State Farm car insurance review 2023
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BLUEPRINT
Updated 11:45 a.m. UTC July 31, 2023
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State Farm
Pros
- Below average rates for many drivers, including teens and those with a speeding ticket.
- Rideshare coverage is available.
- Low level of complaints to state insurance departments.
- Files SR-22s if needed.
- Drive Safe & Save program can save you up to 30% on premiums.
Cons
- No gap insurance, vanishing deductible or accident forgiveness.
- High premiums for drivers with a low credit score.
- Low score from CRASH Network, reflecting collision repair professionals’ opinions of how well State Farm handles claims and repairs.
Why trust our insurance experts
Our team of experts evaluates hundreds of insurance products and analyzes thousands of data points to help you find the best product for your situation. We use a data-driven methodology to determine each rating. Advertisers do not influence our editorial content. You can read more about our methodology below.
- 780 companies analyzed.
- 7,800 rates reviewed.
- 5 levels of fact-checking.
Does State Farm have good car insurance?
Yes, State Farm can provide good car insurance to many types of drivers. In particular, teen drivers added to a parent’s policy, drivers with an accident on their record and senior drivers (age 60 to 80) may find competitive rates with State Farm. Teen drivers could especially benefit from State Farm’s Good Student Discount — up to 25% — and the Steer Clear Safe Driver Discount.
Still, State Farm’s average rates are often less competitive than some other insurers we analyzed. If you’re considering State Farm coverage, be sure to get a quote from at least two other insurers in our best car insurance or cheapest car insurance ratings. This is especially true if you have poor credit or are between the ages of 18 and 25, as State Farm’s average rates for drivers in those groups are higher than average.
State Farm also receives a lower volume of customer complaints compared to the average insurance provider, according to data from the National Association of Insurance Commissioners. Only a handful of providers have fewer customer issues reported.
State Farm compared to other top car insurance companies
| Company | Our rating | Average annual cost | Complaint level | LEARN MORE | ||
|---|---|---|---|---|---|---|
| American Family | 5.0 stars | $2,176 | Very low | Compare Rates | Compare rates offered by participating partners | |
| Auto-Owners | 5.0 stars | $1,628 | Low | Compare Rates | Compare rates offered by participating partners | |
| Nationwide | 5.0 stars | $2,041 | Very low | Compare Rates | Compare rates offered by participating partners | |
| USAA | 5.0 stars | $1,412 | Average | Compare Rates | Compare rates offered by participating partners | |
| Geico | 4.5 stars | $1,716 | Average | Compare Rates | Compare rates offered by participating partners | |
| Travelers | 4.5 stars | $1,852 | Very low | Compare Rates | Compare rates offered by participating partners | |
| Westfield | 4.5 stars | $1,759 | Very low | Compare Rates | Compare rates offered by participating partners | |
| Allstate | 3.5 stars | $3,000 | Low | Compare Rates | Compare rates offered by participating partners | |
| Farmers | 3.5 stars | $2,381 | Low | Compare Rates | Compare rates offered by participating partners | |
| Progressive | 3.5 stars | $2,157 | Low | Compare Rates | Compare rates offered by participating partners | |
| State Farm | 3.5 stars | $1,959 | Low | Compare Rates | Compare rates offered by participating partners | |
| Erie | 3.0 stars | $2,144 | Low | Compare Rates | Compare rates offered by participating partners | |
| Safe Auto | 1.0 stars | $2,647 | Very high | Compare Rates | Compare rates offered by participating partners |
Types of car insurance coverage offered by State Farm
State Farm offers a wide range of car insurance coverage options, though notably absent are options for gap insurance, accident forgiveness and a vanishing deductible.
Here’s a look at the types of car insurance coverages you can add to your State Farm policy:
- Collision coverage.
- Comprehensive coverage.
- Liability insurance.
- Medical payments coverage.
- Uninsured and underinsured motorist coverage.
- Emergency road service coverage.
- Nonowners insurance.
- Rideshare insurance.
- Personal injury protection.
- Rental car reimbursement coverage.
- Travel expense coverage.
- SR-22s.
- Usage-based insurance.
Other insurance products offered by State Farm
State Farm is the largest car insurance company in the United States, but it offers far more than just auto coverage. Other vehicle policies include:
- Homeowners insurance.
- Long-term disability and short-term disability insurance.
- Pet insurance.
- Renters insurance.
- Term life insurance.
- Umbrella insurance.
- Whole life insurance.
- Artisan and service contractors insurance.
- Boat insurance.
- Business and professional liability.
- Business owners policy bundles.
- Commercial auto insurance.
- Condo insurance.
- Farm and ranch insurance.
- Identity restoration insurance.
- Individual medical insurance.
- Manufactured home insurance.
- Medicare supplemental insurance.
- Motorcycle insurance.
- Motorhome insurance.
- Off-road vehicle insurance.
- Personal article insurance.
- Personal liability insurance.
- Rental property insurance.
- Supplemental health insurance.
- Surety and fidelity bonds.
- Travel trailer insurance.
- Universal life insurance.
- Workers’ compensation.
Outside of insurance policies, State Farm offers personal banking services (checking and savings accounts, CDs and credit cards) through U.S. Bank and home loans through Rocket Mortgage. State Farm also features business banking services and various investment products and services.
State Farm car insurance reviews
According to data from the National Association of Insurance Commissioners (NAIC), State Farm receives a lower-than-average volume of customer complaints.
Typical car insurance customer complaints focus on the claims process, from getting a claim approved to receiving a satisfactory payout in a timely manner. The fact that State Farm receives a low volume of complaints signifies that customers are generally happy with the claims process.
State Farm received a C grade from CRASH Network. The CRASH Network surveys over 1,000 collision repair professionals each year about how insurers handle claims, including the quality of parts used during repairs, their payment practices and customer service. State Farm’s grade is average among the insurers we analyzed.
Methodology
Our insurance experts evaluated top car insurance companies in the nation to determine which offer the best auto insurance based on average rates, coverage features, collision claims process and consumer complaints.
Each car insurance company was eligible for up to 100 points, based on its performance in the following key categories:
Cost: 50 points. We analyzed rates from Quadrant Information Services based on seven driver profiles for a policy with 100/300/100 in liability coverage, uninsured motorist coverage and comprehensive and collision coverage. We awarded up to 50 points based on insurers’ average rates for:
- Drivers in various age groups.
- Drivers with bad credit.
- Good drivers.
- Drivers with infractions, such as speeding tickets, an accident or a DUI on their record.
Consumer complaints: 30 points. We collected complaint data from the National Association of Insurance Commissioners, which shows the volume of car insurance consumer complaints against each company. When a consumer lodges a complaint to their state’s department of insurance — often about an insurance company’s claims process, delays, denials or settlements — these complaints are logged and tracked.
Car insurance coverage features: 15 points. Car insurance policy features can help make coverage more affordable both before and after an accident or covered incident. We evaluated car insurance policies offered by each insurer and awarded points to insurers that offered these valuable benefits:
- Accident forgiveness (5 points).
- New car replacement (5 points).
- Vanishing deductible (5 points).
SR-22 availability: 5 points. After a major traffic violation, some drivers must provide proof that they have the type and amount of coverage required by their state. Proof of coverage is obtained through an SR-22 filing, but not all insurers offer SR-22. Insurance companies that offer SR-22s were awarded points.
Yes, State Farm offers rideshare insurance for drivers who work for a transportation network company (TNC), like Uber or Lyft. While those companies may provide some level of coverage, adding rideshare coverage to your existing car insurance policy fills the gaps.
According to State Farm, adding rideshare insurance to a policy generally increases the premium by 15% to 20%. If you itemize your taxes, you may be able to include this cost as a business expense. Speak to a tax professional to learn more.
State Farm offers below-average rates for most drivers. Parents adding a teen driver to their policy, senior drivers or drivers with an accident may find the most competitive rates, compared to those for other drivers.
But if you have a poor credit score, State Farm is not a good option. Across the major car insurance companies we analyzed, State Farm has the highest annual costs for drivers with bad credit: $5,051 a year, nearly 40% more than the national average.
State Farm does not offer gap insurance, but drivers who finance their vehicle with State Farm may be eligible for State Farm Payoff Protector. Though this is not an insurance product, if your vehicle is totaled or stolen and the insurance payout does not cover the outstanding loan balance, State Farm will cancel the remaining balance.
Blueprint is an independent publisher and comparison service, not an investment advisor. The information provided is for educational purposes only and we encourage you to seek personalized advice from qualified professionals regarding specific financial decisions. Past performance is not indicative of future results.
Blueprint has an advertiser disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Blueprint editorial staff alone. Blueprint adheres to strict editorial integrity standards. The information is accurate as of the publish date, but always check the provider’s website for the most current information.
