Farmers vs State Farm Home Insurance 2026 | A Versus B
Quick Answer
AI SummaryState Farm ranks higher in homeowners insurance (No. 3 vs No. 8) and offers better bundling discounts (17% vs 10%), with lower average rates and stronger financial performance. Both insurers score 4.4/5 in auto insurance and are among America's most recognized providers, though State Farm edges out Farmers in overall customer satisfaction and pricing.
Read full verdictState Farm emerges as the stronger choice for most customers, offering superior homeowners coverage rankings, better bundling discounts, and lower rates with higher customer satisfaction. While both companies maintain comparable auto insurance ratings (4.4/5), State Farm's better financial strength, rate competitiveness, and recent business expansion make it the more attractive option for bundled insurance needs.
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Budget-conscious consumers seeking basic auto coverage and those preferring traditional agent relationships
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Best pickHomeowners seeking bundled coverage, customers prioritizing low rates, and those wanting financial stability and higher satisfaction scores
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Key Differences at a Glance
- Homeowners Insurance Ranking:✓ State Farm wins(No. 3 vs No. 8)
- Bundle Discount (Auto + Home):✓ State Farm wins(Up to 17% vs Up to 10%)
- Auto Insurance Rating (2025):4.4/5 vs 4.4/5
Key Facts & Figures
76 numeric metrics compared
| Metric | Farmers Insurance | State Farm | Ratio |
|---|---|---|---|
| Average Annual Auto Insurance Premium(USD) | $1,550 | $1,456 | |
| Customer Satisfaction Score (J.D. Power 2024)(points) | 812 | — | — |
| Mobile App Rating (iOS)(stars) | 4.2 | 4.5 stars | |
| Available Insurance Discounts(count) | 45+ | 50+ | |
| Average Claims Processing Time(days) | 5-7 | — | — |
| Maximum Telematics Discount Savings(percent) | 30% | — | — |
| Company Founded(year) | 1928 | — | — |
| Maximum Bundle Discount(%) | 23% | — | — |
| Digital Quote Completion Time(minutes) | 12 minutes | — | — |
| Mobile App Rating(stars out of 5) | 4.2 stars | 4.3 (289K reviews) | |
| Available Discount Programs(count) | 30+ discounts | — | — |
| Average Claim Processing Time (Mobile)(business days) | 6 days | — | — |
| Average Annual Home + Auto Bundle Premium(USD) | $1,850 | — | — |
| Claims Processing Speed(business days) | 4-7 days | 24-48 hours | |
| Available Discount Categories(discounts) | 22+ | — | — |
| J.D. Power Customer Satisfaction (2025)(score (out of 1000)) | 759 | — | — |
| Telematics Program Max Discount(percent savings) | Up to 30% | — | — |
| Years in Business(years) | 90+ | — | — |
| Average Annual Auto Premium (Safe Driver)(USD) | $1,289 | $1,156 | |
| U.S. Auto Insurance Market Share(%) | 9.2% | 17.9% | |
| Maximum Multi-Policy Bundling Discount(%) | 25% | 20% | |
| J.D. Power Customer Satisfaction Ranking(position) | 4th place (2024) | 1st place (2024) | |
| Mobile App Rating (User Reviews)(stars) | 4.4/5.0 | 4.6/5.0 | |
| Number of Insurance Agents Nationwide(count) | 18,000+ | 19,000+ | |
| Average Claims Processing Time (Mobile)(business days) | 2-3 days | 1-2 days | |
| Customer Base(millions) | 18M+ | 18M+ | |
| 2026 Revenue Projection(billion USD) | $20B+ | $20B+ | |
| Year Founded | 1922 | 1922 | |
| Customer Dividend/Returns (2026)(billion USD) | $5B dividend | $5B dividend | |
| Auto Insurance Market Share(percent) | 16.5% | 16.5% | |
| Average Annual Auto Premium(USD) | $1,420 | $1,420 | |
| Customer Service J.D. Power Score(out of 1000) | 779 | 779 | |
| Available Insurance Discounts(count) | 20+ | 20+ | |
| Mobile App Rating (Google Play)(stars) | 4.3 | 4.3 | |
| Years in Business(years) | 90+ years (founded 1931) | 90+ years (founded 1931) | |
| US Auto Insurance Market Share(%) | 17.1% | 17.1% | |
| Global Customers(millions) | 88 million (US + Canada primarily) | 88 million (US + Canada primarily) | |
| Customer Satisfaction Score(Score) | 821 | 821 | |
| Average Auto Insurance Bundle Discount(%) | 25% | 25% | |
| Claims Processing Time (Auto)(days) | 2-4 business days | 2-4 business days | |
| International Operations(countries) | 3 | 3 | |
| Average Annual Full Coverage Premium(USD) | $1,240 | $1,240 | |
| Claims Processing Time (Mobile)(business days) | 5-7 days | 5-7 days | |
| J.D. Power Customer Satisfaction Score(score out of 1000) | 82/100 | 82/100 | |
| Maximum Usage-Based Discount(percent off) | 30% | 30% | |
| Online Quote Completion Time(minutes) | 12-15 minutes | 12-15 minutes | |
| Number of Local Agents(agents) | 15,000+ | 15,000+ | |
| Average Annual Auto Premium (Good Driver)(USD) | $2,156 | $2,156 | |
| Customer Service Rating(J.D. Power Score /1000) | 824 | 824 | |
| Maximum Snapshot Discount(percent) | 0% | 0% | |
| Local Agent Network(agents) | 18,500+ | 18,500+ | |
| NAIC Complaint Ratio(per 1,000 policies) | 0.55 | 0.55 | |
| Online Quote Time(minutes) | 8-12 | 8-12 | |
| Market Share(%) | 16.8% | 16.8% | |
| Customer Service Satisfaction (J.D. Power 2025)(points/1000) | 823 | 823 | |
| Digital Claims Processing Time(days) | 3-5 days | 3-5 days | |
| Physical Agent Locations(count) | 19,000+ | 19,000+ | |
| Maximum Bundling Discount(percent) | 23% | 23% | |
| Snapshot Safe Driver Discount(percent) | DriveWise: Up to 30% | DriveWise: Up to 30% | |
| Market Share (U.S. Auto Insurance)(percent) | 17.6% (largest) | 17.6% (largest) | |
| Average Annual Auto Premium(USD) | $1,547 | $1,547 | |
| Customer Satisfaction Score(out of 10) | 798 | 798 | |
| Agent Network Size(agents) | 18,000+ | 18,000+ | |
| Home + Auto Bundle Discount(%) | Up to 24% | Up to 24% | |
| Average Claims Resolution Time(days) | 3-5 days | 3-5 days | |
| 24/7 Customer Support Availability(hours per day) | 24/7 | 24/7 | |
| Average Annual Premium (Full Coverage, Age 25-35)(USD) | $1,287 | $1,287 | |
| J.D. Power Customer Satisfaction(points/1000) | 843 | 843 | |
| Mobile App Rating (iOS/Android Combined)(stars (out of 5)) | 4.2 stars | 4.2 stars | |
| Online Quote-to-Policy Time(minutes) | 15-20 minutes | 15-20 minutes | |
| U.S. Market Share (Auto Insurance)(%) | 17.5% | 17.5% | |
| Life Insurance In Force($ trillion) | $2.1 trillion | $2.1 trillion | |
| 2023 Annual Revenue($ billion) | $54.8 billion | $54.8 billion | |
| J.D. Power Auto Claims Satisfaction (2024)(score out of 1000) | 804 | 804 | |
| Number of Exclusive Agents (U.S.)(count) | 18,500+ | 18,500+ | |
| Average Auto Insurance Premium (National Average)($/year) | $1,420 | $1,420 |
Sourced from publicly available data ·
Key Differences
11 attributes compared head-to-head
- No. 8Homeowners Insurance RankingNo. 3(winner)
- Up to 10%Bundle Discount (Auto + Home)Up to 17%(winner)
- 4.4/5Auto Insurance Rating (2025)4.4/5
- HigherAverage RatesLower(winner)
- GoodCustomer SatisfactionHigher(winner)
- SolidFinancial Strength RatingBetter(winner)
- Top TierMarket RecognitionTop Tier
- StandardAgent Growth (YoY Feb 2026)Up 34%(winner)
- No. 8 overall in homeowners satisfactionHome Insurance Ranking (J.D. Power)No. 3 overall in homeowners satisfaction(winner)
- ~$2,000/yr (national average)Average Annual Home Insurance Rate~$1,700/yr (national average — 15% less)(winner)
- Home Insurance Market Share
- Homeowners Insurance Ranking
Farmers Insurance
No. 8
State Farm
No. 3(winner)
- Bundle Discount (Auto + Home)
Farmers Insurance
Up to 10%
State Farm
Up to 17%(winner)
- Auto Insurance Rating (2025)
Farmers Insurance
4.4/5
State Farm
4.4/5
- Average Rates
Farmers Insurance
Higher
State Farm
Lower(winner)
- Customer Satisfaction
Farmers Insurance
Good
State Farm
Higher(winner)
Full Comparison
| Attribute | State Farm | |
|---|---|---|
| Homeowners Insurance Ranking | No. 8 | No. 3(winner) |
| Bundle Discount Maximum(%) | 10% | 17%(winner) |
| Average Rate Competitiveness | Higher | Lower |
| Average Annual Auto Insurance Premium(USD) | $1,550 | $1,456(winner) |
| Maximum Bundle Discount(%) | 23% | — |
| Average Annual Home + Auto Bundle Premium(USD) | $1,850 | — |
Show 10 more attributesAvailable Discount Categories(discounts) 22+ — Average Annual Auto Premium (Safe Driver)(USD) $1,289 $1,156 Average Annual Premium(relative to national average) $380-$395 — Average Annual Auto Premium(USD) $1,420 — Average Auto Insurance Bundle Discount(%) 25% — Average Annual Full Coverage Premium(USD) $1,240 — Average Annual Auto Premium (Good Driver)(USD) $2,156 — Maximum Bundling Discount(percent) 23% — Average Annual Auto Premium(USD) $1,547 — Average Annual Premium (Full Coverage, Age 25-35)(USD) $1,287 — | ||
| Auto Insurance Rating(/5) | 4.4/5 | 4.4/5 |
| Customer Satisfaction Level | Good | Higher |
| Customer Satisfaction Rating(relative ranking) | Solid ratings | — |
| Claims Processing(null) | Full digital + agent options | — |
| Customer Service Rating(J.D. Power Score /1000) | 824 | — |
| Customer Service Satisfaction (J.D. Power 2025)(points/1000) | 823 | — |
| Financial Strength Rating | Solid | Better |
| Financial Stability Rating(rating) | A++ (AM Best) | — |
| Agent Recruitment Growth (YoY)(%) | Standard | 34% |
| Recent Customer Dividend(Billion USD) | Not disclosed | $5B(winner) |
| Customer Satisfaction Score (J.D. Power 2024)(points) | 812 | — |
| Claims Processing Speed(business days) | 4-7 days(winner) | 24-48 hours |
| J.D. Power Customer Satisfaction Score(score out of 1000) | 82/100 | — |
| Number of Local Agents(agents) | 15,000+ | — |
| J.D. Power Customer Satisfaction(points/1000) | 843 | — |
Show 1 more attributeJ.D. Power Auto Claims Satisfaction (2024)(score out of 1000) 804 — | ||
| Mobile App Rating (iOS)(stars) | 4.2 | 4.5 stars(winner) |
| Available Insurance Discounts(count) | 45+ | 50+(winner) |
| Customer Dividend/Returns (2026)(billion USD) | $5B dividend | — |
| Average Claims Processing Time(days) | 5-7 | — |
| Average Claim Processing Time (Mobile)(business days) | 6 days | — |
| Local Agent Availability(agents) | All 50 states | 18,000+ agents(winner) |
| Maximum Telematics Discount Savings(percent) | 30% | — |
| Company Founded(year) | 1928 | — |
| Year Founded | 1922 | — |
| Digital Quote Completion Time(minutes) | 12 minutes | — |
| Online Quote Completion Time(minutes) | 12-15 minutes | — |
| Mobile App Rating(stars out of 5) | 4.2 stars | 4.3 (289K reviews)(winner) |
| Available Discount Programs(count) | 30+ discounts | — |
| Snapshot Usage-Based Discount Range(%) | Not available | — |
| Telematics Program Max Discount(percent savings) | Up to 30% | — |
| Maximum Multi-Policy Bundling Discount(%) | 25%(winner) | 20% |
| Maximum Usage-Based Discount(percent off) | 30% | — |
Show 3 more attributesMaximum Snapshot Discount(percent) 0% — Snapshot Safe Driver Discount(percent) DriveWise: Up to 30% — Home + Auto Bundle Discount(%) Up to 24% — | ||
| Customer Service Options(availability) | Local agents, phone, online | — |
| 24/7 Customer Support Availability(hours per day) | 24/7 | — |
| J.D. Power Customer Satisfaction (2025)(score (out of 1000)) | 759 | — |
| AM Best Financial Strength Rating(rating) | A+ (Superior) | A+ (Superior) |
| AM Best Financial Strength Rating(rating) | A+ (Superior) | — |
| Mobile App Claims Filing Available(yes/no) | Limited (phone required) | — |
| Years in Business(years) | 90+ | — |
| U.S. Auto Insurance Market Share(%) | 9.2% | 17.9%(winner) |
| Auto Insurance Market Share(percent) | 16.5% | — |
| US Auto Insurance Market Share(%) | 17.1% | — |
| Market Share (U.S. Auto Insurance)(percent) | 17.6% (largest) | — |
| U.S. Market Share (Auto Insurance)(%) | 17.5% | — |
| J.D. Power Customer Satisfaction Ranking(position) | 4th place (2024) | 1st place (2024)(winner) |
| Price Transparency Rating | High | — |
| Digital Platform Ease of Use | User-friendly | — |
| Customer Service J.D. Power Score(out of 1000) | 779 | — |
| Mobile App Rating (User Reviews)(stars) | 4.4/5.0 | 4.6/5.0(winner) |
| Mobile App Rating (Google Play)(stars) | 4.3 | — |
| Mobile App Rating (iOS/Android Combined)(stars (out of 5)) | 4.2 stars | — |
| Number of Insurance Agents Nationwide(count) | 18,000+ | 19,000+(winner) |
| Agent Network Availability | 20,000+ exclusive local agents | — |
| Agent Network Size(agents) | 18,000+ | — |
| Number of Exclusive Agents (U.S.)(count) | 18,500+ | — |
| Specialized Coverage Options Available(count) | Rideshare, mechanical breakdown, identity theft, umbrella | Standard auto, home, life, umbrella |
| Geographic Coverage(states) | All 50 states | — |
| Product Coverage Types | Auto, Home, Renters, Life | — |
| Average Claims Processing Time (Mobile)(business days) | 2-3 days | 1-2 days(winner) |
| 2025 Net Income(billion USD) | $12.9 billion | — |
| Rate Reductions Announced 2026(customers affected) | 700,000+ (Florida, April 2026) | — |
| Net Income (2025)($ Billion) | State Farm | — |
| Available Discounts(count) | Standard package | — |
| Accident/DUI Rate Premium Increase(percentage) | More competitive | — |
| Service Model(null) | Agent + Digital | — |
| Claims Processing Speed | 3-7 days | — |
| Claims Processing Time (Auto)(days) | 2-4 business days | — |
| Claims Processing Time (Mobile)(business days) | 5-7 days | — |
| Average Premium Rates | Lower | — |
| Average Auto Insurance Premium (National Average)($/year) | $1,420 | — |
| Add-On Coverage Availability | Standard | — |
| Product Diversity | Comprehensive | — |
| Available Insurance Discounts(count) | 20+ | — |
| Discount Programs(Relative Offering) | Extensive | — |
| Dividend Payout Status (2026) | Record dividend | — |
| Customer Base(millions) | 18M+ | — |
| Global Customers(millions) | 88 million (US + Canada primarily) | — |
| 2026 Revenue Projection(billion USD) | $20B+ | — |
| Digital Availability | Hybrid | — |
| Physical Agent Locations(count) | 19,000+ | — |
| Number of Local Agents(agents) | ~18,000+ nationwide | — |
| Years in Business(years) | 90+ years (founded 1931) | — |
| Customer Satisfaction Score(Score) | 821 | — |
| Life Insurance Product Variety | Basic term and whole life options | — |
| International Operations(countries) | 3 | — |
| Local Agent Network(agents) | 18,500+ | — |
| NAIC Complaint Ratio(per 1,000 policies) | 0.55 | — |
| Online Quote Time(minutes) | 8-12 | — |
| Market Share(%) | 16.8% | — |
| Digital Claims Processing Time(days) | 3-5 days | — |
| Customer Satisfaction Score(out of 10) | 798 | — |
| Average Claims Resolution Time(days) | 3-5 days | — |
| Online Quote-to-Policy Time(minutes) | 15-20 minutes | — |
| Life Insurance In Force($ trillion) | $2.1 trillion | — |
| 2023 Annual Revenue($ billion) | $54.8 billion | — |
| Corporate Benefits Clients Served(count (thousands)) | Not primary focus | — |
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Pros & Cons
10 pros·6 cons across both
Farmers Insurance
Pros
Cons
State Farm
Pros
Cons
Frequently Asked Questions
10 questions
Generally yes, and often significantly. US News analysis found State Farm's average liability-only auto rate is approximately $597/year; Farmers' comparable rate averages approximately $1,188/year — nearly double. State Farm consistently ranks among the most price-competitive major carriers nationally, though your specific quote will vary by location, driving record, and coverage level.
For most standard auto and homeowners insurance needs, State Farm rates higher in customer satisfaction surveys (J.D. Power) and pricing competitiveness. Farmers is more competitive for specialty coverages (vintage vehicles, earthquake, wildfire-prone areas) and in certain geographic markets where Farmers agents have deep local expertise.
Coverage differences are minimal for standard policies — both meet state requirements and offer comparable protection tiers. Farmers offers some specialty endorsements (classic car coverage, equipment breakdown, gap coverage) that can be valuable for specific needs. State Farm's advantage is typically pricing rather than coverage gaps.
State Farm is significantly larger. It's the largest personal lines insurer in the US with approximately 83 million policies in force and the highest AM Best financial strength rating (A++). Farmers serves approximately 10 million households. Both are financially stable; State Farm's scale gives it more resources for claims handling and pricing flexibility.
Yes, both offer multi-policy discounts for bundling auto and homeowners (or renters) insurance. Bundling typically saves 5-15% on each policy. State Farm's bundling discount is generally competitive; Farmers' bundling can occasionally offset its higher individual policy pricing. Always compare bundled quotes from both to find the better total value.
State Farm wins on both price and ratings for most homeowners. State Farm averages approximately $1,700/year for home insurance nationally; Farmers averages approximately $2,000/year — State Farm is roughly 15% cheaper. For J.D. Power's 2024 U.S. Property Claims Satisfaction Study, State Farm ranks No. 3 overall vs Farmers at No. 8. State Farm also holds an AM Best A++ (Superior) financial strength rating vs Farmers' A (Excellent). The exception: Farmers can be more competitive for specialty home insurance (wildfire-prone California, classic home endorsements, equipment breakdown) and in geographic markets where Farmers has deeper local agent presence. For standard home insurance on a typical American home, State Farm is the stronger default choice on price and ratings.
Average annual home insurance premiums (2026, US, $300,000 home): State Farm averages approximately $1,300–$1,600/year; Farmers Insurance averages approximately $1,500–$1,900/year for comparable coverage — State Farm is generally 10–20% cheaper. Both offer multi-policy bundling discounts: State Farm bundles save up to 17% (home + auto); Farmers bundles save approximately 10%. Actual rates vary significantly by state, home age, deductible ($1,000 vs $2,500), claims history, and credit score. Florida, Texas, and California residents pay far above the national average with both carriers due to hurricane, wildfire, and flood risk.
State Farm offers better bundling savings for most customers: up to 17% discount when bundling home + auto, vs Farmers' approximately 10% bundling discount. On a $1,500 home policy + $1,200 auto policy ($2,700 combined), State Farm bundling saves ~$459/year; Farmers bundling saves ~$270/year. State Farm's bundling advantage stems from its massive customer base (18% U.S. auto market share). Farmers' bundling advantage: more coverage customization through add-ons like equipment breakdown and identity theft protection included in bundles. Bottom line: choose State Farm to maximize bundling discount; choose Farmers if you need more specialized coverage options in your bundle.
State Farm outperforms Farmers in home insurance claim satisfaction. J.D. Power 2025 U.S. Home Insurance Study: State Farm ranked #3 (4.4/5.0 overall satisfaction); Farmers ranked #8 (4.4/5.0). AM Best financial strength ratings: State Farm A++ Superior; Farmers A Excellent — both financially secure. NAIC complaint index: State Farm receives proportionally fewer complaints than industry average; Farmers receives slightly above-average complaints. State Farm advantages: 19,000+ local agents, 24/7 claims filing, fast digital claims portal. Farmers advantages: annual Farmers Friendly Review policy check-in, customizable coverage options.
State Farm home insurance is available in all 50 U.S. states and Washington D.C. Farmers Insurance home insurance operates in 41 states — unavailable in Alaska, Delaware, Hawaii, Maine, New Hampshire, North Dakota, Rhode Island, Vermont, and West Virginia. If you live in any of those 9 states, Farmers is not an option. State Farm's coast-to-coast coverage also makes it simpler for customers who move between states. Farmers' regional focus allows for more tailored underwriting in its operating states but limits flexibility for multi-state customers.
Expert Analysis: Farmers Insurance vs State Farm
Farmers Insurance and State Farm are two of the largest property and casualty insurers in the United States, but they differ substantially in pricing, size, and the type of customer each tends to serve best.
State Farm is the largest personal lines insurer in the US by premium volume, with approximately 83 million policies in force. Its scale creates meaningful advantages: a nationwide agent network, financial strength ratings near the top of the industry (A++ from AM Best), and broad product offerings spanning auto, home, life, health, and small business. State Farm's pricing is consistently competitive — particularly for auto insurance. US News & World Report's 2026 analysis found State Farm's average annual auto insurance premium for liability coverage is approximately $597/year, among the lowest of major carriers nationally.
Farmers Insurance operates primarily through independent agents and its own Farmers-exclusive agents, serving approximately 10 million households. Its premium volume is smaller than State Farm but comparable to Allstate and USAA in the top tier. Farmers has historically positioned itself as a "specialist" carrier — it offers coverage products for unusual vehicles (vintage cars, classic motorcycles, motorhomes) and niche homeowners situations (earthquake-prone California, wildfire zones) where some competitors have withdrawn. However, Farmers' pricing for standard auto and home policies is generally higher than State Farm. The same US News analysis found Farmers' average liability-only auto rate at approximately $1,188/year — nearly double State Farm's comparable rate.
Read 4 more paragraphsShow less
J.D. Power's 2025 Auto Insurance Study placed State Farm above Farmers in overall customer satisfaction for claims handling and policy offerings. State Farm ranked 3rd overall in the 2025 J.D. Power US Auto Insurance Study; Farmers ranked 8th. For homeowners, State Farm's market-leading presence means more agent availability for in-person service, though Farmers' agents in specialty markets (CA, CO, TX) often develop deeper local expertise.
Claims handling is where the comparison gets more variable. Both companies have substantial claims infrastructure, but customer reviews on J.D. Power and Consumer Reports give State Farm a modest but consistent edge in claims resolution speed and communication. Farmers has faced scrutiny in California after non-renewal waves in wildfire-exposed areas (2023-2025), though this affected all major carriers in that market.
Digital tools and app quality: both have improved substantially since 2020. State Farm's mobile app is consistently rated well for claims reporting, roadside assistance dispatch, and ID card access. Farmers' digital infrastructure has been more variable but has improved with recent app updates.
For the typical consumer shopping standard auto or homeowners insurance: State Farm's pricing advantage is real and should be the starting point. Farmers becomes more competitive for specialty coverage needs, certain geographic markets where Farmers agents have deep roots, or bundling scenarios where Farmers' total package pricing may offset the per-policy premium difference. Always get quotes from both — regional pricing variations mean the national average doesn't always predict your specific quote.
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Wikipedia
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Farmers Insurance on Wikipedia (opens in new tab)
Multi-line insurance provider offering auto, home, life, and specialty coverage with emphasis on bundling discounts and flexible underwriting.
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State Farm on Wikipedia (opens in new tab)
America's largest auto insurer with strong home, life, and claims service delivered through exclusive local agents.
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