Updated on: August 1st, 2024
Written by: Bryan Ochalla Edited by: Michael Kitchen
LendingTree car insurance score: 4.5 out of 5
Our team of insurance experts rated insurance companies based on several categories. These categories include average rates, discounts, coverage options, third party customer service ratings, and app / website experience. We weighted these categories based on what customers value in an insurance company. For 3rd party customer service ratings, we included NAIC’s Complaint Index scores and financial strength ratings from A.M. Best. NAIC Complaint Index scores are used to determine how satisfied customers are with their claims, while financial strength ratings from A.M. Best reflect the ability to pay out claims.
LendingTree home insurance score: 4.2 out of 5
State Farm has the cheapest car insurance for most drivers, including teens. It also offers the cheapest home insurance among nationwide companies.
Cheap car insurance rates for most drivers
Lowest home insurance rates among nationwide companies
Good selection of car insurance discounts
High customer satisfaction scores
Strong financial strength rating
High car insurance rates if you have bad credit or a DUI
Doesn’t offer gap insurance or accident forgiveness
Few home insurance discounts
Average complaint ratings
State Farm is good if you’re looking for cheap car insurance or home insurance from one of the largest insurance companies in the U.S.
State Farm also has high customer satisfaction ratings and a strong financial strength rating, although its complaint ratings are just average.
It also offers a good selection of coverage and discount options, though not as many as some other top insurance companies.
| Rating | State Farm’s score | Industry average |
|---|---|---|
| Overall auto satisfaction (higher is better) | 833 | 822 |
| Overall home satisfaction (higher is better) | 829 | 819 |
| Auto complaint rating (lower is better) | 0.78 | 1.0 |
| Home complaint rating (lower is better) | 1.05 | 1.0 |
| Financial strength | A++ | Highest possible rating |
Sources: J.D. Power (satisfaction ratings), National Association of Insurance Commissioners (complaint ratings), AM Best (financial strength)
State Farm car insurance costs $50 a month, on average, if you buy only liability car insurance coverage.
Full-coverage car insurance from State Farm costs $124 a month, on average. Full-coverage policies usually include collision and comprehensive coverages along with liability.
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.
| Type of policy | State Farm average annual rate | U.S. average annual rate |
|---|---|---|
| Liability | $597 | $772 |
| Full coverage | $1,487 | $1,970 |
Among top insurers, State Farm has the cheapest car insurance for most drivers with a speeding ticket or at-fault accident on their records.
However, its rates for drivers with a DUI (driving under the influence) conviction are among the highest for nationwide companies.
| Prior incident | State Farm’s average annual rate | U.S. average annual rate |
|---|---|---|
| Speeding ticket | $1,616 | $2,427 |
| At-fault accident | $1,843 | $2,930 |
| DUI | $4,402 | $3,626 |
Drivers with bad credit pay $471 a month for car insurance from State Farm, on average. This is 53% more than the national average of $309 a month.
State Farm has the highest car insurance rates for drivers with bad credit among large car insurance companies available nationwide.
| Company | Average annual rate |
|---|---|
| State Farm | $5,654 |
| U.S. average | $3,705 |
State Farm car insurance for teen drivers costs $151 a month, on average, for liability coverage. Teens pay an average of $344 a month for full-coverage car insurance with State Farm.
These make State Farm the cheapest large car insurance company for most teen drivers, for both liability and full coverage.
State Farm’s average liability car insurance rate for 18-year-olds is 26% lower than the national average. The company’s average full-coverage rate for 18-year-olds is 29% lower than the national average.
| Type of policy | State Farm’s average annual rate | U.S. average annual rate |
|---|---|---|
| Liability | $1,811 | $2,433 |
| Full coverage | $4,128 | $5,824 |
State Farm offers several car insurance discounts that can help you save money.
With State Farm’s multiple auto discount, you could save up to 20% on your auto insurance policy. And with its Drive Safe & Save discount, you may save up to 30%, based on how you drive.
| Discount | How you get it |
|---|---|
| Accident-free discount | Maintain an accident-free driving record. |
| Anti-theft discount | Insure a vehicle that has an alarm or other approved anti-theft device. |
| Bundling discount | Buy more than one type of insurance policy from State Farm, including auto, home, renters, condo or life insurance. |
| Defensive driving course discount | Complete an approved driver safety course. |
| Drive Safe & Save discount | Use State Farm’s Drive Safe & Save app while you drive. |
| Good driver discount | Go for at least three years without a moving violation or at-fault accident. |
| Steer Clear discount | Be a new driver or driver under 25 and complete this training program’s requirements. |
| Multiple auto discount | Insure two or more vehicles with State Farm. |
| Passive restraint discount | Insure a vehicle with a factory-installed air bag or other passive restraint system. |
State Farm car insurance provides all of the usual coverage options, along with rideshare insurance and travel expense coverage.
A standard State Farm car insurance policy comes with these coverages:
State Farm also offers these additional car insurance coverage options:
Unlike many other car insurance companies, State Farm doesn’t offer accident forgiveness, gap insurance or mechanical breakdown coverage.
State Farm home insurance costs $2,427 a year, or $202 a month, on average. This is 13% cheaper than the national average rate.
State Farm has the cheapest home insurance rates among national companies.
| Company | Annual | Monthly |
|---|---|---|
| State Farm’s average rate | $2,427 | $202 |
| U.S. average rate | $2,801 | $233 |
What you pay for home insurance depends on several factors, including:
To get the cheapest rate for the coverage you need, compare home insurance quotes from several companies before buying a policy.
You could save money on your home insurance policy with State Farm if you qualify for any or all of these discounts.
| Discount | How you get it |
|---|---|
| Bundling discount | Get both home and auto insurance policies from State Farm. |
| Home security insurance discount | Install fire, smoke or burglar alarm in your home. Other protective devices or home monitoring systems may also qualify. |
| Roofing discount | Use impact-resistant roofing products, like hail-resistant shingles or Class 4 shingles. |
| Wind mitigation discount | Your home must meet certain building construction standards. Some roof characteristics or opening protections may qualify, too. |
State Farm offers all of the usual home insurance coverage and upgrade options.
Its standard home insurance policies include liability and guest medical coverage. They also include loss of use, which covers temporary living expenses after a covered disaster.
With State Farm, you can upgrade your home insurance policy to include replacement cost coverage for your belongings. This means you’ll get higher payouts for stolen or damaged items.
LendingTree obtains rates from insurance company filings reported to Quadrant Information Services.
Car insurance rates are based on an analysis of quotes for sample drivers from every ZIP code. Home insurance rates are based on quotes for home insurance in all 50 states plus Washington, D.C.
Our sample driver for car insurance quotes is a 30-year-old man with good credit and no tickets, accidents or DUIs. The sample vehicle is a 2015 Honda Civic EX. Our sample teen driver is an 18-year-old male with a clean driving record.
Minimum-liability policies provide liability coverage with the state’s required minimum limits.
Full-coverage car insurance policies include:
Our team of insurance experts rated insurance companies based on several categories. These categories include average rates, discounts, coverage options, third party customer service ratings, and app / website experience. We weighted these categories based on what customers value in an insurance company.
For 3rd party customer service ratings, we included NAIC’s Complaint Index scores and financial strength ratings from A.M. Best. NAIC Complaint Index scores are used to determine how satisfied customers are with their claims, while financial strength ratings from A.M. Best reflect the ability to pay out claims.
Homeowners policies include:
Rates are shown for comparative purposes only. Yours may vary.
The content above is not provided by any issuer. Any opinions expressed are those of LendingTree alone and have not been reviewed, approved, or otherwise endorsed by any issuer. The offers and/or promotions mentioned above may have changed, expired, or are no longer available. Check the issuer's website for more details.
