State Farm insures more vehicles than any other insurance company, with 16.19% of the total market share. It was founded in 1922 and is headquartered in Bloomington, Illinois. State Farm is a household name in car insurance, but it also sells more than a dozen other insurance products. State Farm has a network of 19,000 independent agents, nationwide.
Farmers is another popular insurance company. It is the seventh largest private passenger insurer, representing 3.98% of the total market share. Farmers was founded in 1928 and is based in Los Angeles, California. Today, Farmers has more than 10 million customers and has sold more than 19 million policies. Its network is more than twice the size of State Farm, with about 48,000 Farmers agents throughout the country.
State Farm vs Farmers: car insurance rates comparison
State Farm and Farmers are comparable in terms of their third-party ratings for financial strength (indicated by the scores from AM Best) and overall customer satisfaction (represented in the 2020 J.D. Power scores for overall customer satisfaction. However, Farmers car insurance is much more expensive than State Farm based on our study of 2021 quoted annual premiums from Quadrant Information Services. The table below highlights the third-party ratings and average premiums for State Farm vs. Farmers, which may be useful for comparison, but keep in mind your rates will be different based on your own circumstances.
|Car insurance company||Bankrate Score||AM Best||J.D. Power||Average annual premium for minimum coverage||Average annual premium for full coverage|
Rates by credit score
When you apply for a car insurance policy, most car insurance carriers will look at your credit score to determine your rate. However, if you live in California, Hawaii, Massachusetts, Michigan or Washington, insurance companies are restricted from using credit score as a variable for determining premiums. While rates may be higher overall the worse your credit situation, it’s worth noting the difference between average rates from Farmers vs. State Farm based on credit score.
|Car insurance company||Poor||Average||Good||Excellent|
Rates by age
Because young drivers are typically freshly licensed and inexperienced on the road, they usually pay the highest car insurance premiums. As drivers get older, their car insurance rates start to decrease steadily over time. In the table below, you can compare the average rates for Farmers insurance vs. State Farm for drivers in different age groups to see how the rates vary by provider and age. Depending on your status as a renter vs a homeowner, and whether the driver is on their own or their parents’ policy, rates will vary from the ones below.
|Car insurance company||Age 16*||Age 18||Age 25||Age 30||Age 40||Age 60|
*16 year old cost when added to parents’ policy, 18-year-old renter
Rates by driving record
Another significant factor that will impact your car insurance rate is your driving record. If you have a history of speeding tickets, accidents or criminal violations, like a DUI, you will likely pay a much higher car insurance rate than you would with a clean record. As shown below, Farmers rates for a clean driving record average a bit less than State Farm’s rates for a driver with a DUI conviction. However, the increase between clean and a DUI is fairly equal among both providers. Rates can vary further depending on the severity of the incidents and how frequently they occur.
|Car insurance company||Clean driving record||Speeding ticket||Accident||DUI conviction|
State Farm vs Farmers: discounts
Both State Farm and Farmers Insurance offer car insurance discounts to help drivers save on their policy. However, these insurance companies offer unique discounts, even from each other. Here are a few of the notable discounts you can get from State Farm vs. Farmers:
- Drive Safe and Save program — With State Farm’s Drive Safe and Save program, drivers over 25 may be able to save up to 30% on their car insurance policy if they practice safe driving skills.
- Steer Clear program — State Farm’s Steer Clear program rewards young drivers under 25 with a cheaper premium if they have no claims for three years and complete an approved safe driver course.
- Good driver discount — You can also get a lower rate from State Farm if you have been insured with the company for at least three years and have no at-fault collisions on your record.
- Signal program — Farmers’ safe driver discount program is called Signal, which may help safe drivers save up to 20% on their car insurance premium.
- Mature driver discount — Farmers offers a mature driver discount for drivers over 55 to get a lower rate if they complete a state-approved safe driver training course.
- Homeowner discount — If you purchase car insurance through Farmers, you can get a discount for owning a home, even if you do not have a Farmers home insurance policy.
State Farm vs Farmers: online and mobile experience comparison
State Farm and Farmers both have similar online experiences. Drivers can get a quote online for car insurance, and both providers support an online claims process. We found both State Farm and Farmers offer easy-to-navigate websites, plus a variety of online tools and resources for effective policy management.
In addition, State Farm and Farmers offer highly-rated mobile apps that customers can use to manage their policy on-the-go. Here are the ratings and app features for Farmers vs. State Farm.
- App Store (4.8 stars) — State Farm’s free iOS app allows policyholders to file new claims, track the status of existing claims, request roadside assistance, make payments via Apple Pay, download ID cards and get in touch with customer service. Overall, customer feedback is positive regarding the app experience and frequent updates.
- Google Play (4.8 stars) — State Farm’s Android app includes all the same features that iOS users get in the iPhone app. Although the app has a high rating, the actual reviews indicate that some users have issues logging in, making payments and using the app to track trips for the Drive Safe and Save program.
- App Store (4.8 stars) — With the Farmers’ iPhone app, policyholders can view their ID cards, report claims, get roadside assistance, make payments and get connected to an agent. The reviews are very positive overall, and customers do not report many issues using this app.
- Google Play (4.9 stars) — Farmers’ app for Android devices includes all the same features that you will find in the iOS app. Customers give this app great reviews, with many people praising its convenience, ease of use and frequent updates.
Frequently asked questions
What is the best car insurance company?
The best car insurance company is different for every driver, based on preference for good customer service, low prices, specific types of coverage or even availability by state. State Farm is included among the top providers in our best car insurance company review.
How much does car insurance cost?
Every driver pays a different car insurance premium based on unique factors, like their state and ZIP code, credit score (in some states), driving record, age (in some states) and claim history. In the United States, the average cost of car insurance is $1,674 per year for full coverage policy.
Can you switch insurance companies?
Yes, you can switch insurance companies at any time, and many carriers do not charge a cancellation fee. Switching insurance companies can be a good solution for some drivers if you recently had a claim or if your rate has increased, though this may mean forgoing legacy discounts if you have stayed with the same company for a specific length of time.
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: California, Hawaii, Massachusetts, Michigan, Washington.
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. Age is banned as a rating factor in Hawaii.
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.