Is State Farm a good insurance company to deal with?
Asked by: Jamarcus Mills IV | Last update: October 29, 2025Score: 4.3/5 (39 votes)
Is State Farm still a good insurance company?
In Bankrate's 2025 analysis of auto insurance carriers, State Farm received a high Bankrate Score of 4.3 out of 5.0. Our State Farm insurance review looked at average premium data along with coverage offerings, discount availability, financial strength ratings and customer satisfaction scores.
Who is the most trusted insurance company?
- Best for customer satisfaction: Erie Insurance.
- Best for seniors: Nationwide.
- Best for liability insurance: Auto-Owners.
- Best for claims filing : State Farm.
- Best for bundling: American Family.
- Best for accident forgiveness: Progressive.
- Best for military members and veterans: USAA.
Does State Farm deny a lot of claims?
A lot of those claim denials or problems involve car accident policies. This means that State Farm does deny a significant number of claims every year.
How does State Farm rank for car insurance?
State Farm is the largest auto insurance company in the U.S. based on written premium, or the total amount it bills customers. Progressive is the second-largest car insurance company, followed by Geico and Allstate.
Hacking State Farm BT Devices..Hack The Planet
Is State Farm better or Progressive?
State Farm has cheaper home and car insurance quotes than Progressive. It also has higher customer satisfaction ratings. However, Progressive offers more discounts and coverage options, including gap insurance.
Who is better, Allstate or State Farm?
State Farm has higher customer service ratings for car insurance than Allstate. These include better ratings for overall satisfaction and claims satisfaction from J.D. Power. State Farm also gets a better complaint rating than Allstate, according to the National Association of Insurance Commissioners (NAIC).
Why is State Farm in trouble?
State Farm has faced criticism from the advocacy group Consumer Watchdog for its reinsurance contracts. Last November, the group accused State Farm Mutual of overcharging State Farm General for reinsurance in order to funnel profits out of California.
Does State Farm pay out on claims?
When State Farm® "settles" a claim, we pay a policyholder for a loss or risk subject to the terms and conditions of your policy.
How many claims before State Farm drops you?
Insurers, like State Farm or GEICO, do not have a fixed number of claims that automatically lead to policy cancellation. This is more likely to happen if you have three or more claims, a record of DUI, at-fault car accidents with high bodily injury and property damage costs and other traffic violations.
Who typically has the cheapest car insurance?
Geico, Nationwide and Travelers are among the least expensive for car insurance. Americans are paying a lot for car insurance these days: Average annual rates for a full coverage policy are up to $2,638 per year, while minimum coverage averages $767 per year.
What insurance company has the most complaints?
The auto insurance company with the most complaints is United Automobile Insurance, which receives roughly 40 times more complaints than the average insurer its size, according to the latest NAIC complaint index.
Who has cheaper insurance than State Farm?
GEICO is cheaper and has better ratings than State Farm. Your experience with GEICO and State Farm will vary based on individual rating factors.
Is there a lawsuit against State Farm?
State Farm Insurance is based in Bloomington. Checks are going out in a $65 million settlement of a class action lawsuit against State Farm Life and Accident Assurance Company. Attorneys had accused State Farm in a federal court in Missouri of overcharging on policies.
Is State Farm a good insurance company for seniors?
State Farm is our top pick for auto and home insurance for seniors, thanks to their affordable plans and excellent customer service.
Does State Farm raise rates after claim?
Because most accidents stay on your record for at least three years, you can expect to pay at least an extra $2,300 in premiums during that time. USAA and State Farm deliver the smallest average premium hikes after an accident, at just $340 and $304 per year, respectively.
Does State Farm have a good reputation for paying claims?
Yes, State Farm is a good insurance company. WalletHub's editors give State Farm a rating of 4.1/5 due to its typically quick claims inspection and payout process, generous discounts, wide variety of insurance types and coverage options, and personalized customer service.
Does State Farm pay good for total loss?
Your policy provides for payment of the actual cash value of your vehicle, less any applicable deductible for your total loss. Actual cash value is generally determined by factors such as the age, condition, equipment and mileage of your vehicle at the time the loss occurred.
Is State Farm losing customers?
Projected policies issued by State Farm (2023-2028)
State Farm projects that the number of policies for homeowners insurance will decline to just under 2 million by 2028, a reduction of over 1 million policyholders.
Why does State Farm deny so many claims?
Some common reasons for claim denials include: Insufficient evidence or information: The burden of proof falls on the injured party. State Farm might deny your claim if it believes you have insufficient evidence to prove how the car accident occurred or the severity of your damages.
Who is the parent company of State Farm Insurance?
Founded in 1922, State Farm is a large group of insurance and financial services firms based in the US. The group's parent company is State Farm Mutual Automobile Insurance Company, which is a mutual insurance company based in Bloomington, Illinois.
Is Progressive better than State Farm?
In terms of claims satisfaction, State Farm has a better ranking than Progressive. In the 2023 J.D. Power's U.S. Auto Claims Satisfaction Study, State Farm earned a score of 891 out of 1,000 for overall claims satisfaction, which is above average.
Does State Farm have high insurance rates?
These average rates make State Farm the cheapest car insurance company among nationwide insurers that serve everyone. State Farm's average liability car insurance rate is 23% cheaper than the national average of $64 a month. Its average full-coverage rate is 25% cheaper than the national average of $164 a month.