State Farm Insurance Review

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State Farm is the largest car and home insurance provider in the U.S.

The company also offers life, health, disability, and motorcycle insurance, as well as auto loans, banking services, mutual funds, and more.

In this post, I’m going to provide an overview of how State Farm operates, with a specific focus on their auto, homeowners, and life insurance products.

I’m also going to answer some commonly asked questions about State Farm that you might be wondering about.

What is State Farm?

state farm car insuranceState Farm is a massive insurance company headquartered in Bloomington, IL. The business was founded in 1922 by a farmer named G.J. Mecherle.

From its inception, Mecherle’s mission was to be transparent and honest in all aspects of his work—a code of ethics that still guides State Farm nearly 100 years later.

The following statistics help paint a picture of just how massive State Farm is:

  • The company employs over 58,000 people.
  • State Farm services around 83 million policies. Whoa!
  • State Farm has over 340 claim offices and 30 operation centers throughout the U.S.
  • In 2019, State Farm ranked #36 on the Fortune 500.

State Farm Auto Insurance

State Farm offers car insurance plans through its network of 19,000 agents located throughout the U.S.

Depending on where you live, you’ll be matched with a licensed agent in your area.

State Farm also offers additional features beyond the traditional insurance protections I listed below, including car rental and travel expense coverage and emergency road service coverage.

State Farm Car Insurance Plans Available:

  • Basic Liability Insurance: This is the minimum amount of insurance that you need in order to legally drive your car. Liability insurance covers you for damages you cause to other people’s cars and property. It also covers medical expenses that might be incurred due to an accident that you cause.
  • Comprehensive Coverage: This covers your vehicle if it is damaged in a non-accident related incident, like a flood, fire, or vandalism.
  • Collision Coverage: This pays for your car repairs due to an accident you cause with another car or with a non-moving object (like a guardrail or stonewall).
  • Underinsured/Uninsured Motorist Coverage: This will pay for your vehicle or medical expenses if another driver causes an accident and is uninsured or if their policy doesn’t cover the full costs of the accident.
  • Medical Payments Coverage: This pays for medical or funeral expenses that might result from a serious accident.
  • Rideshare Driver Coverage: This is available to Uber or Lyft drivers, for example, who want coverage beyond what their rideshare companies offer.

State Farm Home Insurance

As the largest home insurer in the U.S., it’s safe to say that State Farm knows what it’s doing when it comes to homeowners insurance.

State Farm will cover your repair costs due to storms, fire, wind, ice, lightning, and other adverse conditions. You’ll also be protected from losses due to burglary, vandalism, riots, or even if a plane crashes into your home.

Pro Tip: State Farm recommends creating a home inventory, which is a list of all the items and valuables in your home. That way, if disaster strikes, you’ll be able to receive accurate compensation for your losses because you will have documentation of items that might have been lost or destroyed.

State Farm Life Insurance

State Farm also offers life insurance coverage in most states within the U.S.

Signing up for life insurance can be a complicated and confusing process, so I recommend contacting one of their agents who can help guide you through the process.

State Farm Life Insurance Policies Available:

  • Term Life Insurance: Provides life insurance coverage for a specific time frame that you decide (e.g., 20 or 30 years).
  • Whole Life Insurance: This is a permanent life insurance policy that provides coverage throughout the duration of your life. You’ll pay a fixed payment throughout the term of the policy. Whole life is also an investment account; you can earn interest on some of the funds you contribute.
  • Universal Life Insurance: This is similar to Whole Life in that it stays in effect throughout your entire life, and is also an investment account that earns interest. However, Universal Life policies offer more flexible payment and withdrawal options.
  • Survivorship & Joint Universal Life: State Farm also offers Survivorship and Joint Universal Life, which are designed to protect two people (for instance, a married couple).

State Farm Quotes

State Farm makes it easy for all users to get quotes on their user-friendly site:

State Farm Auto Insurance Quote

To get a State Farm auto insurance quote, you first need to enter your zip code.

Next, you’ll have to fill out your address, which State Farm uses to match you with agents in your area:

Next, you’ll enter your vehicle and driver details. This is also where you’re matched with local agents. (I didn’t include their details on this page in order to protect their privacy.)

You’ll then be asked to answer some additional information about your car, like whether it is leased or financed. At the end of this step, you can submit your quote for processing. You can also either contact the agent you’ve been matched with or let them reach out to you.

Compare Multiple Auto Insurance Companies
Select your state to get started

 

State Farm Home Insurance Quote

To get a State Farm home insurance quote, you first need to enter your zip code:

You’ll then be taken to a homeowners quote page that collects more details about you and your home.

One interesting feature is that State Farm asks you to determine how much it would cost to either rebuild or replace your home.

It appears that if you want to purchase home insurance online, you’ll need to use State Farm’s 360Value Tool to get a cost estimate of your home.

Depending on your home’s particular features, you may or may not be able to get an online quote. If that’s the case, you’ll have to contact a local agent; you’ll get their contact information during the sign-up process.

 

State Farm Life Insurance Quote

To get a State Farm life insurance quote, first, enter your state.

Keep in mind that in order to get an online quote, you’ll need to provide all of the information on this life quote checklist, including your current height and weight and the coverage amount you want.

You’ll then have to enter your personal details and select your coverage amount.

If you’re unsure of how much coverage you need, State Farm’s coverage tool can help.

Once you enter the details, you’ll get your preliminary quotes. Pretty easy, right?

 

State Farm Discounts

State Farm offers a variety of ways to get discounts, which I have listed below:

State Farm Drive Safe and Save

The first and most well known State Farm discount is by enrolling in Drive Safe and Save.

To get started, you’ll have to download the State Farm app or connect your vehicle’s OnStar system to the service.

Once you’ve downloaded the app or linked your OnStar system, State Farm monitors your driving behavior and adjust your rates according to how safe (or unsafe) you drive.

For example, Drive Safe and Save measures how fast you drive, how often you drive, and can even detect if you are the type of driver that makes frequent sudden stops. If you’re a safe driver, you may be able to earn lower rates.

Aggressive drivers, on the other hand, might see their rates increase.

Additional State Farm Discounts:

  • State Farm Steer Clear Discount: Drivers under the age of 25 are eligible to sign up for State Farm’s Steer Clear program, which rewards drivers with lower insurance rates if they keep a clean driving record and complete a safe driving course.
  • State Farm Bundle Insurance: Another way to get a discount is by bundling together your car and home insurance policies.
  • State Farm Accident Free Discount: Drivers who don’t get into an accident for three years while being insured by State Farm are eligible for a discount. This discount may increase over time as you maintain an accident-free driving record.
  • Defensive Driving Course Discount: Completing a driver safety course might help you get a better rate on your policy. Contact your local agent to see which courses might qualify in your area.
  • Student Away at School Discount: If your child is away at school and only uses your car periodically (e.g., when visiting home over the holidays), you might be eligible for a discount.
  • State Farm Good Driving Discount: Customers that are new to State Farm and go three years without getting a moving violation could be eligible for a discount.
  • Driver Training Discount: If your policy has any drivers who are under the age of 21, and those drivers complete a qualified driver education course, you might get a discount on your policy.
  • State Farm Good Student Discount: College students who get good grades and submit evidence of that to State Farm can get up to a 25% discount on their policy. This discount is available until the driver reaches 25 years of age. Not bad!

 

State Farm Security

As you might expect, State Farm takes security very seriously.

The company offers several layers of advanced cybersecurity protection, which they talk about on their security page.

State Farm Insurance Customer Service

State Farm offers customer support over the phone and online.

One thing I like about State Farm is that you’re matched with a local agent in your area, and you can then build a relationship with this person over time.

So, if you ever have an issue or question, you can get answers from a real person that you know and trust—as opposed to being matched with a random agent at a call center.

Pros and Cons of State Farm

Pros

  • Industry leader that’s well-established and trustworthy
  • Wide variety of insurance coverage options available; you can get all of your insurance needs taken care of by the same company
  • Access to a local agent who can be your insurance advocate

Cons

  • Not the cheapest insurance provider out there
  • Only received an average customer satisfaction rating by JD Power for car and property insurance
  • Online sign-up process feels old-school compared to some alternatives

Alternatives to State Farm

The main alternatives to State Farm include:

State Farm FAQs

What is the Best Auto Insurance Company?

This is a matter of personal opinion. It also depends on your driving record, what kind of car you drive, and your budget. State Farm is the largest auto insurer in the U.S., so it might be a good call to get a quote from them if you are in the market for auto insurance if for no other reason than to see how other quotes stack up.

Why is State Farm Insurance Good?

One reason people might be happy with State Farm is that they have access to a local agent. Others might appreciate the fact that they can get almost any type of insurance product from the same company.

Does State Farm Have Health Insurance?

Yes. State Farm offers health insurance. Visit that link to learn more.

Which Insurance is Better State Farm or Allstate?

This is also a matter of personal opinion. If you’re wondering which company might be better for your situation, your best bet is to sign up for free quotes from both.

You’ll then be able to see what your policy premiums will look like and can get a feel for how their customer service compares.

So, is State Farm Right for You?

If you’re in the market for car insurance, homeowners insurance, life insurance, or even health insurance, you can’t go wrong by getting a free quote from State Farm.

Their prices might be a little higher than other providers, but you can sleep easily knowing that your insurance policy is in the hands of one of the largest and most experienced insurance companies in the world.

Here’s to getting the coverage you need at a price you can afford!

State Farm

Overall Rating

9.5

Bottom Line

If you are in the market for insurance coverage, getting quotes from State Farm is a great idea. Their prices might be a little higher than other providers, but at the same time, you can sleep easy knowing that your insurance policy is in the hands of one of the largest and most experienced insurance companies in the world.

Pros

  • Trustworthy
  • Numerous Coverage Options
  • Access To Local Agents

Cons

  • Not The Cheapest
  • Average Customer Satisfaction Rating

Application Process

9.0

Coverage Options

10.0

Customer Service

9.0

Trustworthiness

10.0

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