As one of the top car insurance, State Farm has one of the lowest average rates and one of the highest customer satisfaction ratings among the firms we rank, according to our research.
State Farm Advantages and Disadvantages
The overall average premiums in our survey are among the lowest in the industry.
Only USAA has higher customer satisfaction ratings than TD Bank.
The customer support provided by local representatives may be uneven.
Drivers with low credit are subject to higher insurance prices.
Is State Farm Automobile Insurance a Good Deal?
According to our price analysis and customer satisfaction survey results, State Farm is an excellent auto insurance provider for the majority of drivers. As a result of its combination of affordable rates and excellent customer service, State Farm comes in second on our list of the best car insurance companies, slightly ahead of United Auto Insurance.
Because State Farm’s average rates were among the lowest we discovered across a wide range of driving characteristics, customers looking for cheap car insurance coverage should consider State Farm. State Farm comes in third place in our rating of the cheapest car insurance companies, behind only USAA and Geico.
Real State Farm customers who took part in our study expressed high levels of satisfaction, notably in the areas of claims management, customer service, and customer loyalty, according to the results. State Farm policyholders are more inclined than the general public to suggest the firm to relatives and friends, which is good news for the company’s future clients.
State Farm customer service is available 24/7.
State Farm comes in second place in our Best Insurer for Customer Service sub ranking, behind only USAA in the overall rating. Customers who participated in our study expressed general satisfaction with the quality of service offered by State Farm in general. When asked whether they were satisfied with the ease with which they could contact customer care, 64 percent of those who had not yet submitted a vehicle insurance claim with State Farm said they were completely satisfied. When asked whether they were entirely pleased with the customer service offered by State Farm, 66 percent of those who answered the survey said they were.
State Farm Insurance Claims Processing
According to the respondents to our study, claims processing is one of State Farm’s worst-performing sectors in terms of profitability. State Farm drops to the fifth position, putting it smack in the middle of our rankings for this category, behind USAA, Nationwide, Farmers, and Geico, among other insurance companies. Participants who filed a claim expressed complete satisfaction with the ease with which the claims were submitted, 59 percent expressed complete satisfaction with the status updates provided throughout the claims process, and 67 percent expressed complete satisfaction with the resolution of their claim. These figures fall only a few percentage points short of the results achieved by Geico, the next closest rival in this market.
The Value of State Farm Customers
According to our research, State Farm continues to gain ground in our sub ranking for the top car insurance company in terms of customer loyalty. The vast majority of survey respondents said that they are likely to refer State Farm to friends and family, earning State Farm a second-place finish in this area, exactly behind USAA, according to the poll results. Of those who had not made a claim, 34% said they would recommend State Farm to a friend or family member without hesitation. Respondents who made a claim indicated they were very likely to recommend State Farm to others, and 61 percent said they were very likely to renew their insurance coverage with the company.
Complaints against State Farm
There will always be complaints, even if the vast majority of State Farm customers who answered our poll were happy with their purchase or service. Rates are a major subject of discussion among unsatisfied customers, which we discovered is typical across the firms we evaluate. Some respondents mentioned that State Farm severely penalizes drivers with a negative credit rating, which we found to be true for the companies we rank.
It’s possible to get the same level of service for less money if you shop around.
“I’d switch if I could since my interest rates are over the sky because they base your payments on your credit,” says the borrower.
“I was dissatisfied with the manner in which my claim was handled. According to the information provided, it is my responsibility to contact the other insurance company in order to obtain my payout. It’s quite annoying.”
How Much Does State Farm Automobile Insurance Cost?
According to our yearly research of the cheapest car insurance companies, the vast majority of drivers may save money by switching to State Farm. According to our research, the average vehicle insurance premium with State Farm is $1,168. According to our research, this is the third-lowest average rate, after only USAA and Geico. This cost also indicates savings when compared to the national average rate of $1,320, which was discovered by our investigation as being the norm.
Be aware that your particular auto insurance rates quoted may vary depending on your unique circumstances. Despite the fact that State Farm often offers some of the lowest rates available, our research discovered that there are a few exceptions for specific demographic categories.
Car Insurance from State Farm for You
When it comes to vehicle insurance prices, teen drivers (or, more realistically, their parents) pay the highest premiums of any age group in our analysis by a wide margin. State Farm, on the other hand, is one among the better options, with rates that are up to 15 percent lower than the national norms in certain cases. USAA is the market leader in this age group, and although Geico offers a lower rate for males in this age group than State Farm, State Farm offers a lower rate for women in this age group.
State Farm Insurance Rates for Teens and young adults
Generally speaking, young people pay less for vehicle insurance than adolescent drivers. However, they still pay much more than older individuals. As seen by the State Farm statistics, our research team, it is customary for males in this age bracket to pay greater rates than women, as seen by the State Farm statistics. State Farm’s prices for these groups are competitive, beating out the national averages as well as all other rivals, with the exception of USAA and Geico, which are both rated below average.
Seniors’ Insurance Rates from State Farm
State Farm provides inexpensive rates to senior policyholders, which is second only to USAA and Geico in the industry. It is common for drivers in this age range to enjoy lower car insurance prices, and State Farm is an excellent alternative for these motorists to consider.
State Farm Car Insurance Rates for Drivers with Bad Credit
Drivers with a bad credit history should avoid doing business with State Farm. State Farm’s rate for this group, according to our research, is an exception to the company’s low rates in general. As a matter of fact, the State Farm rate is the most costly in our survey, and it is 26 percent more than the national average for this particular set of drivers.
State Farm Insurance Rates for Safe Drivers
The inexpensive rates offered by State Farm are an excellent alternative for individuals with a clean driving record. Compared to the national average and to every competitor in our analysis, this group of policyholders saves the most money, with the exception of USAA and Geico, according to the findings of our research.
After receiving a speeding ticket, State Farm rates increase.
Avoiding speeding is essential if you want to get low auto insurance premiums. If it’s too late for that, you may want to look into State Farm. The results of our analysis revealed that State Farm has the second-lowest average rate for this category, behind only USAA, and that this is just a minor increase over the company’s study rate for excellent drivers.
After an Accident, State Farm Insurance Rates
State Farm is a wonderful option for individuals who have had one accident in their driving history. Our research discovered a rate that is lower than the national average and lower than the rates offered by every other business in our rankings, with the exception of USAA.
After a DUI, your State Farm rates may increase.
Despite the fact that most vehicle insurance companies in our analysis severely punish drivers who have been arrested for DUI, this group may do better with State Farm than with most of its competitors. If you have this sort of offense, State Farm has the lowest average cost we identified, and drivers save around 26 percent when compared to the national average rate for this category.
Approximately how much does State Farm’s High Coverage Car Insurance cost?
If you’re seeking insurance that provides additional coverage, State Farm is at the top of our list of recommendations. We discovered that just two rivals, USAA and Geico, had lower average prices for this sort of insurance coverage, according to our research.
What Is the Cost of State Farm’s Minimum Coverage Automobile Insurance?
According to our research, State Farm is one of the cheapest auto insurance carriers for drivers looking for a policy with the bare minimum of coverage. USAA is the leader in this category, with Geico coming in second, while State Farm is a solid option for the majority of other drivers.
Automobile Insurance Discounts from State Farm
Customers and prospective customers of State Farm may reduce their insurance rates by qualifying for one or more discounts offered by the company. We discovered that State Farm’s discounts are typical of those offered by the main car insurance providers in our rankings, including savings for excellent students and drivers who have not been involved in an accident in the last year. Notably, State Farm provides not one, but two opt-in, app-based safe driving programs that are available on the company’s website. If the Drive Safe & Save app recognizes a pattern of safe driving practices, it may be possible to get savings. For policyholders under the age of 25, the Steer Clear program is an app-based safe driving program that they may participate in at any time. Take note, though, that discounts might differ from one region to another, and policyholders should always check with State Farm to see whether they are eligible.
- Students who achieve high academic standards may be eligible for discounts.
- Those students who are away from home or whose automobiles are kept while they are living at school might save money on their automobile insurance.
- Bundling/Multi-policy discounts: When you bundle your auto insurance with a homeowner’s, renter’s, or similar policy, you may save money.
- Multi-vehicle discounts: Discounts for insuring more than one vehicle under the same insurance.
- Good Driver/Clean Driving Record: Discounts are available after three years of accident-free driving on your license.
- Adults and young drivers who successfully complete an authorized defensive driving course may be eligible for a discount on their insurance premium.
- Recent model cars, as well as those fitted with particular safety and anti-theft equipment, may be eligible for discounts on insurance.
- Drivers who do not travel a great deal might save money.
- State Farm’s Drive Safe & Save and Steer Clear applications encourage safe driving practices, which may result in financial benefits for the company.
What Kinds of Automobile Insurance Does State Farm Provide?
Compared to the other major vehicle insurers in our pricing analysis, State Farm’s auto insurance coverage choices are comparable to those offered by the other major auto insurers. Basic coverage is offered to fulfill state minimum requirements, and a variety of add-ons make it possible to tailor a policy to your specific requirements.
- The driver who is uninsured or underinsured
- Roadside assistance in an emergency
- Insurance for a rental automobile
- Insurance for ridesharing services
- Coverage for recreational vehicles
- Coverage for commercial vehicles
State Farm also provides a variety of other services.
- A website that provides insurance resources to prospective consumers and allows policyholders to manage their own accounts.
- Online quotes that are fast, simple, and available whenever you want.
- Billing and payments made online, as well as via automated payments
- Billing and insurance information may be accessed using a mobile application, as well as calling roadside assistance.
- Drive Safe & Save is an opt-in telematics/tracking scheme that may result in savings for drivers who follow traffic laws and regulations.
State Farm also offers other types of insurance.
- The protection of a homeowner’s property
- Insurance for a rental property
- Insurance for condominiums
- Insurance coverage for personal belongings and identity restoration
- Insurance for farms and ranches
- Workers’ compensation insurance is a kind of business insurance.
- Insurance on one’s life
- Health insurance is a need.
- Insurance for those who are disabled
- Coverage for commercial vehicles
- Insurance for motorcycles, ATVs, and recreational vehicles
- Boat insurance is a need.
- Coverage of sports cars and antique automobiles
- Pet insurance is available.
Where can I get State Farm automobile insurance?
Auto insurance products from State Farm are accessible both online and over the phone. Additionally, State Farm offers local insurance brokers in most states, allowing you to purchase coverage in person.
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How does State Farm compare to the other auto insurance providers on the market?
We found that State Farm offers the third lowest rates out of nine major vehicle insurance providers in our survey, behind only USAA and Geico. Additionally, this insurer performs well in our customer satisfaction survey, finishing in second place only to USAA.
Who is a good candidate for State Farm automobile insurance?
State Farm is the third most affordable auto insurance provider in our rankings, making it an excellent option for the majority of motorists, particularly younger drivers. It’s worth considering buying a State Farm insurance coverage if you don’t qualify for USAA membership or don’t notice any savings with Geico.
What is the best way to get in touch with State Farm?
- Website: www.statefarm.com
- Mailing address: One State Farm Plaza, Bloomington, IL 61710
- Customer service phone number: 1-800-STATE-FARM (1-800-782-8332)
- Customer service email: Customer Forms
- Twitter: @StateFarm
Methods Used in the Development of This State Farm Car Insurance Review
We at U.S. News and World Report are dedicated to assisting individuals in making crucial choices in their lives. Our college rankings, which were first published in 1983, have become the gold standard in the educational rankings industry.
Our rankings in other industries, including healthcare, government, and the automobile industry, assist individuals and thought leaders in making decisions that improve the quality of their lives. With our Best Car Insurance Rankings, we’re continuing to provide you with the knowledge you need to make the best decisions for your life. Click here to learn more.
Four thousand eight hundred sixty-six customers who had made a vehicle insurance claim or purchased a new auto insurance policy during the previous five years were asked questions regarding their auto insurance business.
Of the survey participants, 404 made a claim with State Farm, and 319 signed up for new coverage with the company. These questions inquired about consumer satisfaction with the simplicity of submitting a claim, customer service, claim status communication, claim settlement, and the overall value of the product or service.
As a general rule, inquiries for customers who have made a claim receive more attention than queries for consumers who have merely opened an insurance policy. We also inquired as to whether or not they would suggest the firm and whether or not they intended to renew their policy.
In order to compile our Best Car Insurance Companies Rankings, we also used their responses to compile our sub-rankings: Best Car Insurance Companies-Customer Service, Best Car Insurance Companies – Claims Handling, and Best Car Insurance Companies-Customer Loyalty, as well as this company profile.
The Results of Our Research
As part of this research, U.S. News collaborated with Quadrant Information Services to examine a report of insurance prices in all 50 states from the majority of the nation’s leading national auto insurance firms, albeit not every business is present in every state. Quadrant collected pricing information that was made publicly accessible by auto insurance via their filings with state regulators.
Based on the characteristics of male and female drivers between the ages of 17 and 60, we calculated our study rates. Annual mileage ranges between 6,000 and 12,000 miles for vehicles such as the Honda Civic (2015), Toyota RAV4 (2015), and Ford F-150 (2015).
There were three different levels of automobile insurance coverage, as well as three different credit tiers: good, fair, and bad. The calculations of specific driver archetypes used both clean driving records and driving records that had just one accident, one speeding offense, and one DUI on their records.
In order to get the study rates presented here, we calculated the mean rate for male and female drivers aged 25, 35, and 60 who drive 12,000 miles per year and had medium coverage, excellent credit, and a clean driving record, and then multiplied that figure by the number of miles driven.
It should be noted that the prices shown here are merely for comparing reasons and should not be construed as “typical” rates offered by particular insurers. Because auto insurance prices are determined by a variety of criteria unique to each person, your rates will vary from those shown here.