State Farm vs. USAA: Which provider should you choose?

State Farm vs. USAA

Both State Farm and USAA started in 1922 but has embraced a different market and identity since then. USAA serves current and former members of the military and their families by offering affordable car insurance. While State Farm also provides affordable insurance through its discounts, including its Drive Safe & Save program and a vehicle safety discount, among others.

With such long-standing reputations and reasonably priced insurance, how do you choose between the two? Well, we’ve pitted USAA and State Farm against each other in a side by side comparison to make your decision easier. Check out the details of each provider below.

	State Farm	USAA
About the provider	Founded in 1922, State Farm ranks as one of the top companies where cars and homes are insured. State Farm stands by its customers by striving to offer the best products and prices. The company is no stranger to the Fortune 500 list.	Operating since 1922, USAA is a company that deals primarily with military members and their families. It offers a wide array of products ranging from car insurance, homeowners insurance, banking, investing and more.
Price	Policy costs depend your personal situation. Visit State Farm for a quote based on your specific needs.	Policy costs depend your personal situation. Visit USAA for a quote based on your specific needs.
States served	All 50 states	All 50 states
User satisfaction*	B+	A+
J.D. Power ratings**	3/5 on overall claims satisfaction	5/5 on overall claims satisfaction
Driver discounts	View driver discounts	View driver discounts
Vehicle discounts	View vehicle discounts	View vehicle discounts
	Read Review	Visit Site Read Review

* Based on Better Business Bureau’s company rating ** Based on the 2016 U.S Auto Claims Satisfaction Study

Driver discounts

	State Farm	USAA
Good student	Up to 25% (under 25). Additional discount if student is away from home and only using the car when back home.
Defensive driver
Good driver	Available (3 years no moving violations or at-fault accidents)	Available (good driving record for more than 5 years)
Pay in full discount
Multicar	Up to 20% (two or more vehicles in household)
Military
Homeowner
Other discounts	Driving training – Varies (all operators under 21 complete approved drivers education) Drive Safe & Safe – Enroll in the State Farm app	Annual mileage discount – Only for those over the age of 29 Driver training discount – For drivers under 21
	Read Review	Visit Site Read Review

Vehicle discounts

	State Farm	USAA
Anti-theft device
Anti-lock brake
Passive restraints	Up to 40% (medical-related coverage, vehicle made in 1994 or later)	N/A
Air bag
Other discounts	Vehicle safety discount – Up to 40% (medical-related coverage, vehicle made in 1994 or later)	New vehicle discount – Vehicles under 3 years old Vehicle storage – Up to 60% (only for stored cars being insured)
	Read Review	Visit Site Read Review

Bottom line

With USAA’s outstanding reputation for customer service and affordable insurance rates, if you qualify for insurance through this provider it’s a no-brainer. But don’t rule out State Farm, its many discounts might give you a better deal. As always, keep your personal situation in mind while reviewing both companies, and you’ll make the right decision.