State Farm Review
State Farm is one of the largest insurers for auto insurance in the U.S. They offer their customers a wide variety of insurance and banking products.
State Farm Customer Satisfaction Data
You can look at various sources of customer reviews on the internet, but unfortunately the information in these reviews is often confusing.
It is more likely for people to write about their negative experiences, than to take the time to go to an online review site to write about what a great experience they had. So it can be very difficult to figure out how an insurance company does overall, just based on random internet reviews.
However, there are a few studies, or collections of data from sources that can help you get a good sense of how a company is doing at a glance.
State Farm Rankings for Claims Service
J.D. Power's 2017 U.S. Auto Claims Satisfaction Study is a good overview of customer satisfaction in claims and in it State Farm ranked 8th, with a score of 3 out of 5. This being said, over a dozen companies scored below State Farm with either equal ranking or less.
State Farm Complaints and Rankings
According to NerdWallet, State Farm had more than "the median number of complaints to state regulators in 2016 for a company of its size for auto insurance". Listed as part of the reason State Farm received a ranking of 3 out of 5 stars on NerdWallet's best car insurance companies list, ranking 24th, based on complaints data from the National Association of Insurance Commissioners (NAIC).
You can research and check data on local State Farm offices on the NAIC website.
What Makes a Car Insurance Company Top Ranked?
There are a number of things besides claims service that might make an insurance company rank number one. Customer satisfaction can be based on service, good prices on car insurance, and many other factors.
You can learn more about the different factors used in determining top ranking car insurance companies to help you understand if State Farm is a good insurance company for you.
In some cases if an insurance company uses credit scoring, then it may make it a better or worse company for you based on your insurance score or credit score.
State Farm Reviews and Customer Satisfaction Rankings By Location
Other considerations for whether an insurance company is a good choice for you or not relates a great deal to the people at your local branch, as well as the local claims adjusters.
When you look at the list of top ranking car insurance companies by state, you will notice that the top insurance company for customer satisfaction and claims may change depending on which state you are in. Read more in our article on top ranking car insurance companies.
You might also want to know what kinds of advantages the company can offer you as their client.
List of State Farm Advantages:
State farm offers several advantages to their clients to make life easy and save money. Some of the advantages they offer include:
- A mobile app that you can look at your policy info on, submit a claim, and other useful tools.
- Ride Share Insurance is offered in most States
- Steer Clear program for drivers under 25 and the Drive Safe & Save program to help good drivers save money on their insurance premiums
- You can get quotes and buy insurance policies online through the State Farm website.
When an insurance company makes life easier for their clients, or comes out with products that the population needs like Ride Share, it can be a big advantage.
Financial Stability and Rating for State Farm
Besides customer satisfaction, claims service and other factors we have discussed, and insurance company's ability to pay claims is important. Rankings are used to understand an insurance company;s financial stability in the marketplace. One example of how State Farm is rated is A.M. Best, State Farm's rating , their Financial Strength is A++ (SUPERIOR). Another rating is from S&P Global, also known as "Standard and Poor's" is AA. So although this doesn't speak towards how you might feel during a claim, or about your specific interactions with the company, it gives you an indication if they can pay out a claim and how stable they are financially.
The State Farm Company began in 1922 and has since largely dominated the top spots in the insurance marketplace. Along with auto insurance, State Farm offers a wide selection of insurance choices along with banking services.
- State Farm insurance provides many insurance choices including auto, home, life and health along with a financial company.
- The State Farm company offers customers local insurance agents along with a website for insurance shopping and bill paying.
- State Farm is a top company for workplace diversity and has earned many awards.
"Like a Good Neighbor, State Farm is There." We all know the jingle, but does State Farm really live up to its good neighbor slogan? State Farm has overall been a good, strong insurance choice and it shows since they are, and have often been in the past, one of the largest insurance choices for customers along with offering competitive rates. However, they have had their good neighbor image tainted more than once.
State Farm has had its share of typical lawsuits just like any insurance company, but there are a couple of incidents that still somewhat flaw the company's record. First, in the 1970-1980's, State Farm was accused of racial and sex discrimination in its hiring practices along with discrimination in how it chose its customers. State Farm has remedied this over the years and now is one of the top companies for workplace diversity.