State Farm is thought for nationwide availability along with nice costs and excessive buyer satisfaction scores. And the provider has expanded its protection to rideshare insurance coverage for Uber and Lyft drivers. This is find out how to know if State Farm is an effective decide for you.

State Farm is the most important insurer on the market, primarily based on US market share amongst nationwide insurers, according to the Insurance Information Institute. This provider companies all 50 states and Washington DC, along with a handful of provinces in Canada. However is the standard of its auto insurance coverage insurance policies commensurate with its sheer measurement? That is what we’re right here to find out.

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Along with its large availability and a number of insurance coverage merchandise, State Farm gives affordable rates, generally lots of of {dollars} decrease than the nationwide common. In the event you’re seeking to purchase your first coverage or to change carriers, State Farm is a worthy contender.

On this article

This is our evaluation of State Farm for 2022.

Like

  • Nice value for protection
  • Excessive buyer satisfaction scores
  • Low cost for younger drivers
  • Rideshare insurance coverage for Lyft and Uber drivers
  • Excessive buyer satisfaction with procuring expertise

Do not Like

  • Presently is not promoting new insurance policies in Massachusetts and Rhode Island
  • No hole insurance coverage
  • Qualifying for accident forgiveness is burdensome

Execs of State Farm automobile insurance coverage

State Farm’s clients are extraordinarily pleased with the service the provider offers primarily based on excessive customer-satisfaction scores in J.D. Energy Surveys (extra on that beneath). With lower-than-average charges, this insurer might prevent cash. State Farm additionally has a strong record of reductions, from a telematics program to a reduction particularly geared towards younger drivers.

As well as, you possibly can decide up residence, renters, boat, motorbike and motorhome insurance coverage and bundle them for added financial savings.

Cons of State Farm automobile insurance coverage

Whereas State Farm has a strong list of coverage options, it would not have all of them. For instance, the provider would not supply hole insurance coverage, which may very well be useful in case you’re leasing or financing a automobile. Hole protection helps you pay within the occasion an accident leaves your automobile badly broken or totaled, masking the distinction between your automobile’s market worth and the quantity you owe on it.

Furthermore, whereas the provider has lively insurance policies in all 50 states, it presently is not providing new insurance policies in Massachusetts or Rhode Island. 

One other disadvantage of signing up with State Farm is that it is tough to get accident forgiveness in your coverage. To qualify for State Farm’s accident forgiveness, you have to be each a State Farm buyer and accident-free for 9 years. That is notably burdensome in case you’re a younger driver and have not had a lot time behind the wheel. For comparability, Geico gives accident forgiveness after 5 years with out an accident — or you should purchase the characteristic outright. Progressive’s insurance policies additionally robotically include “small accident forgiveness” that covers claims as much as $500.

State Farm automobile insurance coverage price

Whether or not you will have a clear driving historical past otherwise you’re adding a teen driver to your policy, signing a coverage with State Farm might prevent cash, because the provider’s prices are lots of of {dollars} beneath the nationwide common. With State Farm, the typical annual premium for full protection premium based on Bankrate is $1,561 — $210 underneath the nationwide common.

State Farm premium costs

State Farm common annual full-coverage premium Nationwide common annual full-coverage premium
Clear driving historical past $1,397 $1,771
Dashing ticket $1,590* $2,138
Including a teen driver $2,077* $3,852

*Charges from 2021

State Farm protection choices

State Farm gives nearly each main protection sort you may want for an auto coverage. Listed here are a few of them:

  • Bodily harm legal responsibility safety: This protection pays for accidents to others that have been attributable to the policyholder or by further drivers listed on the coverage. Bodily harm legal responsibility safety is required in most states.
  • Property injury legal responsibility safety: This protection pays for injury that policyholders trigger to a different’s property. Most prominently, this is applicable to different automobiles, however it may possibly additionally embrace different private property like fences or mailboxes. Property injury legal responsibility is required in most US states. 
  • Private harm safety: This protection pays for the medical prices and misplaced wages of the driving force and passengers of the policyholder’s automobile if harm happens, as much as the coverage’s limits, no matter fault. PIP can also embrace protection for funeral bills and important companies, like little one care or dog-walking, that you could be be unable to carry out as a result of bodily accidents. PIP is required in 14 states.
  • Uninsured or underinsured motorist protection: This protection pays to your and your passengers’ medical bills as much as the coverage’s limits when an uninsured or underinsured motorist causes an accident. Insurance coverage carriers are required to supply this protection in all states, however the shopper could have the possibility to say no the protection. Uninsured motorist property injury is accessible in some states to assist cowl repairs to your automobile if broken by an uninsured driver.
  • Medical funds: Just like PIP protection, medical funds assist cowl the medical prices of the policyholder and their passengers as much as the coverage restrict, no matter fault. Nevertheless, in contrast to PIP, medical funds would not cowl misplaced wages or important companies. Med Pay is an elective protection in most states, however required in just a few states. 
  • Collision protection: This protection pays for injury to your automobile in an accident ensuing from a collision between your automobile and one other automobile or object.
  • Complete protection: This protection pays for injury to your automobile attributable to an occasion aside from collision. This consists of theft, fireplace, flood, hail and vandalism.
  • Rideshare protection: This protection is crucial in case you’re working for rideshare corporations corresponding to Uber or Lyft. In reality, your private auto coverage in all probability will not cowl you when you’re utilizing this service, that means you should buy this protection to be protected. Although rideshare corporations have insurance coverage insurance policies that cowl you considerably, they do go away gaps that go away you with out insurance coverage safety. That is the place rideshare protection is available in to fill these gaps. For instance, whereas your rideshare app is on, however earlier than you decide a passenger up, your rideshare firm’s insurance coverage coverage will solely embrace bodily harm and property injury legal responsibility insurance coverage. It isn’t till you decide a passenger up {that a} rideshare firm’s coverage will decide up the tab for injury performed to your automobile. However with rideshare insurance coverage, you may be coated your complete time you’re employed.

State Farm reductions

State Farm has a robust list of discounts. Listed here are some notable ones:

  • Drive Protected and Save*: 10% low cost for signing up, as much as 30% to 50% low cost over time
  • Steer Clear Protected Driver: As much as 20% low cost
  • A number of auto: As much as 25% low cost
  • Bundling: 5% to 20% low cost
  • Defensive driving course: 5% low cost
  • Good driver: 10% low cost 
  • Accident-free for 3, six and 10 years: 15%, 20% and 25% low cost, respectively

*Not out there in California, Massachusetts and Rhode Island.

Buyer satisfaction and complaints

Prospects are typically very happy with State Farm’s companies. The provider scored 892 out of 1,000, in contrast with an business common of 880, based on a J.D. Power survey. And clients are additionally notably pleased with their digital procuring expertise at State Farm when searching for a quote, rating third for on this class in J.D. Power’s Digital Experience Survey.

Together with excessive buyer satisfaction ranges, State Farm touts a low variety of complaints nationally. The provider is listed at 1.18 by the National Association of Insurance Commissioners. (1.00 is the business common; 2.00 index would imply an organization will get twice the complaints.) 

State Farm buyer satisfaction and complaints scoring 2022

A.M. Finest A++
J.D. Energy Auto Claims Satisfaction 881 out of 1,000
NAIC Grievance Index 1.18

Telematics program

State Farm’s telematics program, Drive Protected and Save, screens how a lot and the way safely you drive. You get an preliminary low cost only for enrolling in this system, and you may save as a lot as 30% off your invoice primarily based in your driving behaviors. There are two methods to take part in this system: You may join and use State Farm’s smartphone app, or you probably have a 2020 or newer Ford or Lincoln automobile, you need to use your FordPass or Lincoln Approach app to hook up with this program.

Different options we like

Past its stellar automobile insurance coverage protection choices, State Farm has many different insurance coverage merchandise (together with boat, residence, motorbike and motorhome). In the event you needed, you may carry your entire insurance policies underneath one roof and simplify your complete course of.


CNET evaluations insurance coverage carriers and merchandise by exhaustively evaluating them throughout set standards. For auto insurance coverage, we study common annual premium charges for full protection, shopper complaints, collision restore scores, the provider’s monetary power, auto claims satisfaction and general buyer satisfaction. Our knowledge comes from a mess of sources. 

Auto insurance coverage charges come from Bankrate, which gathers knowledge utilizing Quadrant Data Companies. We additionally use each J.D. Energy annual surveys that gather knowledge on buyer auto claims satisfaction and general buyer satisfaction.

Client complaints are taken from the Nationwide Affiliation of Insurance coverage Commissioners (NAIC), which collects shopper complaints throughout states, indexing complaints on a scale that takes under consideration the business common. We gather the monetary power ranking of every provider from the A.M. Finest Ranking. Lastly, we collected collision restore scores from the Crash Community Insurer Report Card, which collects knowledge from collision restore professionals, together with mechanics, to gauge the standard of collision claims service from insurance coverage carriers.


Extra automobile insurance coverage recommendation

The editorial content material on this web page is predicated solely on goal, unbiased assessments by our writers and isn’t influenced by promoting or partnerships. It has not been supplied or commissioned by any third celebration. Nevertheless, we could obtain compensation once you click on on hyperlinks to services or products supplied by our companions.



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