We all know how tough it is to find the right car insurance carrier. Many insurance providers claim to be your “neighbor” — but are they even in your state? If you’re looking for one-on-one agent support, you may be able to count on State Farm.
What is State Farm?
State Farm Insurance is known for being a “good neighbor” by “being there” for its customers — or so says its jingle. It was founded in 1922 by retired farmer and insurance salesman G.J. Mecherle. Today, State Farm ranks No. 35 on Fortune’s list of largest companies and insures more than 45 million drivers nationwide.
What began as a car insurance provider has grown to a business that sells more than 100 different products and services to 35,000 customers each day.
Pros and cons
- A.M. Best A++ rating. With more than $15 billion in assets, State Farm affirms its superior ability to meet its ongoing insurance obligations.
- No. 1 for car insurance. State Farm is the top choice in the US, with agents in just about any ZIP code.
- Full range of financial options. State Farm offers insurance, banking and investment products.
- Higher prices than competition. JD Powers reports that State Farm tends to be more expensive than other options. Then, it’s the largest insurance company in the country.
- No live chat. Unlike other insurance companies, State Farm does not offer the ability for real-time help online.
- Expect hard upselling. Because it offers so many products, State Farm trains its “exclusive” agents to encourage upgrades and add-ons. You’ll have to do your own legwork for price comparisons.
State Farm Auto Insurance competitors
What car insurance coverage does State Farm offer?
State Farm offers complete coverage in all 50 states and Washington, DC, including:
- Collision coverage. Helps pay to repair or replace your vehicle if it collides with another vehicle or object.
- Comprehensive coverage. Helps pay to repair or replace your vehicle if it’s damaged by something other than a collision — including theft, fire, vandalism or hitting an animal.
- Liability coverage. Pays another party’s medical expenses, vehicle repairs and property damage if you’re responsible for the accident.
- Car rental and travel expenses. Reimbursement pays the cost of renting a replacement vehicle while your car is in the shop. Travel expense coverage helps pays for meals, lodging and transportation if you’re in an accident away from home.
- Uninsured motorists’ coverage. Helps pay for medical expenses if you’re injured in an accident caused by someone who doesn’t have liability insurance.
- Underinsured motorists’ coverage. If someone injures you in an accident, their liability insurance should pay your medical expenses. But if the other person doesn’t have enough liability insurance, this coverage can help.
- Medical payment expenses. Helps pay medical and funeral expenses if an insured person is injured or killed in an accident.
- Roadside and accident assistance. Get reimbursed for assistance, towing and labor costs and rental car coverage required after an accident.
Does State Farm offer any other types of insurance?
In addition to car insurance, State Farm offers home, life, renters, condo, event, motorcycle, income property, long-term care, health and even disability coverage.
State Farm is the largest insurance company in the country, and it’s good at what it does. But expertise may come with higher prices than you could find elsewhere. If you like the idea of a popular company offering lots of name-brand products, it’s worth comparing rates and options to other providers in your area.