Why You Might Choose State Farm Car Insurance
State Farm didn’t make our list of the best car insurance companies in our nationwide analysis, but it can still be a good choice for some drivers, especially those who like talking to an agent. Some advantages of State Farm are:
- You’ll be assigned an agent. State Farm assigns you one of its 19,000 agents to be a point of contact for quotes and policy questions. This may be one reason it has a low complaint level with state insurance departments.
- It’s available nationwide. State Farm operates in all 50 states. That makes it easy to keep State Farm if you move states.
- Its usage-based insurance (UBI) won’t raise your rates. Using its Drive Safe & Save UBI program won’t result in higher rates if you show risky driving behaviors. With competitors such as Geico and Progressive, your rates may increase if your driving score is poor.
State Farm Car Insurance Drawbacks
State Farm isn’t a great fit for all drivers due to drawbacks that include:
- Coverage options lacking. State Farm doesn’t offer accident forgiveness, a diminishing deductible, gap insurance or new car replacement. For those options you’ll need to look to one of its many competitors.
- Rates vary greatly. State Farm’s car insurance rates can be high, low or just average, depending on your driver profile. If you’re interested in State Farm, we recommend getting quotes from other companies as well to determine which insurer is best for your budget.
How Much Is State Farm Car Insurance?
State Farm’s average rate is $2,025 a year, based on our analysis. That’s on par with the national average cost of car insurance, but higher than many competitors. For example, State Farm’s average price for a good driver is over 40% higher than Nationwide’s of $1,436 per year.
State Farm Car Insurance Rates by Age
State Farm’s average rates for most ages are lower than the national average, or close to it. State Farm car insurance for 18-year-olds is 16% less than the average cost.
| Age | State Farm’s average annual cost | National average annual cost | $ difference from national average |
|---|---|---|---|
| 18 |
$4,801
|
$5,693
|
$892 lower
|
| 20 |
$3,709
|
$3,925
|
$216 lower
|
| 25 |
$2,281
|
$2,412
|
$131 lower
|
| 35 |
$2,065
|
$2,129
|
$64 lower
|
| 45 |
$2,037
|
$2,026
|
$11 higher
|
| 55 |
$1,916
|
$1,845
|
$71 higher
|
| 65 |
$1,862
|
$1,893
|
$31 lower
|
| 75 |
$2,075
|
$2,178
|
$103 higher
|
State Farm Car Insurance Rates for Adding a Teen Driver
State Farm’s cost to add a driver age 16 exceeds the national average by about $260 a year. Out of nine insurers we analyzed, State Farm is the third-most expensive for car insurance for a 16-year-old driver on a parent’s policy.
| Company | Increase per year for adding a 16-year-old driver |
|---|---|
|
$893
|
|
|
$1,606
|
|
|
$1,900
|
|
|
$1,982
|
|
|
$2,062
|
|
|
$2,466
|
|
|
State Farm
|
$2,622
|
|
$2,643
|
|
|
$2,728
|
State Farm Car Insurance Rates by Driving Record
Good drivers (those without tickets, accidents or a DUI) will find competitive rates from State Farm. Drivers with poor credit can likely find cheaper rates elsewhere.
| Driving record profile | State Farm’s average annual cost | National annual average cost |
|---|---|---|
|
Good driver
|
$2,025
|
$2,026
|
|
$2,270
|
$2,533
|
|
|
Driver who caused an accident with injury
|
$2,428
|
$3,009
|
|
$2,716
|
$3,363
|
|
|
$7,994
|
$3,889
|
State Farm Car Insurance Rates for Good Drivers
State Farm’s average rate for good drivers is the seventh-highest out of the nine companies we evaluated.
| Company | National average annual cost for good drivers |
|---|---|
|
$1,364
|
|
|
$1,436
|
|
|
$1,521
|
|
|
$1,597
|
|
|
$1,642
|
|
|
$1,826
|
|
|
State Farm
|
$2,025
|
|
$2,896
|
|
|
$3,093
|
State Farm Car Insurance Rates for Drivers With a Speeding Ticket
State Farm’s rate is 10% lower than the national average for drivers with a speeding ticket—but many competitors have cheaper rates. Geico is $120 a year cheaper than State Farm, while USAA is around $600 cheaper.
Comparing car insurance quotes if you have a ticket on your driving record is a smart way to reduce costs, as rates vary widely among companies.
| Company | National average annual cost for drivers with a speeding ticket |
|---|---|
|
$1,661
|
|
|
$1,878
|
|
|
$1,899
|
|
|
$2,062
|
|
|
$2,150
|
|
|
State Farm
|
$2,270
|
|
$2,350
|
|
|
$3,312
|
|
|
$3,951
|
State Farm Car Insurance Rates for Drivers Who Caused an Accident With an Injury
State Farm’s costs for drivers who caused an accident with an injury are about $600 a year below the national average. However, USAA, Erie, Travelers and Nationwide all have lower rates than State Farm.
| Company | National average annual cost for drivers causing an accident with injury |
|---|---|
|
$1,958
|
|
|
$2,224
|
|
|
$2,293
|
|
|
$2,337
|
|
|
State Farm
|
$2,428
|
|
$2,748
|
|
|
$2,770
|
|
|
$4,412
|
|
|
$4,545
|
State Farm Car Insurance Rates for Drivers With a DUI
State Farm’s rates are relatively cheap for drivers with a DUI, about $650 a year lower than the national average. Progressive is the cheapest, though, at around $400 a year less than State Farm.
| Company | National average annual cost for drivers with a DUI conviction |
|---|---|
|
$2,307
|
|
|
$2,604
|
|
|
$2,610
|
|
|
$2,665
|
|
|
State Farm
|
$2,716
|
|
$3,083
|
|
|
$3,723
|
|
|
$4,272
|
|
|
$4,315
|
State Farm Car Insurance Rates by Credit Score
State Farm is the most expensive company for drivers with bad credit among the insurers we analyzed. Its rates for drivers with poor credit are over $4,000 a year above the national average of $3,889.
All states except California, Hawaii, Massachusetts and Michigan allow car insurance companies to use a credit history when determining rates. Insurers say that a person’s credit correlates with the chances they will make an insurance claim in the future. This correlation leads to higher rates. State Farm’s rates for drivers with poor credit are 290% higher than its rates for those with good credit.
| Credit Score | State Farm’s average annual cost | % difference from State Farm good credit average annual rate |
|---|---|---|
|
Excellent
|
$1,410
|
31% cheaper
|
|
Good
|
$2,050
|
N/A
|
|
Fair
|
$3,141
|
53% higher
|
|
Below fair
|
$4,967
|
142% higher
|
|
Poor
|
$7,994
|
290% higher
|
State Farm Car Insurance Availability
State Farm car insurance is available in all 50 states and Washington, D.C.
State Farm Car Insurance Rates by State
Car insurance rates by state vary significantly for many reasons. These include differences in the amount of state-mandated minimum coverage and the likelihood of weather-related claims, among other factors. For example, State Farm’s average car insurance cost in Massachusetts is much lower than in Louisiana.
| State | State Farm's average annual cost | State average annual cost |
|---|---|---|
|
$1,659
|
$1,975
|
|
|
$1,960
|
$1,913
|
|
|
$2,026
|
$2,110
|
|
|
$1,826
|
$2,295
|
|
|
$2,741
|
$2,768
|
|
|
$2,386
|
$2,591
|
|
|
$2,382
|
$2,252
|
|
|
$2,151
|
$2,405
|
|
|
$2,694
|
$3,865
|
|
|
$2,757
|
$2,003
|
|
|
$1,659
|
$1,369
|
|
|
$977
|
$1,246
|
|
|
$2,245
|
$1,903
|
|
|
$2,045
|
$1,627
|
|
|
$1,511
|
$1,559
|
|
|
$2,299
|
$2,032
|
|
|
$2,740
|
$2,496
|
|
|
$4,441
|
$3,545
|
|
|
$1,637
|
$1,361
|
|
|
$1,884
|
$2,210
|
|
|
$900
|
$1,804
|
|
|
$3,880
|
$2,372
|
|
|
$1,927
|
$2,016
|
|
|
$1,676
|
$1,917
|
|
|
$2,213
|
$2,434
|
|
|
$1,454
|
$2,354
|
|
|
$2,140
|
$1,709
|
|
|
$1,940
|
$2,496
|
|
|
$1,700
|
$1,390
|
|
|
$2,752
|
$2,438
|
|
|
$1,993
|
$2,082
|
|
|
$2,507
|
$2,612
|
|
|
$988
|
$1,470
|
|
|
$1,835
|
$2,190
|
|
|
$1,234
|
$1,434
|
|
|
$2,089
|
$2,741
|
|
|
$1,793
|
$1,748
|
|
|
$2,302
|
$2,353
|
|
|
$1,630
|
$2,080
|
|
|
$2,365
|
$2,172
|
|
|
$1,860
|
$2,075
|
|
|
$1,892
|
$1,843
|
|
|
$1,729
|
$2,609
|
|
|
$3,529
|
$2,050
|
|
|
$918
|
$1,158
|
|
|
$1,890
|
$1,755
|
|
|
$1,411
|
$1,525
|
|
|
$2,111
|
$1,942
|
|
|
$2,115
|
$1,655
|
|
|
$1,526
|
$1,531
|
Auto Insurance Complaints Against State Farm
State Farm has a lower level of auto insurance complaints than some of its competitors, based on complaints made to state insurance departments. State Farm’s top auto insurance complaints are related to claim delays, unsatisfactory claim settlement offers, rates, adjusters’ handling of claims and claim denials.
State Farm Car Insurance Complaints Trend
State Farm’s complaint levels have risen slightly in the last two years but are still lower than the industry average.
State Farm’s Grade from Collision Repair Professionals: C-
State Farm earned a C- grade in a survey of collision repair professionals by the CRASH Network.
The opinions of auto body professionals are valuable because they see how insurers compare in the use of lower-quality repair parts, whether insurers encourage the use of repair procedures recommended by car makers and whether insurers have claims processes that lead to fast and satisfactory claims for customers.
State Farm Car Insurance Collision Repair Grade Trend
State Farm’s grade from collision repair specialist has been pretty constant at a C or C-, which suggests its claims processes are mediocre and could be improved.
| Year | State Farm's Collision Repair Grade |
|---|---|
| 2021 |
C
|
| 2022 |
C-
|
| 2023 |
C
|
| 2024 |
C-
|
State Farm Auto Insurance Coverage and Add-Ons
State Farm sells the core types of car insurance that can be required to drive legally, such as liability insurance and uninsured motorist coverage.
Add-on coverage lets you customize a policy for extra needs you may have. State Farm has fewer optional coverage offerings than many of its competitors, but it does offer the following add-on coverage.
Add-On Coverage State Farm Does Not Offer
State Farm does not offer these types of optional coverage or programs:
- Accident forgiveness. State Farm doesn’t provide accident forgiveness insurance that keeps your rates from increasing after you cause an accident.
- Diminishing deductible. State Farm does not offer a diminishing deductible, which reduces a driver’s deductible for every year they don’t file a collision or comprehensive coverage claim.
- Gap insurance. Gap insurance is not an option with State Farm. It’s useful if you total your car and owe more on your lease or loan than what the car insurance policy pays out for its loss.
- New car replacement coverage. State Farm does not have new car replacement coverage, which pays to replace your recently purchased vehicle with a new vehicle of the same make and model if the car is totaled in an accident covered by the policy.
- Pay-per-mile car insurance. State Farm does not offer a pay-per-mile program. Pay-per-mile car insurance has a base rate and then a per-mile rate, so it can lead to lower rates if you don’t drive a lot.
State Farm Car Insurance Discounts
It’s important to ask about car insurance discounts when buying a policy to see if you can lower your costs even more.
Here are some discounts offered by State Farm.
State Farm Auto Insurance Digital Experience
State Farm’s digital experience is very good. It received a score of 4.6 stars (out of 5 stars) based on our analysis of the company’s mobile app and website functionality.
State Farm’s website offers online quotes, ways to pay online and a helpful search function. A Spanish version of its site is also available.
State Farm’s app had the highest average user rating score of the companies we evaluated.
The State Farm mobile app enables customers to manage insurance policies, roadside problems and State Farm banking accounts from their smartphones. You can:
- Access insurance ID cards.
- Connect with your agent.
- File a claim.
- Pay your insurance bill.
- Start a roadside assistance request.
- Upload photos and documents for claims.
State Farm Auto Insurance Payments, Claims and Cancellation
State Farm makes it easy to make payments, file an auto insurance claim and cancel a policy if necessary. Since you’re assigned an agent when you buy with State Farm, you can ask your agent for help with any of these items.
State Farm Overview
State Farm was founded in 1922 by a retired farmer and insurance salesman George Jacob “G.J.” Mecherle. Although it began as an auto insurance company, State Farm now offers more than 100 different products and services across five different industries.
State Farm is the largest auto insurance company in the U.S., with a market share of about 18% for private passenger auto insurance.
State Farm AM Best Financial Strength Rating
State Farm has an A++ (Superior) financial strength rating with AM Best, which is the top available rating.
A high financial strength rating indicates a company will be able to pay future claims.
More Insurance From State Farm
State Farm also sells:
- Business insurance (commercial liability umbrella, commercial auto and workers compensation).
- Disability insurance.
- Farm and ranch insurance.
- Home insurance.
- Life Insurance.
- Medicare supplement.
- Motorcycle insurance.
- Motorhome insurance.
- Off-road vehicles.
- Renters insurance.
- Supplemental health insurance.
- Umbrella insurance.
Methodology
To identify the best car insurance we evaluated each company on its auto insurance rates, the coverage options offered, complaints against the company and its collision repair process.
Auto insurance rates (50% of score): We used data from Quadrant Information Services to find average rates from each company for good drivers, drivers who have caused an accident, drivers with a speeding ticket, drivers with a DUI, drivers with poor credit, drivers caught without insurance, adding a teen driver, senior drivers and young drivers.
Unless otherwise noted, rates are based on a 40-year-old female driver with a Toyota RAV4 and coverage of:
- $100,000 for injuries to one person, $300,000 for injuries per accident and $100,000 of property damage (known as 100/300/100).
- Uninsured motorist coverage of 100/300.
- Collision and comprehensive insurance with a $500 deductible.
Car insurance coverage options (25% of score): Any auto insurance company can provide the basics of liability insurance, collision and comprehensive coverage and other standard offerings. But it’s also important to have access to additional coverage types that can provide greater protection or cost savings. In this category we gave points to companies that offer accident forgiveness, new car replacement, vanishing deductibles, usage-based or pay-per-mile insurance and SR-22s.
Complaints (20% of score): We used complaint data from the National Association of Insurance Commissioners. Each state’s department of insurance is in charge of logging and monitoring complaints against the companies that operate in their states. Most auto insurance complaints center on claims, including unsatisfactory settlements, delays and denials. The industry complaint average is 1.00, so companies with a ratio below 1.00 have lower levels of complaints.
Collision repair (5% of score): We incorporated grades of insurance companies from collision repair professionals. We used data provided by CRASH Network, a weekly newsletter covering the collision repair and auto insurance market segments. CRASH Network’s Insurer Report Card used grades from more than 1,100 collision repair professionals to gauge auto insurers on the quality of their collision claims service.
State Farm Auto Insurance Frequently Asked Questions
Is State Farm good auto insurance?
Yes, State Farm can provide good auto insurance. It’s available in all 50 states, has a low level of complaints and assigns you an agent for personalized service. But depending on your driver profile, it may be a bit pricey.
State Farm’s costs for drivers with a DUI are fairly good, and it’s competitive for drivers with a speeding ticket or who caused an accident, but are very high for drivers with poor credit. Parents adding a teen driver and senior drivers also see expensive costs with State Farm.
How can I contact State Farm?
You can contact State Farm through its mobile app, online or by phone. Your assigned agent should be able to answer questions about your policy and give you new rate quotes.
For general questions, you can phone 800-782-8332, and the phone number to make a payment is 800-440-0998.
Does State Farm provide rideshare insurance?
Yes, State Farm offers rideshare insurance. Lyft and Uber drivers can buy rideshare insurance from State Farm that extends the same limits and deductibles your personal policy has to you when the rideshare app is on and you’re waiting to be matched with a rider.
