
  • $500 comprehensive deductible

To determine minimum coverage limits, Bankrate used minimum coverages that meet each state’s requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.

These are sample rates and should only be used for comparative purposes.

Credit: Rates were calculated based on the following insurance credit tiers assigned to our drivers: “poor, average, good (base), and excellent.” Insurance credit tiers factor in your official credit scores but are not dependent on that variable alone. The following states do not allow credit to be a factor in determining auto insurance rates: CA, HI, MA

Age: Rates were calculated by evaluating our base profile with the ages 18-60 (base: 40 years) applied. 16-year-old rates were factored as the added cost to their parents’ policy; 18-year-old rates were calculated as drivers who rent their primary residence.

Incident: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket, single DUI conviction (BAC of >= .08) and lapse in coverage.

Written by
Cynthia Paez Bowman
Personal Finance Contributor
Cynthia Paez Bowman is a finance, real estate and international business journalist. Besides Bankrate.com, her work has been featured in Business Jet Traveler, MSN, CheatSheet.com, Freshome.com and SimpleDollar.com. She owns and operates a small digital marketing and public relations firm that works with select startups and women-owned businesses to provide growth and visibility. Cynthia splits her time between Los Angeles, CA and San Sebastian, Spain. She travels to Africa and the Middle East regularly to consult with women’s NGOs about small business development.
Edited by
Insurance Editor