State Farm, the largest property and casualty insurance company in the U.S. with $66.1 billion in direct premiums written in 2020, is not only known for its hefty market share of 9.1%, but also for the 19,000 local agents it employs throughout the country. Established in 1922, State Farm insurance is available nationwide and offers multiple lines of insurance to suit different needs and a range of discounts to maximize savings.
If you are considering a switch from your current provider, there are several reasons to consider State Farm. From financial stability to expansive coverage options, it ticks several of the right boxes and establishes itself as one of the leading insurers capable of covering you against many of life’s catastrophes.
State Farm car insurance
Out of all the products offered by State Farm, its auto insurance policy is possibly the most popular. Aside from the basic liability coverage, State Farm offers various options to strengthen your policy and provide better protection. Whether you have a budget car or a luxury vehicle, State Farm has you covered with diverse coverages and a variety of discounts.
Some of the most popular car insurance coverages from State Farm include:
- Liability coverage: The minimum required coverage in most states, liability includes coverage against bodily injury and property damage caused by you.
- Collision coverage: This typically optional coverage helps pay for damage repair and replacement costs for your vehicle resulting from an accident or other collision.
- Comprehensive coverage: This typically optional coverage is sometimes called “other-than-collision” and it helps pay for damage repair and replacement costs for your vehicle resulting from non-collision related damage, like theft or fire.
- Rental car reimbursement: This pays for expenses when your vehicle is being repaired after an insured loss and you use a rental.
- Rideshare coverage: This gives rideshare drivers the coverage not provided by their personal or commercial car insurance.
- Emergency roadside assistance: This includes towing, labor and other mechanical assistance on the road when your vehicle breaks down. It also provides delivery of gas, oil, batteries, change of tire and locksmith services.
- Uninsured and underinsured motorist: These coverages protect you from paying for the damage that could be caused if you are hit by a driver with no insurance or a driver who does not have enough insurance to cover your expenses.
- Medical payments: This covers medical treatment expenses of injuries suffered by you or your passengers in an accident.
Cost of State Farm car insurance
|State Farm average annual premium for minimum coverage||State Farm average annual premium for full coverage|
State Farm auto insurance is generally affordable for most drivers. As gathered from Quadrant Information Services, the average full coverage policy with State Farm costs $1,457 per year and the average minimum coverage policy costs $539 per year. For comparison, the national average full coverage policy costs $1,674 per year and the national average minimum coverage policy costs $565 per year.
However, drivers should keep in mind that these are simply average rates. Car insurance quotes are personalized and your premium will vary based on factors like where you live, your ZIP code, your age, credit-based insurance score (this factor is not allowed in some states) and claims history.
Some of the ways State Farm car insurance allows you to save on premiums include:
- Steer Clear: This is a safe driver program for those under the age of 25.
- Defensive driver discount: You may receive a discount for completing a defensive driving course.
- Good student discount: You could save if you are a student with a grade point average of B or higher.
- Multi-car discount: There are savings for insuring more than one vehicle with State Farm.
- Vehicle safety discount: Having various safety and anti-theft features installed in your car could earn you a discount.
- Drive Safe and Save: This is a safe driver usage-based insurance telematics program that offers discounts by tracking good driving habits.
State Farm home insurance
Unlike State Farm’s car insurance policies, its home insurance is fairly standard and similar to many other carriers. State Farm home insurance may be good for those who want an affordable policy with the ability to talk to a real person for assistance. The company offers a unique fire safety program through its partnership with Ting. Policyholders may be eligible for a free device that monitors a home’s electrical systems and alerts owners to issues before they can cause a house fire. Even though the coverages are standard, policies are generally well received across the industry.
State Farm standard homeowners policies typically include:
- Dwelling coverage: This covers the structure of your home and attached structures against perils like weather damage, theft, fire and vandalism.
- Personal property coverage: This insures your belongings and valuables.
- Other structures: This coverage is for detached structures on the property such as a shed, barn or pool.
- Liability coverage: This provides coverage in instances when someone sustains injuries on your property and you are found negligent, or when you damage someone else’s property.
- Medical payments coverage: This coverage will pay for guest injuries regardless of your negligence.
- Replacement cost coverage: This pays the total cost of rebuilding the property, even if it is more than the actual cash value.
- Identity theft protection: This coverage is for loss of personal data and documents in case of online breach.
Cost of State Farm home insurance
The average State Farm home insurance policy costs $1,503 per year for $250,000 of dwelling coverage. This is about $200 higher than the national average rate of $1,312. According to the Insurance Information Institute (Triple-I), property insurance premiums are based on numerous rating factors, including age and market value of your home, ZIP code, proximity to a fire station and fire hydrants, credit-based insurance score, endorsements, policy limits and discounts you may qualify for.
State Farm offers several discounts on home insurance policies:
- Multiple line discount: If you bundle your home and auto insurance coverage with State Farm, you will generally quality for a discount on both policies.
- Home alert protection discount: For having safety devices installed in your house, such as fire, smoke or burglar alarms, or any other home monitoring system.
- Roofing discounts: For having an upgraded, weather-resistant roof that will help mitigate your risks against windstorms and severe rain events.
State Farm renters insurance
If you do not own your house but still want to ensure the safety of your possessions, State Farm offers renters insurance. It is a basic policy but enough to provide protection to you and your personal property in the event of a disaster.
State Farm renters insurance usually provides coverage for:
- Liability: Relating to injuries to other people or damage to their property that occur within your rental and you are deemed at fault.
- Accident: Damage caused by moving and falling objects, fire, smoke, water and accidental water discharge from your plumbing system may be considered accidental damage.
- Weather damage: Windstorms, snow, ice, lightning, hail and sleet can cause damage to your personal property.
- Other damages: Vandalism and theft of personal property, for example, can be covered under renters insurance.
- Loss of use: This coverage helps pay for additional living expenses when your rental suffers a covered loss and becomes uninhabitable.
State Farm offers a few discounts for renters insurance:
- Safety devices: To deter burglars and smoke alarms to minimize fire risk might offer you a discount.
- Policy bundling: Combining your renters insurance with auto insurance with State Farm can earn a bundle discount.
State Farm life insurance
The State Farm life insurance division provides a broad variety of product offerings and a few educational tools and calculators to help you learn more about why you would need life insurance, how much coverage you may need and which type of policy would be best for you.
Getting a State Farm life insurance quote online is simple. Enter your state, choose the type of coverage you would like and enter your height and weight for an estimate of how much a policy would cost. There are no discounts available for life insurance. State Farm multiple line discounts only apply to auto and property insurance premiums.
Types of policies
State Farm offers three types of life insurance policies:
- Term life insurance covers you for a set period. State Farm was recently selected as Bankrate’s pick for the best term life insurer, partially due to the fact that it offers an extremely high coverage capacity versus other life insurance companies we reviewed.
- Whole life insurance offers permanent protection with a set monthly premium that includes a death benefit you will leave if you pass away and adds a tax-deferred savings account you can access.
- Universal life insurance offers permanent protection with an investment element that can have flexible monthly premiums, a death benefit and a tax-deferred savings account you can access to fund any purchase you want.
State Farm ratings, reviews, customer satisfaction, and complaints
According to the J.D. Power 2021 U.S. Auto Claims Satisfaction Study, State Farm earned a score of 892 out of 1,000 points. However, the carrier did rank below the industry average in the J.D. Power 2021 U.S. Property Claims Satisfaction Study, with a score of 880 out of 1,000.
As for State Farm reviews for life insurance, the insurer ranks high. State Farm took the top spot in the J.D. Power 2021 U.S. Life Insurance Study, with a score of 822 out of 1,000 points.
State Farm also holds an A++ financial rating from AM Best, a credit rating agency that scores the financial strength of providers and the ability they would have to pay claims. However, the National Association of Insurance Commissioners reports higher than average customer complaints.
According to State Farm reviews from Consumer Affairs, many policyholders enjoy how easy it is to file a claim online or even from their phone. Others find it convenient to be able to talk to their local agent. Customers tend to like State Farm’s discounts for safe drivers, including teen drivers.
Top reasons to consider State Farm
Even though State Farm does not always have the lowest rates, it is a company worth considering because of the large number of discounts it offers customers and the wide network of local agents for a personalized service. Being a large insurer, State Farm is also available in most areas of the country.
With a high-tech app and several online tools for easy document viewing, premium payments and customer support, State Farm makes it convenient for the busy customer to manage their policy on the go. Financially stable, well-rated, and widely acclaimed for customer service, State Farm is one of the top insurers around today.
Additional policies offered by State Farm
In addition to auto, home and life, State Farm offers a wide array of other insurance coverage options:
- Farm and ranch
- Manufactured home
- Boats, motorcycles and RVs
- Identity restoration
- Commercial auto
Frequently asked questions
Is State Farm available nationwide?
State Farm operates in all 50 U.S. states and Washington, D.C. but is not currently writing new business in Massachusetts or Rhode Island. Existing policies in those states are being serviced but no new policies are being written.
What do I need to get a quote from State Farm?
Requesting an auto or home quote from State Farm starts with a few basic pieces of information, such as your name, contact information, ZIP code and the type of insurance needed. For life insurance, you will need to provide your age and gender and answer other basic health questions to receive a quote.
Can I apply online for State Farm life insurance?
You can apply online for State Farm auto and home policies but not for all of its life insurance products. If, during the online application process, the type of life insurance you are interested in does not come up as an option, you will need to contact your local State Farm agent to get started.
How do I file State Farm claims?
Filing State Farm claims can be done in a variety of ways. You can call an agent, visit an agent in person, file a claim online or use the State Farm app on your phone.
How long does it take to resolve a claim?
State Farm attempts to resolve claims within 30 days. However, each claim is different and may be resolved more quickly or take more time. To help with the claims process, prepare all your documentation and evidence upfront and file your claim shortly after the incident.
How can I get the lowest rate possible from State Farm?
State Farm provides a variety of discounts to attract customers. Talk with one of their 19,000 agents to find out which discounts you qualify for. Many State Farm customers save a considerable amount of money if they have a clean driving record and if they bundle their home and auto insurance.
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 40-year-old male and female homeowners with a clean claim history, good credit and the following coverage limits:
- Bodily injury liability per person: $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 sample drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
- Coverage A, Dwelling: $250,000
- Coverage B, Other Structures: $25,000
- Coverage C, Personal Property: $125,000
- Coverage D, Loss of Use: $50,000
- Coverage E, Liability: $300,000
- Coverage F, Medical Payments: $1,000
The homeowners also have a $1,000 deductible and a separate wind and hail deductible (if required).
These are sample rates and should be used for comparative purposes only. Your quotes will differ.