The Farmers Insurance Group of Companies pairs strong financial strength with an array of insurance products for consumers. These include everything from personal lines to commercial insurance to financial investment products, but its main insurance offerings for individuals are home, auto and life insurance. Farmers Insurance offers an extensive list of coverage choices for all its insurance products, making it easy for policyholders to personalize their insurance for their needs and lifestyle. All of its products are offered through a national network of nearly 50,000 exclusive and independent agents.
|Variety of unique discounts for homeowners and car insurance policies||Higher than national average premiums for homeowners and auto insurance policies|
|Unique coverage options that might not be found at comparable national insurers, and occasionally may be added without an additional cost||National Association of Insurance Commissioners (NAIC) Company Complaint Index indicates that Farmers receives considerably more complaints from policyholders than the expected baseline of 1.0|
Being able to choose specific policy options and limits could be difficult with other insurance carriers, especially if they have limited add-on options. But for Farmers — the ninth-largest U.S. writer of property and casualty by market share according to the Insurance Information Institute (Triple-I) — its auto, home and life insurance policies give policyholders a chance to build a policy that suits their needs. And if the process of building a personalized policy seems a little daunting, Farmers also makes it easy with different package options, as seen with its home insurance, to still have robust coverage without all the work of self-selection.
Farmers insurance products are available in most areas of the U.S., but it does not offer home or auto insurance in Alaska, Delaware, Hawaii, Maine, New Hampshire, Rhode Island and Washington, D.C. Additionally, it does not sell homeowners insurance in South Carolina or life insurance in New York.
Farmers car insurance | Bankrate Score 3.8
Based on Bankrate’s assessment, Farmers may be a good choice for drivers who want to personalize their car insurance and have a larger budget compared to other car insurance carriers. On top of standard policy options for car insurance, drivers may also be able to add options like new car replacement, accident forgiveness and even full windshield and glass coverage. If your car insurance policy includes optional collision and comprehensive coverage, Farmers even provides an add-on option for customized equipment coverage to insure any vehicle additions, like infotainment system and custom wheels.
As part of Bankrate’s Farmers insurance review, we analyzed the company’s auto insurance program based on its average policy cost, as well as financial strength and customer satisfaction ratings from third-party companies like Standard & Poor’s (S&P), AM Best and J.D. Power. To assist in consumers’ research of the company, we calculated a Bankrate Score based on how well it performed in each of these categories, with a maximum score of 5 out of 5. While Farmers generally scored well in these various categories, its average premium cost came in higher than the national average, factoring into its score of 3.8 out of 5 points. However, this may not prevent the company from being considered one of the best car insurance companies for many drivers.
Farmers car insurance cost
Based on Bankrate’s study of average annual premiums from Quadrant Information Services, the average cost of car insurance with Farmers is $2,000 per year for full coverage and $808 for minimum coverage. This is 19% higher than the national average cost of car insurance, which is $1,674 per year for full coverage, and 43% more than the national average for minimum coverage at $565 per year. Following is a comparison of auto insurance rates based on various driving scenarios:
|Farmers full coverage annual rates||National average full coverage premium|
|Clean driving history||$2,000||$1,674|
|Adding a 16-year-old driver||$2,685||$2,531|
Farmers car insurance discounts
Although Farmers’ average premium cost may be higher than the national average, the company does offer many discounts to help save money on car insurance. There are discounts for having multiple policies with Farmers and for being a member of different employee and professionals organizations. Some of the carrier’s unique car insurance discounts include:
- Good payer: If there have been no late payments for the last 12 months of a policy, this discount could be applied at the next renewal.
- Shared family car: This discount could apply to your car insurance if there is a single driver aged 20 or younger in the household and there are more drivers than vehicles on the policy (excluding cars in storage).
- Signal: Farmers also offers Signal, a usage-based telematics program to reward drivers for safe driving habits. By downloading the mobile app and participating in the program, drivers could earn up to 15% off their car insurance policy and be entered to win monthly rewards for maintaining a safe driving score. The app even features CrashAssist, which utilizes sensors within your mobile phone to help detect accidents when they occur and request emergency services if needed.
Farmers car services
Personal auto insurance isn’t the only kind of vehicle coverage that Farmers offers. The company also offers insurance policies for motorcycles, boats, watercraft and collectible cars, as well as larger vehicles like RVs, motorhomes and travel trailers.
Farmers has also partnered with TrueCar, a service that connects car buyers with certified auto dealers across the country. By shopping with TrueCar, buyers are able to view a vehicle’s price and see if it is currently higher or lower than its current market value in their area. Buyers who use TrueCar may also receive Buyer’s Bonus Benefits, which could earn them up to $2,000 in rewards that could cover car repair expenses and deductible reimbursements.
Farmers home insurance | Bankrate Score 3.8
Farmers offers three packages for its Smart Home Plan insurance policy, which could be a good choice for homeowners who don’t want to go through the process of selecting each individual coverage of their policy. The Standard package is designed for new homeowners prioritizing affordability and basic coverage, while the Enhanced package may be a good option for a homeowner wanting higher policy limits and more policy options. The Premier package provides Farmers’ highest limits on personal property and — if requirements are met — also comes with guaranteed replacement cost coverage.
Although you can choose from one of these three packages, it’s still possible to modify your Farmers home insurance policy limits and add or change coverage if desired. Among the many unique coverage options include Eco-Rebuild, which would cover the cost of using environmentally friendly materials for rebuilding your home in the event of a covered loss and contents replacement cost coverage, which would replace your personal property after a covered loss with new items of similar quality instead of its actual cash value. Lastly, unlike other carriers, Farmers home insurance program also includes declining deductibles, a claims-free discount and claim forgiveness at no additional cost with any Farmers homeowners policy in most states.
Farmers home insurance cost
A homeowners insurance policy with Farmers for $250,000 in dwelling coverage costs an average of $1,980 per year, according to Bankrate’s study of annual homeowners insurance premiums. This is 51% higher than the average cost of homeowners insurance in the nation, which is $1,312 per year for the same level of coverage, but actual rates could vary significantly depending on your location and several other individual rating factors, such as proximity to a local fire station, your claims history, credit-based insurance score, coverage limits, deductibles and qualifying discounts.
|Dwelling coverage limit||Farmers average annual premium||National average annual premium|
Farmers home insurance discounts
For some homeowners, having the best homeowners insurance may mean having a policy that fits within your budget. The average annual premium for a Farmers homeowners insurance policy may be significantly higher than the national average, but the company does offer many discounts to help lower the cost. These discounts include:
- Non-smoker: You and your family may qualify for a home insurance discount if the members of your household have not smoked tobacco in the past two years.
- New home: Farmers may automatically add this discount to your policy if your home was built within the last nine calendar years.
- UL approved roof: Homes with roofs that have an Underwriting Laboratories impact resistance rating of UL3 or UL4 could qualify for savings.
Farmers home services
Farmers has partnered with ADT and Flume to offer its homeowners policyholders discounted rates for home security and water safety, respectively. Customers who want more security at home could get up to 10% off a monthly subscription for ADT Command’s monitoring service or 10% off Blue by ADT’s home security devices.
Homeowners concerned about water conservation may be interested in Flume’s water-leak detection device. It can be installed without a plumber and comes with a mobile app to help monitor your home’s water usage and alert you of any issues. Farmers home policyholders in Michigan or Minnesota who have a Flume device may receive an additional discount on their home policy.
Farmers life insurance
Finding the best life insurance can be an important part of a well-rounded financial plan, no matter what stage of life you may be in. To accommodate different needs, Farmers offers many types of life insurance plans: term life, whole life and universal life as well as accidental death. By having all of your insurance needs in one convenient place, it could be easier to manage your policies and make changes when needed.
Farmers life insurance endorsements
Farmers life insurance policies can be personalized for specific needs. Among the rider options that may be added to a Farmers life insurance policy include a waiver of premium to help pay for policy premiums if you become disabled and lose your job as well as a terminal illness that allows some of your death benefits funds to be withdrawn if you are diagnosed with a qualifying terminal disease. You may also be able to add a critical illness rider that pays a sum if you have specific illnesses like cancer, heart attack or stroke.
Farmers life services
Purchasing life insurance is a product where you may benefit from professional counsel provided by a licensed insurance agent or your financial advisor, especially if you’re unfamiliar with the different types of plans. To give an idea of what you might need, Farmers has a Life Compass feature on its website where you can take a short quiz to understand which life insurance products could be suitable for you based on your goals and financial situation. From there, you can request a life insurance quote online or bring the results to a local Farmers agent if you have more questions.
Other Farmers perks worth considering
Farmers offers a wide variety of other insurance products beyond home, auto and life. These include:
- Pet insurance: Farmers has partnered with Pets Health to provide pet health insurance. They offer two levels of coverage, Accident-Only and BestBenefit Accident and Illness. The latter also has the option to add wellness routine care.
- Landlord insurance: Landlords renting out their own property to tenants have unique liability exposure that a standard homeowners insurance policy won’t cover. In most policies, this includes increased liability and wrongful eviction coverage.
- Commercial insurance: Farmers provides businesses with a wide array of coverages including property, liability, flood, commercial auto, workers’ compensation, commercial umbrella and group life plans.
- Financial products: In addition to its life insurance policies, Farmers offers customers an opportunity to invest through mutual funds, IRAs, college savings plans and annuities.
Farmers social responsibility
Social responsibility is a core part of Farmers’ Insurance culture, both to its employees and the wider community. The Farmers Family Fund was established in 2012 to help Farmers employees experiencing financial hardship, and has since provided nearly $2.5 million in grants. The company also encourages diversity and inclusion efforts, including sponsoring employee groups for a wide range of identities, backgrounds and ethnicities.
Outside of the company, Farmers focuses its efforts on supporting communities that have been impacted after natural disasters. Each of the four nonprofits that Farmers has partnered with — SBP, Team Rubicon, Operation BBQ Relief and National First Responders Fund — share a purpose in responding quickly to communities that have been affected by catastrophes. Farmers also often organizes its own giving campaigns and even matches employee donations to these efforts.
Not sure if Farmers is right for you? Consider these alternatives
- The Hartford: Individuals who are 50 or older may find that The Hartford offers specialized policy options and discounts for their demographic.
- Liberty Mutual: As the fifth-largest property and casualty insurer by market share, Liberty Mutual could be another option if you prefer a major national insurance company, especially if you reside in a state where Farmers does not offer your desired product type.
- American Family: AmFam could be a good option to explore if you prefer a premier regional insurance carrier and you live in one of the 19 states where AmFam offers home, auto and life insurance through its network of exclusive agents.
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:
- $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 coverage that meets each state’s requirements. Our sample drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
Age: Rates were calculated by evaluating our base profile with the age 16 (base: 40 years) applied. Depending on age, drivers may be a renter or homeowner. Hawaii rates indicate age is not a contributing factor.
Incidents: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), single speeding ticket and a single DUI conviction.
- Coverage A, Dwelling: $150,000, $250,000, $350,000, $450,000
- Coverage B, Other Structures: $15,000, $25,000, $35,000, $45,000
- Coverage C, Personal Property: $75,000, $125,000, $175,000, $225,000
- Coverage D, Loss of Use: $30,000, $50,000, $70,000, $90,000
- 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.
Bankrate Scores primarily reflect a weighted rank of industry-standard ratings for financial strength and customer experience in addition to analysis of quoted annual premiums from Quadrant Information Services, spanning all 50 states and Washington, D.C. We know it is important for drivers to be confident their financial protection covers the likeliest risks, is priced competitively and is provided by a financially-sound company with a history of positive customer support.
To determine how well the best car insurance companies satisfy these priorities, third-party agency ratings from J.D. Power, AM Best, S&P, NAIC, and Moodys had the most impact on the companies’ Bankrate Scores. As price is a common consideration for drivers, we analyzed quoted premiums based on 40-year-old male and female drivers with a 2019 Toyota Camry. This profile, assessed across more than 35,000 ZIP codes in the U.S., provided a basis on which drivers may compare each provider.
While coverage options, insurer availability, affordability and customer experience are often the top priorities, Bankrate also analyzed each insurer’s online and mobile resources for policy management and claims handling. Insurance is rapidly evolving to keep pace with our digital world, so these aspects also carried weight in determining Bankrate Scores.