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State Farm life insurance review 2020

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Choose from a long list of policies and riders, though you'll need to be in perfect health to qualify for the best rates.

finder.com's rating: 4 / 5

★★★★★

Bottom line: State Farm gets high marks for customer support with 24/7 customer service, though underwriting is very strict.

18 to 75

Issue Age

$100,000 to $3,000,000

Coverage

Depends on policy

Medical Exam Required

Details

Free quote Online
Monthly cost Not listed
Policies Term, Whole, Universal, Variable
Coverage maximum $3,000,000
Term lengths 10, 20, and 30 years
Riders Accelerated death benefit rider, Accidental death benefit rider, Child rider, Critical illness benefit rider, Disability income benefit rider, Estate protection rider, Guaranteed insurability rider, Level term rider, Long-term-care rider, Spouse rider, Waiver-of-premium rider
Medical exam required Depends on policy
Available states Not available in MA, NY or WI
Issue age Not listed

Pros

  • Top-rated customer service with 24/7 phone support
  • Term, whole and universal life insurance policies

Cons

  • Strictest underwriting guidelines may deny approval due to pre-existing conditions, subpar driving records or even moderately high cholesterol
  • High rates for those approved but with poor health
  • No variable universal life insurance, meaning investment options are limited.

Expert review

Julia Cameron

Review by


Julia Cameron is a writer and editor who has experience in finance, mergers and acquisitions, content marketing and immigration law. She has a passion for interior design and an affinity for Old Florida, where she lives with her family.

Expert review

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.

Best of 2020
Finder experts pick State Farm as a 2020 best brand for life insurance.

State Farm life insurance rates

We pulled sample rates using State Farm’s quote tool for a 20-year term, $500,000 policy for a healthy man and woman. Rates are on the cheaper side compared to other companies.

Age Man Woman
20 $26.09 $20.44
25 $26.09 $20.44
30 $31.74 $22.19
35 $34.39 $24.34
40 $40.04 $33.49
45 $56.99 $67.44
50 $90.94 $56.00
55 $147.04 $98.29
60 $259.24 $174.00

What factors affect my rate with State Farm?

Along with your age and gender, life insurers factor your health status and habits into your rate. 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 under 175
  • No moving violations in the past two years, no DWI/DUI ever
  • No family history of cancer or heart disease
  • Regularly do routine, vigorous exercise

Compare life insurance rates

Compare quotes for life insurance policies starting at $15/month.
How do these quotes work?

How to apply for State Farm life insurance

To get a quote from State Farm for life insurance:

  1. From the State Farm homepage, select Life Insurance, enter your state and then click Go.
  2. Enter personal and health info and select your desired coverage amount. Then click Get Quote.
  3. Select your term length and coverage amount, then add any riders or coverage for another person.
  4. Click Continue to apply online, or send your quote and policy to an agent to finish applying.
  5. Review your information and click Apply Online if you’re ready to finalize your policy.
  6. After you’ve been approved, register your account online to review your policy, make changes and set up autopay.

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 term, whole or universal life insurance policies.

Term 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.

  • 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.

Whole life insurance

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. 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.

Universal life insurance

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.

Compare State Farm disability insurance

Does State Farm offer burial insurance?

Yes. State Farm’s final expense policy is open to seniors aged 50 to 80, or 50 to 75 in New York. It’s limited to $10,000, and coverage expires at age 100.

As a whole life insurance policy, it accumulates cash value over time and has the potential to earn dividends based on State Farm’s profits. You can also choose to pay your premiums monthly or annually.

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, such as:

  • Accelerated death benefit rider. Payout of a portion of benefits if you’re diagnosed with a terminal illness.
  • Accidental death benefit rider. Provides an additional payment if the insured dies as the result of an accident.
  • Critical illness benefit rider. Access a portion of your death benefit amount every month if you become chronically ill.
  • Child rider. Provides additional coverage for your child, instead of purchasing a separate policy.
  • Disability income benefit rider. Provides a monthly stipend to help cover expenses and support your family if you become disabled and unable to earn income.
  • Estate protection rider. Offsets any additional estate taxes if your life insurance policy is included in your estate.
  • Guaranteed insurability rider. Allows you to purchase additional insurance at specified dates without having to take a medical exam.
  • Long-term care benefit rider. This rider pays out a portion of the death benefit to cover the costs of long-term care.
  • Level term rider. Makes sure your benefit amount stays the same during the term of your policy.
  • Spouse rider. Provides additional coverage for your spouse, instead of purchasing a separate policy.
  • Waiver-of-premium rider. Waives your policy premiums if you suffer a disability, chronic illness or injury.

State Farm reviews and complaints

JD Power ranked State Farm life insurance in first place four years in a row for overall customer satisfaction. However, that streak came to an end in 2019, with State Farm holding a close second to Northwestern Mutual life insurance.

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.

Compare alternatives to State Farm

Though State Farm offers low rates for healthy people, you may find more policy options with less strict underwriting from other insurers.

Name Product Issue age Minimum Coverage Maximum Coverage Term Lengths Medical Exam Required
Prudential
18 - 75 years old
$100,000
$10,000,000
10, 15, 20, 30 years
Yes
Customize your term life insurance with a long list of life and disability riders. Get a free quote on Policygenius.
Transamerica
18 - 75 years old
$25,000
$10,000,000
10, 15, 20, 25, 30 years
Depends on policy
Purchase a policy worth anywhere from $25,000 to $10 million, with the option to skip the medical exam. Get a free quote on Policygenius.
MassMutual
18 - 80 years old
$2,000
$10,000,000
10, 15, 20, 25, 30 years
Depends on policy
Purchase term life insurance up to age 80 with Finder's #1 ranked company. Get a free quote from this A+ rated insurer on Policygenius.
AIG
AIG
20 - 85 years old
$5,000
$2,000,000
10, 15, 20, 25, 30, 35 years
Yes
Buy term life insurance all the way up to age 85, and choose a policy that lasts up to an incredible 35 years. Get a free quote on Policygenius.
John Hancock
18 - 65 years old
$25,000
$1,000,000
10, 15, 20 years
Depends on policy
Score a low rate on term life insurance with discounts and rewards for your healthy habits. Get a free quote on Policygenius.
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Frequently asked questions about State Farm

Life insurance ratings

★★★★★ — Excellent

★★★★★ — Good

★★★★★ — Average

★★★★★ — Subpar

★★★★★ — Poor

Our experts analyze life insurance companies to help you to find the strongest possible policy and premium for your family’s needs. We assess their financial strength, customer satisfaction, policy features and riders. We then give each insurer a score between one and five stars that reflects their offering and reputation in the industry.

Learn more about our methodology here.

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