State Farm insurance review 2023

State Farm car insurance received a high Bankrate Score of 4.2 out of 5.0. To assign this Score, our insurance team conducted a State Farm insurance review that analyzed discount availability, customer satisfaction scores and financial strength ratings. The company ranked above the industry average in the J.D. Power 2023 U.S. Auto Insurance Study in all regions and boasts a financial strength rating of A++ (Superior), the highest rating possible from AM Best.

Founded in 1922, State Farm is a full-lines insurer that writes new auto and home policies in all states except Massachusetts and Rhode Island. As of May 2023, State Farm also no longer writes new home insurance policies in California. The company could be a good choice for drivers looking for the personal touch of a local agent, lower-than-average premiums and top-notch customer service. It may also be a good choice for those seeking to improve their driving habits with its Drive Safe and Save telematics program.

State Farm offers all the coverage types required in various states, including bodily injury liability, property damage liability, uninsured motorist, underinsured motorist, medical payments and personal injury protection. You can also find optional coverage for comprehensive, collision, emergency road service, ridesharing, and car rental and travel expenses.

With a Bankrate Score of 3.2, State Farm stands out in the homeowners insurance market for high customer satisfaction scores, superior financial strength and nearly nationwide availability. State Farm is the largest home insurance company in the country by market share and consistently ranks above average in customer and claims satisfaction, per J.D. Power.

In addition to standard coverages such as dwelling, personal property, liability and additional living expenses, the company offers a unique fire safety program through its partnership with Ting. Policyholders may be eligible for a free device that monitors their home’s electrical systems and alerts homeowners of potential fire hazards. Another standout feature is State Farm’s Premier Service Program, which may help eligible policyholders find reputable contractors after a loss. These contractors also guarantee their repairs for five years.

State Farm was awarded a Bankrate Award for best term life insurance due to its many term options, excellent third-party customer satisfaction scores and its offering of no-medical exam coverage. State Farm life insurance may be best for those looking for a wide array of policy types. The company also ranked first for overall customer satisfaction in the 2022 U.S. Individual Life Insurance Study from J.D. Power. Additionally, State Farm was included on Bankrate’s list of the best cheap life insurance companies.  

No matter what type of life insurance policy you’re looking for, you’ll likely find it at State Farm. The company offers four different types of life insurance products: term, whole, universal and variable. If you’re unsure which policy type is right for you, your local State Farm agent may be able to help you assess your needs and choose coverage.

After reading this State Farm Insurance review, you might not be sure if State Farm is the right company for your insurance needs. In this case, you could consider comparing quotes from these similar insurance companies:

Bankrate’s insurance editorial team has real-life experience handling the insurance needs for thousands of people across the country. To help give our readers vital information that can help them choose the best company for their circumstances, we use our four decades of combined experience to conduct thorough and honest insurance company reviews, like this State Farm insurance review.

With that in mind, State Farm could be a good company, but it depends on your needs. It’s the largest insurer in the country by market share, and it offers a wide range of insurance products and financial services. Whether you like to do business in an office or online, State Farm could accommodate you. However, it may not offer as many discounts or endorsements for homeowners insurance as other companies. If these are a priority for you, it may be a good idea to contact a local State Farm agent to discuss your options before making the switch.

State Farm customer complaints 

Bankrate also evaluated how State Farm ranked in the National Association of Insurance Commissioners (NAIC) complaint index. The NAIC complaint index tracks complaints filed by real State Farm customers for different insurance products, like home and auto policies, and awards a score. An insurance provider will have multiple scores: an overall one as a company, and a score for each insurance product it offers. 

The NAIC sets its baseline at 1.00, and a score lower than that indicates that an insurance company receives fewer complaints than expected. As you may expect, a score higher than 1.00 indicates that a company receives more complaints than expected. State Farm’s overall complaint index skews higher, sitting at 1.48. Its overall score is a combination of all of its insurance products and could be thrown off by its commercial liability insurance sky-high score of 44.95. Its scores for personal auto insurance and home insurance are much more favorable. 

Other State Farm tool and benefits

State Farm offers several benefits that may make the carrier worth looking into. These include:

• Local agents: The company offers an exclusive network of more than 19,000 local agents across the U.S. This may make the company accessible and easy to work with.
• Digital tools: State Farm offers a user-friendly mobile app and several online tools that allow policyholders to digitally view documents, make payments, claims-filing and access customer support.
• Landlord insurance: If you own a property that you rent out to tenants, you might be interested in State Farm's rental insurance. This landlord insurance offering includes standard coverage as well as coverage for loss of rent due to a covered peril.
• Umbrella insurance: Umbrella insurance may help protect your finances by paying additional liability coverage for home and auto policies in the event of a major liability claim or lawsuit.
• Pet insurance: State Farm partners with Trupanion to provide insurance for your cat or dog. 
• Identity theft protection: For around $25 per year, you may add identity theft protection to your home, condo or renters insurance policy. Policies are available in all states except for North Carolina. 
• Boat insurance: State Farm’s standard boat insurance policy includes liability coverage in addition to protection from sinking, storms, theft and other perils. 
• Motorcycle insurance: State Farm’s motorcycle insurance policies may include coverage for attached sidecars and motorcycle protective gear. 
• ATV and off-road vehicle insurance: State Farm takes a liberal approach to which off-road vehicles it includes in its policies; camping trailers, snowmobiles, golf carts and even dune buggies may all be insured with State Farm.
• RV insurance: RV policies can help protect a number of perils like collision and theft. 
• Renters insurance: State Farm is on Bankrate’s list of the best renters insurance companies.  
• Condominium insurance: You can purchase condo, or HO-6, insurance from State Farm if you cannot get insurance through your condo association.
• Personal banking: State Farm offers a suite of personal banking products through their partnership with US Bank®, like credit cards and checking accounts.

Frequently asked questions about State Farm

Bankrate utilizes Quadrant Information Services to analyze 2023 rates for ZIP codes and carriers in all 50 states and Washington, D.C. Auto insurance rates are weighted based on the population density in each geographic region. 

Auto

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 coverage that meets each state’s requirements. Our base profile drivers own a 2021 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. 

Age: Rates were calculated by evaluating our base profile with the ages 16-60 (base: 40 years) applied. Depending on age, drivers may be a renter or homeowner. Age is not a contributing rating factor in Hawaii and Massachusetts.

The rates for drivers ages 16-20 added to their parent's policy reflect the good student and driver's training discounts applied. The rates for drivers aged 16-20 on their own policy do not include the good student and driver's training discounts. Additionally, 25-year-old rates are based on the driver as a renter and 30+ on the driver as a homeowner. 

Incidents: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), single speeding ticket and single at-fault accident.

Homeowners

Quoted rates are based on 40-year-old male and female homeowners with a clean claim history, good credit and the following coverage limits:

• Coverage A, Dwelling: $150,000, $250,000, $350,000, $450,000, $750,000
• Coverage B, Other Structures: $15,000, $25,000, $35,000, $45,000, $75,000
• Coverage C, Personal Property: $75,000, $125,000, $175,000, $225,000, $375,000
• Coverage D, Loss of Use: $30,000, $50,000, $70,000, $90,000, $150,000
• Coverage E, Liability: $300,000, $300,000, $300,000, $300,000, $500,000
• 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 methodology

Our 2023 Bankrate Score considers variables our insurance editorial team determined impacts policyholders’ experiences with an insurance company. These rating factors include a robust assessment of each company’s product availability, financial strength ratings, online capabilities and customer and claims support accessibility. Each factor was added to a category, and these categories were weighted in a tiered approach to analyze how companies perform in key customer-impacting categories.

Like our previous Bankrate Scores, each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. This year, our 2023 scoring model provides a more comprehensive view, indicating when companies excel across several key areas and better highlighting where they fall short.

• Tier 1 (Cost & ratings): To determine how well auto and home insurance companies satisfy these priorities, 2023 quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best and the NAIC, were analyzed.
• Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated each company’s discount options listed on its website.
• Tier 3 (Support): To encompass the many ways an auto and home insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored a company’s corporate sustainability efforts.

Tier scores are unweighted to show the company's true score in each category out of a possible five points.