In the vast insurance landscape, State Farm casts a long shadow. It’s the nation’s largest auto and home insurer and the eighth largest life insurance company. It also offers more than 100 other products and services, including insurance for motorcycles, boats, off-road vehicles, renters, health and long-term care, as well as annuities and banking products. And it has a network of 18,000 agents.
If you’re looking for a well-known brand with a generous selection of products and consumer-friendly pricing, State Farm might be right for you.
State farm’s pros and cons include:
| Pros | Cons |
|---|---|
|
|
State Farm auto insurance
State Farm offers standard types of auto insurance coverage, including liability, comprehensive, collision, medical payments and uninsured/underinsured motorist.
Its rental and travel expenses coverage is superior to its competition’s. Not only does State Farm pay for a rental car if yours is in the shop due to a covered collision, but it also pays for meals, lodging and transportation if you’re stranded more than 50 miles from home. Coverage limits apply and vary by state.
The company’s auto insurance pricing is very competitive. In a recent NerdWallet study of quotes offered to middle-aged drivers with clean records, State Farm rates were below average in 43 of 48 states included.
Auto insurance discounts
State Farm offers many ways to save on auto insurance. You can get discounts for driving accident-free, installing anti-theft devices, completing a defensive driving course, getting good grades, or insuring multiple vehicles. And you can save up to 22% if you buy homeowners, renters, condo or life insurance with State Farm, in addition to your auto insurance policy.
If you’re a safe driver and don’t put many miles on your car, consider State Farm’s Drive Safe & Save. This usage-based program calculates insurance rates in part based on your mileage and “safe driving” measurements, such as smooth acceleration and braking. You’ll receive an initial discount of up to 5% when you sign up, and you could save as much as 50% once State Farm has analyzed your driving behavior. Availability and discounts may vary.
State Farm’s Steer Clear Safe Driver Discount offers savings of up to 15% for drivers under 25 who complete the company’s Steer Clear course online or by mobile app and have had no at-fault accidents or moving violations within the past three years.
State Farm homeowners insurance
State Farm homeowners insurance claims network is available 24 hours a day, online or by phone.
The company’s Premier Service Program puts you in touch with qualified contractors who can repair a covered loss. The service providers guarantee their work for up to five years. Premier Service is free, but it’s not available everywhere.
State Farm also offers renters, condo, mobile home and umbrella liability insurance, among other products.
Homeowners insurance discounts
State Farm doesn’t offer as many homeowners insurance discounts as some of its competitors, but it does offer price breaks for customers who:
- Have more than one policy with State Farm.
- Have fire, smoke or burglar alarms or any other home-monitoring system.
- Use qualifying impact-resistant roofing products.
Discounts aren’t available in all states.
State Farm life insurance
State Farm offers a full range of life insurance products, including term life, which is best for most people, and permanent life.
The company offers term life for 10, 20 or 30 years. You can buy a policy for $100,000 and up.
State Farm also offers whole life, universal life and variable universal life, which are varieties of permanent life. These policies cover you for your lifetime and build up a cash value, but they’re much more expensive than term life. Permanent life policies are generally most suitable for people who are very wealthy or have special circumstances, such as owning a business or having a special needs child. If you’re interested in permanent life, consult a financial advisor.
Customer reviews and ratings
State Farm earned the highest marks in J.D. Power’s 2015 life insurance customer satisfaction study of 20 insurance companies.
However, satisfaction was lower among customers who made auto insurance claims. Those customers rated State Farm “about average” in a 2015 J.D. Power survey. The company also placed in the middle of the pack in a similar Consumer Reports survey.
State Farm enjoys the highest financial strength rating available, A++, from ratings company A.M. Best. This means there’s a high likelihood that State Farm will be able to pay claims now and in the future.
Website and apps
State Farm’s website doesn’t have the bells and whistles of competitor sites that specialize in online insurance quotes, but it is intuitive, easy to navigate, and loaded with useful information. You can use the home page to get a quote, find a nearby agent, or manage a claim.
State Farm’s smartphone app, called Pocket Agent, offers the ability to view your insurance card and policy information, get a quote, submit a claim online and view a claim’s status, among other features.
In more than 10,000 reviews by Android users, the State Farm app rated an average of 4.1 out of 5 stars. In more than 6,200 reviews by iPhone users, it received 3 stars.
Next steps
If one-stop shopping for auto, home, life and other insurance products is important to you, and you’re looking for a big name company with access to agents, State Farm is worth considering. If you’re more of the do-it-yourself type, you might prefer an online insurer. In any case, it’s always smart to shop around for the best quotes, and NerdWallet’s online auto insurance comparison tool can help.
Juan Castillo is a staff writer at NerdWallet, a personal finance website. Email: jcastillo@nerdwallet.com. Twitter: @JCastilloNerd.
from NerdWallet
http://www.nerdwallet.com/blog/insurance/state-farm-insurance-auto-home-life/
No comments:
Post a Comment