State Farm auto insurance review and ratings 2024

State Farm is No. 6 in Insure.com’s ranking of the Best Car Insurance Companies for 2024, with 4.27 stars out of 5. State Farm has high scores for customer satisfaction, trustworthiness and ease of service.

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Our take

State Farm is No. 6 in Insure.com’s ranking of the Best car insurance companies for 2024 with 4.27 stars out of 5 stars. 

State Farm customers report being highly satisfied with the company because of its ease of service and 92% of its customers said they would sign up again with the company. Customers also report they like the company’s commitment to excellent in-person service. 

State Farm also received an A++ credit rating for financial stability from AM Best. 

Below is Insure.com’s review of the company. It’s based on third-party metrics and an in-depth survey of insurance customers. Find the full methodology here, including an explanation of our survey scores.

State Farm
State Farm Ratings
Overall Rating: 4.3
Average Premium: 3.2
NAIC: 0.70
Customer Satisfaction: 4.2
AM Best Rating: A++

Pros and Cons

Pros:
  • Great for claims handling
  • Customers say they would recommend the company to others
  • Highly ranked for ease of service
Cons:
  • Doesn’t have the lowest auto insurance rates
  • Didn’t score well for its level of discounts

How much State Farm costs

State Farm’s monthly rates of $165 are between Erie’s $123 at the low end and CSAA Insurance Group’s $217 at the high end.

Company Monthly premium
Erie$123
Auto-Owners$129
Nationwide$129
Travelers$132
Auto Club Group (ACG) – AAA$135
American Family$142
Geico$147
State Farm$165
Progressive$166
Amica$185
Auto Club of Southern California (Auto Club Enterprise Insurance Group)$192
Mercury$193
Farmers$199
Allstate$209
CSAA Insurance Group$217

How State Farm scores on customer satisfaction

When you ask State Farm customers about their satisfaction, the vast majority said they were happy with the company. The insurer tied with Farmers for having the third-highest score in this category, which was led by Erie. 

CompanyPercent of customers who are satisfied
State Farm84%
Erie90%
Geico75%

How State Farm scores on ease of service

State Farm scored highly in customer satisfaction and scored well when customers were asked about its ease of service – it got the second-highest score after Erie. Ease of service gauges the ease with which customers can access policy documents and change a policy.

CompanyPercent of customers satisfied with the company’s ease of service
State Farm86%
Erie90%
Geico79%

How State Farm scores on policy offerings

When we asked customers to rate insurance companies based on policy offerings, State Farm ranked high. In this category, which Erie led, only a handful of companies had higher scores.

CompanyPercent of customers satisfied with the company’s policy offerings
State Farm84%
Erie88%
Progressive72%

Would current customers recommend State Farm to others?

Survey respondents highly recommend State Farm. Of the dozen companies ranked on Insure.com’s list, it ranks second behind only Erie when customers were asked if they would recommend the company to others. 

CompanyPercent of customers who would recommend the company to others
State Farm92%
Erie100%
Progressive91%

How trustworthy is State Farm?

When customers were asked to rank insurance companies for trustworthiness, State Farm was again one of the top companies in our survey. Customers ranked it almost as high as Erie, which received the highest score in this category at 86%.

CompanyPercent of customers who say they trust the company 
State Farm82%
Geico73%
Progressive75%

Do State Farm customers plan to renew?

Most State Farm customers – 92% – who responded to the survey said they planned to renew, right behind Erie (100%), Auto Club of Southern California and Mercury (95%).

CompanyPercent of customers who plan to renew with the company
State Farm92%
Geico91%
Allstate87%

How State Farm scores on claims handling

When it comes to claims handling, State Farm ranked second on our list – just behind Allstate’s 86% and above competitors such as Erie, Geico, Farmers, Travelers and Progressive.

Company Percent of customers who are satisfied with the company’s claims handling
State Farm 85%
Allstate 86%
Progressive 73%

How State Farm scores on digital experience

For digital experience – including both websites and apps – State Farm scored among the top five companies. However, most insurers didn’t score highly in this category – average scores were in the 40th-to-60th percentile range. Geico led this category.

Company Percent of customers satisfied with the company’s digital experience
State Farm 54%
Geico 64%
Progressive 60%

How State Farm scores for discounts

When customers were asked about discounts, State Farm was ranked near the middle, scoring 64%. The top score in this category was 70% (Auto Club of Southern California earned it). Most scores were in the 50th and 60th percentile.

Company Percent of customers satisfied with the company’s discounts
State Farm 64%
The Hartford 80%
Nationwide 47%

How State Farm scores for bundling home and auto policies

State Farm landed in the top 5 regarding the size of the discount for bundling auto and home. Other top insurers in this category were Erie at 69%, American Family at 66%, Travelers at 62% and then State Farm at 61%.

Company Percent of customers satisfied with the company’s home and auto bundling
State Farm 61%
American Family 66%
Nationwide 44%

State Farm car insurance coverages

  • Auto
  • Motorcycle
  • Boat
  • ATV and off-road vehicle
  • RV

State Farm additional insurance policies

  • Homeowners
  • Condominium
  • Renters
  • Umbrella 
  • Rental property
  • Personal property
  • Manufactured home
  • Farm and ranch
  • Small business

State Farm car insurance coverage options

  • Liability
  • Comprehensive 
  • Collision
  • Car rental and travel expenses coverage
  • Uninsured motor vehicle coverage
  • Medical payments coverage
  • Emergency road service coverage
  • Rideshare (in certain states)

State Farm car insurance discounts

Discounts vary by state.

  • Drive Safe & Save
  • Steer Clear
  • Accident-free and good driver savings
  • Defensive driving course discount
  • Good driver discount
  • Vehicle safety savings
  • Passive restraint discount
  • Anti-theft discount
  • Multiple auto savings
  • Bundle and save

States where State Farm offers coverage

Graph
Table
States where State Farm offers coverage
Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
North Carolina
North Dakota
Ohio
Oklahoma
Oregon
Pennsylvania
Rhode Island
South Carolina
South Dakota
Tennessee
Texas
Utah
Vermont
Virginia
Washington
Washington D.C.
West Virginia
Wisconsin
Wyoming
AL AK AZ AR CA CO CT DC DE FL GA HI ID IL IN IA KS KY LA ME MD MA MI MN MS MO MT NE NV NH NJ NM NY NC ND OH OK OR PA RI SC SD TN TX UT VT VA WA WV WI WY
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Company Background

State Farm

Like a good neighbor, State Farm has been a supportive insurer across the United States for many years. Founded in 1922, it is now the country’s largest private car insurance company, with more than 19,400 agents in the U.S. and Canada.

Since it began, it has grown to offer a myriad of additional financial products, such as loans, banking and retirement accounts, investment accounts and estate planning.

Resources & Methodology

Sources:

State Farm. “Car insurance coverage options.” Accessed February 2024.

State Farm. “Insurance.” Accessed February 2024.

Methodology

Insure.com in the fall of 2023 surveyed more than 1,750 insurance consumers (1,459 people with auto insurance). Online market research company Slice MR conducted the survey. Respondents were asked to name their auto insurer and then grade it in the following categories – customer satisfaction, ease of service and policy offerings. The percentage of respondents who said they were satisfied or very satisfied with their insurer is presented in the results.

Respondents were then asked to pick their insurer’s top three attributes out of more than a dozen presented – trustworthiness, claims satisfaction, digital experience, discounts and best for auto/home bundling. The responses for each attribute were totaled and then divided by the number of each company’s customers who responded to that survey question to create a percentage. 

Respondents were then asked if they would recommend their auto insurer to someone else and whether they would renew with their company. The percentage who said yes is presented in the results.

Finally, respondents were given the statement “I trust my insurance company” and asked if they strongly agreed, agreed, disagreed or strongly disagreed with the statement. The percentage of those who said they agreed or strongly agreed is presented in the results.

The editors compiled the survey results and then selected – based on the number of survey responses – the top companies for further evaluation. 

They then collected AM Best data, which measures financial strength, and National Association of Insurance Commissioners’ complaint data, which ranks a company by the number of customer complaints it receives. The Insure.com team identified the NAIC company code or codes that were the primary underwriting companies for each carrier and line of business using total annual premiums. The associated NAIC complaint index score was used in the calculations. If more than one underwriting company was identified for a line, the editors used a weighted average of the NAIC complaint index scores.

In addition, we also created star rankings for each company. Respondents were asked to pick their insurer’s top three attributes out of the more than the dozen presented, again including customer satisfaction and policy offerings. The number of responses for each attribute was totaled and then divided by the number of each company’s customers who responded to that survey question to create the star ranking. 

The editors also collected insurance rate data from Quadrant Information Services.

With the help of Prof. David Marlett, Ph.D., Managing Director of the Brantley Risk and Insurance Center at Appalachian State University, the editors created a rating system to determine which insurance companies were best in each sector. For auto insurers, we took the following and gave each a weight.

  • Survey: 40% of the total score (10% customer satisfaction, 10% recommended, 10% renewal rate and 10% claims handling)
  • Annual premium: 20% of the total score
  • AM Best: 25% of the total score
  • NAIC: 15% of the total score

Each insurer was awarded from half a star to 5 stars. No insurer in our star ranking received less than half a star and 5 stars was the most any insurer could receive.

author image
Barry Eitel
Contributing Researcher

 
  

Barry Eitel is a content writer and journalist focused on insurance, small business and finance. He has researched and written about personal finance since 2012, with a special focus on entrepreneurship, freelancing and other small business operations. His writing on insurance and small business has been featured in 7x7, Brit + Co, Intuit Quickbooks, Bankrate, Policygenius and Lendio.

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