State Farm Car Insurance Review
State Farm gets its name from its origin story. The company was founded by two farmers who literally went from farm to farm trying to sell insurance to their neighbors. State Farm is among some of the most popular choices amongst drivers. However, they’re pricier than other providers and their premiums are higher than average. State Farm offers a wide range of insurance options to choose from and a number of discounts to lower your overall cost.
It’s been reported by customers that the repairs made from their vehicle claims were done so with non-original parts. While this will get the job done at the moment, it can prove troublesome for your vehicle down the road. Also, despite being the largest auto insurance provider in the country, State Farm is only available in 33 states.
On the other hand, State Farm has its own app, Pocket Agent. This way, you can deal with what you need to do right when you need to do it. Hence why their commercials state, “like a good neighbor… State Farm is there.”
They also offer a few unique discounts for drivers who drive safely: the Steer Clear driver program and Drive Safe and Save. Along with these, they also offer discounts for students with good GPAs, safe vehicle discounts, and customer loyalty.
State Farm offers a variety of basic auto insurance options including:
- Liability: This is the minimum requirement in most states and provides coverage against property damage or injury caused by your vehicle to others.
- Collision: This helps to pay for damage repairs for your vehicle as a result of an accident.
- Comprehensive: This pays for damage and replacement costs to your vehicle if it is involved in a non collision related incident, such as fire or theft.
- Uninsured or Underinsured Motorist: This provides coverage if you are involved in a collision with another driver. If the at fault driver has little or no insurance, this coverage ensures that you are not out of pocket.
- Medical: This provides coverage for medical treatment related expenses for injuries resulting from an accident. It can cover any injuries suffered by your passengers.
There are also several extra coverage options that will allow you to tailor your State Farm car insurance for your specific requirements. These include:
- Rental Car and Travel Expenses: This is a fairly standard extra coverage item for car insurers, but State Farm takes it one step further. Not only does this option cover your rental car when yours is in for repair after an accident, but it will also pay for transportation, lodging and meals if you’re left over 50 miles from home. The coverage limits vary by state and you need to have collision or comprehensive coverage to opt in.
- Rideshare Insurance: Ridesharing has become a more common side hustle, but you do need to have proper vehicle coverage. The State Farm Rideshare Insurance coverage option covers both your personal and ridesharing vehicle use.
- Emergency Road Service: The State Farm roadside assistance package covers reasonable expenses should your vehicle break down. This coverage covers up to one hour of mechanical labor at breakdown site, towing to a repair location, delivery of gas, oil or a change of tire and lockout services.
As with any financial product, there are both benefits and drawbacks associated with State Farm car insurance. If you are aware of the positives and negatives, you will be more equipped to make an informed purchase decision.
State Farm offers a number of discounts that can reduce your premiums. There are also discounts for bundling your policies.
State Farm is considered one of the top insurers in the country. It has solid third party ratings including ranking fifth out of 23 in a J.D Power Auto Claims Satisfaction Study.
State Farm has an award winning app that you can use to access your insurance cards, file claims, make payments and even request roadside assistance.
Since State Farm is so well established, you can take advantage of a large network of agents should you encounter any problems. Currently, State Farm has over 19,000 agents operating across the US.
Some of the coverage options are not available in all states. For example, rideshare insurance is only available in some areas.
To obtain a quote online from State Farm, you must provide the company with personal information including your VIN, date of birth, driving history and driver’s license number, in addition to your contact information.
If you have endorsements or have unique coverage needs, you may struggle to find the specialized coverage on offer with State Farm.
State Farm connects customers with a local agent. Although this can offer a level of personalized attention, customer service levels and responsiveness will vary from agent to agent.
How to Get a Quote
You can obtain a quote for car insurance by phone or on the State Farm website. To start the process, you’ll need to select the type of insurance and enter your zip code.
Once you enter your zip code and click “Start a Quote”, you’ll be directed to a form to provide your basic personal details. This includes your name, address, date of birth and policy start date.
Once you enter your address details, you will see the local agents in your area on the left hand side of the screen. You will then need to enter your vehicle details.
You can either manually enter the year, make and model of your vehicle or enter the VIN. You will also need to confirm when you purchased the vehicle, whether it is financed and the primary purpose of the vehicle, along with your estimated annual mileage.
The next step is to add drivers to the quote. Your contact details will be carried across as the primary driver, but you will need to add your driving history and any other drivers for the vehicle.
You will also need to provide either your driving license number or social security number. You can also add Household details to bundle your insurances.
Follow the prompts and provide details of any violations to receive your quote. At any stage of the process, you can send your information to an agent.
How to File a Claim
You can start the claims process online or via the app. On the website, you’ll see a Claims link on the home page. This gives you the option to start a claim or follow up on a previous claim.
You’ll need to select the type of claim and confirm you are a State Farm customer. At this point, you’ll need to log on with your User ID and password.
Just bear in mind, you will need to have some details on hand before starting the claim, including:
- The date and time of the incident
- A description of the incident and damages
- The location of the incident
- The vehicles involved.
You can also file your claim by calling the Claims Line, which is a toll free number.
Customer Satisfaction Ratings
- Not Rates on BBB: State farm is not BBB accredited. BBB assigns ratings from A+ (highest) to F (lowest). BB ratings are based on information in BBB files with respect to factors such as business's complaint history with BBB, type of business, time in business, transparent business practices and more.
- NAIC: 0.69 – This score gives insight into actual policyholder sentiments toward their policy provider. The baseline complaint index is set at 1.00, so a company with a complaint ratio of 2 for example, has received two times the national market average of complaints annually.
- A++ on A.M Best: AM Best uses its rating system to judge the strength of a company’s financial holdings and assets.
- 4.1/5 on J.D Power: We considered J.D. Power’s regional auto insurance study as well as J.D. Power’s claim satisfaction survey.
J.D Power offers the most comprehensive and independent study of customer satisfaction. The study aims to help consumers and issuers to understand user opinions and ratings of the largest car insurance companies. It covers customer satisfaction, terms, coverage options, communication, rewards and more.
J.D Power’s claim satisfaction survey rates companies on customer’s claims experiences.
|Discount||How do you receive it?|
|Drive Safe & Save||This is a usage based program that is based on safe driving measurements and your mileage. You can earn up to 30% off your premium after State Farm analyzes your driving behavior.|
|Steer Clear||This is a refresher driver training course available online via mobile app or through an agent. State Farm will give you a discount on your policy costs for drivers under 25 who have no moving violations or at fault accidents in the last three years and complete the course.|
|Multi Vehicle||If you have two or more vehicles insured with State Farm, you can earn up to 20% off your premium.|
|Accident Free||If you have continuous accident free years of coverage, you can qualify for a discount. The longer your accident free record, the bigger the potential discount.|
|Good Student||If you’re a student and you keep your grades up, you can qualify for up to a 25% discount off your policy.|
|Anti Theft||If your vehicle has an approved anti theft device, you’ll get a premium discount|
|Bundling||If you bundle your home, condo, renters or life insurance with your State Farm car insurance, you can save up to 17%.|
State Farm FAQs
State Farm does offer six month car insurance policies and this means that your rate can go up at renewal. Your rate may change if you make a claim, are involved in an accident or get a ticket during the lifespan of the policy.
State Farm has agents offering access to policies and coverage throughout the US. However, the policy options and coverage may vary according to your state or territory. So, you would need to speak to State Farm to confirm if you can access the full auto insurance policy options in your home state.
State Farm is one of the cheapest insurers on the market, offering low rates for good drivers. It can also offer competitive rates if you have a violation on your driving record or if you have little or no driving experience.
Like State Farm, Geico has coverage across the US. So, you can access products and services in all 50 states. While Geico has a reputation for low cost auto insurance, State Farm is considered one of the cheapest providers on the market. You can enjoy competitive rates even if you are a new driver or have a driving record with violations. This gives State Farm the edge over Geico as the better option for your car insurance needs.
As with State Farm, Allstate offers insurance across all 50 states. Allstate also offers a variety of coverage options with additional extras to create a tailored policy that suits your requirements. However, while Allstate does offer discounts, you are likely to pay an average cost for your insurance if you have a less than perfect profile.
This gives State Farm the edge over Allstate. You can access low cost car insurance even if you have a driving violation on your record. So, if you are looking for the best deal on your car insurance, State Farm is likely to be the better option.
State Farm is one of the cheapest insurers in the US market. This insurer offers low rates for good drivers and competitive rates for those with a less than perfect driving record. However, Travelers does offer far more policy features and add ons.
However, what makes Travelers really stand apart is its reputation for dealing with claims. There are lots of resources to help you understand the claims process and you can use the online dashboard to monitor your claim status, upload paperwork and access support. This puts Travelers over the top and makes it a better choice than State Farm.
State Farm has a far greater coverage area with agents throughout the US. So, you can gain easier access to policies and coverage. Additionally, State Farm has a solid reputation for offering affordable rates. Even if you have a ticket or offense on your driving record, you can still get a good price for your coverage.
So, unless you specifically need an additional protection plan that is exclusive to Direct Car Insurance, State Farm is likely to be the better option.
While State Farm has a solid reputation for offering good rates, Erie is considered a more affordable option. Erie is highly rated with stellar customer support and suburb coverage options. Both companies use agents in their operating territories, so you can gain access to personalized service, but Erie has a better reputation.
Additionally, while State Farm reviews the premium costs every six months, Erie allows you to lock in your rate. So, unless your circumstances change, such as changing your vehicle or moving home, you can keep your car insurance costs stable. This makes Erie the better option.
As with Progressive, State Farm is considered one of the cheapest insurers in the US. It offers low rates for good drivers and competitive rates if you have a less than perfect driving record. However, Progressive offers a wider variety of discounts and add ons that allow you to customize your coverage while offering highly competitive prices. Additionally, Progressive has an excellent reputation for dealing with claims quickly. So, overall Progressive is better than State Farm for most drivers.