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State Farm life insurance review

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Term, whole and universal life insurance policies backed by a provider ranked number one for customer satisfaction — four years in a row.

  • Get a quote if you want great 24/7 customer service.
  • Choose a different provider if you have a pre-existing condition or are in poor health.

18 to 75

Issue Age

$100,000 to $3,000,000

Coverage Amount

Depends on policy

Medical Exam Required

Details

Free QuoteOnline form, phone.
Insurance ProductsTerm, Whole, Universal, Variable
Issue Age18 to 75
Coverage Amount$100,000 to $3,000,000
Term Lengths10, 20, and 30 years
CostAs low as $15.02 per month
Medical Exam RequiredDepends on policy
Ways To File A ClaimPhone, Online.
State AvailabilityNot available in MA, NY or WI
Customer Service OptionsPhone, Online account.
Policy Riders OfferedYes
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  • Calculate how much coverage you need
  • Get a quote in 2 minutes

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What types of life insurance coverage does State Farm offer?

Despite its massive size and extensive network of agents, State Farm keeps it simple with three types of life insurance. Term, whole and universal life insurance policies are available with additional riders and flexible options to get you the coverage you need. The company did offer variable life insurance products in the past, but the lineup was discontinued in 2008. Here’s what coverage you can expect from State Farm life insurance:

Term life insurance is State Farm’s most affordable and straightforward type of policy. These plans offer a predetermined amount of coverage for a set period of time, along with monthly payments that don’t change for the life of your policy. Policy coverage is available in 10-, 15-, 20- and 30-year terms and provides a guaranteed benefit payout starting at $50,000. After your policy expires, either pay more for your current term coverage or convert to a permanent policy. Here are the various term life insurance policies that State Farm offers:

  • Select term life insurance. Level premiums and a guaranteed death benefit.
  • Return of premium term life insurance. Returned premiums if you outlive your policy.
  • Mortgage term life insurance. Coverage for repaying your home mortgage.
  • Instant answer term life insurance. No medical exam required and good for 10 years or until you’re 50 years old, whichever is longer.

State Farm’s whole life insurance policies offer lifetime financial protection while building tax-deferred cash value. Like term life insurance, these policies feature level premiums, but prices are much higher than term plans. It’s ideal for long-term coverage for things like lost income, estate planning or beneficiary payouts. You can borrow from the cash value of your policy, but outstanding loans or interest reduce the amount of your death benefit.State Farm offers two whole life insurance policies:

  • Limited pay life. Premium payments for 10, 15 or 20 years and tax-deferred cash value growth.
  • Single premium life. One premium payment, lifetime coverage.

State Farm’s universal life insurance policies offer flexible, investment-heavy alternatives to permanent life insurance. Tailor your premium amount and frequency to fit your needs. Policyholders have a choice between investment options featuring tax-deferred cash value accumulation. Death benefit payouts and policy loans are also tax-free.State Farm offers the standard universal life insurance policy, along with two others that cover two people:

  • Survivorship universal life insurance. Covers two people and the death benefit is paid out when the last person insured under the policy dies.
  • Joint universal life insurance. Covers two people, and the death benefit is paid out upon the first death of those insured.

What riders can I add to my life insurance policy?

While State Farm’s life insurance policies are comprehensive, add-ons allow you to tailor your policy with situational coverage and additional protection. Here are the life insurance riders available at State Farm:

  • Accidental death. Provides an additional payment if the insured dies as the result of an accident.
  • Flexible care benefit. Access a portion of your death benefit amount every month if you become chronically ill.
  • Family life insurance. Provides coverage for immediate family members instead of taking out separate plans.
  • Disability income. Provides a monthly stipend to help cover expenses and support your family if you become disabled and unable to earn income.
  • Funeral expenses. Provides an additional payout to help cover funeral expenses.
  • Estate protection. Offsets any additional estate taxes if your life insurance policy is included in your estate.
  • Accelerated benefits. Payout of portion of benefits if you’re diagnosed with a terminal illness. Covers things like cost of living and long-term care.
  • Death benefit guarantee. When you die, your beneficiary is guaranteed a payout.
  • Long-term care benefit. This rider pays out a portion of the death benefit to cover the costs of long-term care.

How can I get the lowest rate?

Each life insurance provider has different ways to determine your rates, but it never hurts to know what factors influence your premiums. Preferred plus is State Farm’s best rate class, and here’s what you’ll need to be eligible:

Blood pressure. Under 115/70
Cholesterol. Total cholesterol must be under 175
Driving record. No moving violations in the past two years, no DWI/DUI ever
Family history. No family history of cancer or heart disease
Lifestyle. Must take part in routine, vigorous exercise

Pros and cons

State Farm is best known for its industry leading levels of customer satisfaction, but it does have its shortcomings. Here are some pros and cons of State Farm life insurance:

Pros

  • Financial stability. State Farm received an A++ rating from A.M. Best, the most trustworthy ratings agency for the insurance industry. This is the highest possible rating, meaning there’s no risk of this provider being unable to pay its claims.
  • Great customer service. This provider has some of the best customer service in the industry, even offering 24/7 assistance via phone by calling 800-782-8332.
  • Strong product lineup. State Farm offers term, whole and universal life insurance policies with a range of different plans and options under each category.

Cons

  • Strict underwriting. State Farm has some of the most strict underwriting guidelines in the industry. Those with pre-existing conditions, subpar driving records or even moderately high cholesterol levels may not be approved.
  • No variable universal life insurance. Universal life insurance is often the primary investment vehicle for many customers, so flexibility is an important factor. State Farm doesn’t offer variable universal life insurance, meaning investment options are limited.
  • High rates. Since State Farm’s underwriting guidelines are so strict, its best rate class is nearly unattainable. Unless you’re in incredible shape and have a clean driving record and family history, it’s likely you’ll find better rates elsewhere.

Compare more life insurance companies

Name Product Issue Ages Coverage Range Medical Exam Required
18 - 85 years old
$10,000 to $10,000,000+
Depends on provider and policy
Compare quotes from 16 life insurance companies side by side.
18 - 64 years old
$100,000 to $3,000,000
No
Customized term life insurance policies up to $3 million, no medical exam required.
20 to 60 years old
$100,000 to $8,000,000
No
Term life insurance with no policy fees and the freedom to cancel anytime. Simple application process that can get you approved for coverage instantly.
21 - 54 years old
$50,000 to $1,000,000
No
Affordable 2-, 10- and 20-year term life insurance policies. Instant quotes and no medical exams.
25 - 60 years old
$100,000 to $5,000,000
No
Offers term life insurance with accelerated underwriting. No-exam coverage up to $1,000,000 for those who qualify.
18 - 80 years old
$50,000 to $25,000,000
Depends on provider and policy
Get a quote within minutes from more than a dozen insurers.
20 - 85 years old
$100,000 to $1,000,000
Depends on policy
Get a term or whole life insurance quote from Fidelity Life - starting as low as $15/day.

Compare up to 4 providers

State Farm reviews and complaints

State Farm is not accredited with the Better Business Bureau (BBB) or TrustPilot, but it does have an A- rating on the official BBB website. Despite its high levels of customer satisfaction and positive consumer reviews elsewhere, reviews on the BBB and TrustPilot websites showcase a lot of negativity. However, most of these complaints are about its auto insurance, so take this with a grain of salt.

How does State Farm protect my data?

State Farm does not sell or share your information. Your information will only be shared with your consent and when it is necessary to complete a transaction at your request.

State Farm protects your personal data with physical, electronic and procedural safeguards. They also continually monitor their computer networks and test the strength of their security.

How do I get a quote?

  1. To get a quote from State Farm for life insurance, from the homepage, select the life insurance button, enter your state and then click Get Quote.
  2. You’ll then be taken to a page where you can provide personal info, like your height and weight, and rate your health (average, good, very good, excellent). On this page you’ll also select your desired coverage amount. You can select from common amounts, choose your own amount, or use State Farm’s tool to help you determine the best amount for your financial situation. Then click Get Quote.
  3. Next you can select from a quote for a term or whole life insurance policy. Or you can compare the policies in detail side by side by clicking Compare policies. Once you’ve selected a policy, click Select & Continue. If you choose a term policy, you’ll need to select the term length — 10, 20 or 30 years — before continuing.
  4. Once you’ve selected your policy, you can customize it by selecting optional riders and/or adding coverage for another person. From there you can choose to send your quote and policy to an agent, who will contact you to continue with applying, or you can click Continue to apply online.
  5. On the next page, review your information and click Apply Online if you’d like to continue the application process.

After you’ve been approved for your new policy, register your account online with State Farm. There you’ll be able to review your policy, make changes and set up autopay so you’re sure not to miss a payment.

How do I file a life insurance claim with State Farm?

Filing a claim with State Farm can be done through your agent, online or by phone. Here’s how:

  • Through your agent. Start by locating your agent online. Once you contact them, let them know you’d like to file a claim. They’ll walk you through the process.
  • By phone: Call Life Claims at 877-292-0398, then select option 1 to start a new claim.
  • Online. Visit its claim center to start your notice of loss, then follow the five steps. Call 877-292-0398 for assistance at any time.

Regardless of which method you choose, here is the information you’ll need to provide:

  • Insured person’s full name and nickname (if any)
  • Date of birth
  • State of residence
  • Life insurance policy number (if known)
  • Date and cause of death
  • Name of person reporting the claim, and his/her relationship to the deceased
  • Daytime and evening phone numbers

After your agent receives the notification of death and contacts the beneficiary, they’ll take care of all necessary forms. You’ll be notified of the status of your claim and can manage it online.

State Farm financial stability and credit ratings

State Farm is extremely financially stable and very capable of fulfilling its debt obligations. It received an A++, the highest possible rating from A.M. Best, the most relevant ratings agency in the insurance industry.

What other services does State Farm offer?

State Farm specializes in insurance, but its subsidiaries allow it to offer a wide range of other financial products:

  • Auto insurance
  • Small business insurance
  • Home, condo and tenants insurance
  • Fire insurance
  • Long-term care plans
  • Mutual funds
  • Retirement plans
  • Annuities
  • Living benefits plans
  • Disability insurance

More about State Farm

Established in 1922, State Farm began offering auto insurance for farmers, hence its name. Today it offers fire and life insurance among its many other financial products. Ranked 33rd on the 2017 Fortune 500, State Farm has 19,000 agents around the country and prides itself on developing relationships with its customers.

The parent company, State Farm Mutual Automobile Insurance Company, is best known for — you guessed it — auto insurance. However, it uses its many subsidiaries to sell a variety of other financial products. Its widely recognized tri-oval logo subtly represents auto, fire and life insurance.

Bottom line

If you’re very healthy and live an active lifestyle, State Farm might be perfect for your needs. The company values its customers and offers unbeatable customer service and overall satisfaction. However, if you have any pre-existing conditions or want a more affordable option, you should consider looking elsewhere. Regardless, it never hurts to compare your options to save time and money.

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