Farmers 2019 Auto Insurance Review: Rates, Claims Satisfaction, and Coverage

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Summary:  

Farmer’s Auto Insurance, the seventh-largest automobile insurer in the United States, is known for offering unique and extensive car insurance coverage options, having many agents in all 50 states, and offering a wide range of discounts. Farmer’s is also the fifth-largest home insurer and offers a variety of other financial products for the consumer.

Pros:  

  • One of the highest claim satisfaction rating from the J.D. Power 2018 U.S. Auto Claims Satisfaction Study.
  • Excellent online management system to allow policyholders to manage their own claims.
  • Farmers has over 48,000 agents across all 50 states gives customers significant access to agents.
  • Tends to offer more discounts than other auto insurance companies.
  • Good online management system.

Cons:

  • Rates are competitive but tend to be on the mid-priced to high side.
  • Repairs process is not as straight forward as it could be.

Farmers Insurance, the seventh-largest U.S. automobile insurer, has 48,000 agents spread throughout the country allowing the company to offer excellent customer service.  The company is known to have diverse coverage options and one of the best online management systems making it a great choice for people who wish to manage their auto insurance online and those who wish to have a larger selection of coverage options.

Farmers is one of the highest ranked auto insurance companies when it comes to claims satisfaction which make it an excellent choice for many people search for car insurance.  Its rates, however, are consistently on the mid to high side in most categories so it may not be the best choice for those seeking to save money on car insurance.

Additionally, Farmer’s also offers home, life, business, and umbrella insurance along with other financial products.  Moreover, the company has an A.M. Best financial rating of A-, making it a solid company financially to back your claims and handle your financial transactions.

The Value Equation ($$$)

Cost is one of the main things that most people consider when trying to decide which insurance company to use.   Farmers Insurance bases your rates on many of the same criteria as other car insurance companies such as age, location, coverage choices, driving history, and type of vehicle.  Even when taking these factors into account, the cost of your premium can vary from insurance company to insurance company. Trying to secure the cheapest premium may not get you all the coverage and service that you need.  Furthermore, the cheapest options tend to provide you with only the bare minimum coverage required by your state and may not be enough if you are involved in an accident.

To get a quote from Farmers Insurance, you can start an online quote, but to complete the purchase, your quote will be sent to either a nearby agent or the agent of your choice.

Here is a quick glimpse of how Farmers average premiums compares to 2 other large national providers.

Farmers Insurance is known for offering a good rate when compared to its large national competitors like State Farm and GEICO, the largest and second largest auto insurance providers in the U.S.

 GEICOState FarmFarmers
Drivers in their 20s$1,438$2,379$2,020
Drivers in their 30s$1,218$2,379$2,020
Drivers in their 40s$1,189$1,587$1,511
Drivers with at-fault accident$1,580$1,524$1,699
Drivers with DUI/DWI$2,550$3,854$3,239
Drivers with speeding ticket$1,395$1,983$2,045

Discounts

Farmers Auto Insurance is known for offering its customers a variety of discounts for which they can qualify.  These discounts fall into the following categories:

  • Loyalty Discount – you must be a Farmers policyholder for three or more consecutive years, have multiple cars insured with Farmers, have multiple Framers insurance policies such as auto, home, and life
  • Vehicle discounts – if your car is equipped with airbags, anti-lock brakes, an anti-theft device, or other vehicle safety features you qualify for a discount.  Policy holders with a car that takes alternative fuel can qualify as well.
  • Discount for being a homeowner
  • Safe Driver Discount
  • Distant Student Discount
  • Pay in Full Discount
  • Transfer Discount – if you switch your insurance to Farmers without having a lapse in coverage.
  • Good Student Discount – High school and college students who maintain a B average higher or are ranked highly by standardized tests qualify for a discount.
  • Type of car – policyholders who own a car that takes alternative fuel.

Claims Satisfaction

Besides cost, the second most important factor that people often look at when choosing an automobile insurance company is how smoothly their claims process is handled.  Farmers is known to have a rather smooth claims process.

How easy is it to file a claim with Farmers?

What is the average customer experience and satisfaction with Farmers Insurance?

Each year, J.D. Power surveys an estimated 10,000 customers who have filed a claim in the last six months.  Insurance providers are ranked on a 1000-point scale based on the results of this survey. Farmers is one of the highest rated insurance companies with an 874/1000 score, placing third for nationwide insurance companies. In comparison, State Farm scored 864/1000 and GEICO scored below the nation average 857/1000.  Farmers receives fewer complaints regarding their claims process than other insurance companies of its size.

Coverage Options

After price and claims satisfaction, coverage options are one of the most significant factors consumer consider when shopping for insurance.  As the seventh-largest auto insurer in the U.S., Farmers in known for offering a wide array of coverage options. The chart below compares Farmers to the top two largest insurance providers in the U.S., State Farm and GEICO.  Note that many of the features are available in all 3 with very few unique features.

CoverageFarmersState Farm GEICO
Liability
Physical Damage
Uninsured Motorist
Medical Payments Coverage
Comprehensive
Collision
Roadside Assistance
New Car Replacement
Better car Replacement
Rental Reimbursement
Rideshare (Uber/Lyft)
Loss of UseXX

Farmers’ Loss of Use insurance pays you a flat some for cabs and public transportation while you are unable to use your car due to it needing repairs.  This differs from Car Rental Reimbursement which is also offered by Farmers.

Other Insurance

Farmers Insurance covers a variety of recreational vehicles, off-road vehicles and, and non-traditional vehicles in addition to the traditional cars, trucks, SUVs and minivans.

Farmers also provides a wide array of property insurance coverage.  It offers homeowners insurance as well as condo insurance, mobile home insurance, specialty home coverage, and vacant home coverage. Furthermore, Farmers offers several value-added features, such as claim forgiveness, cosmetic damage, declining deductibles, and claims free discount.  Earthquake and flood insurance are also offered.

Moreover, Farmers offers a variety of insurance coverages for your business. You can insure your business’ automobiles and property.  Additionally, you can insure your business against theft crimes committed by employees. You can business liability insurance as well as workers compensation insurance and loss control insurance.  You can also purchase umbrella insurance if you feel you need higher limits.

Farmers has a variety of financial products to offers its customers.  These products include mutual funds, IRAs, and annuities.

Life insurance is also available through Farmers. The offerings include term life, universal life, and whole life insurance.

Pet insurance is also available through Farmers insurance.

Website Experience

Farmers’ website is easy to navigate and allows you to take care of all your needs on the site.   You can get a quote, purchase insurance, pay your bill, file and monitor a claim, get roadside assistance and more.  The website is also full of information on the different types of insurance that Farmers has to offer. Furthermore, Farmers has an easy to use, convenient app that allows users to view this information as well.

The Bottom Line

  • Farmers offers a wide array of coverage options and several discounts. Furthermore, it is a large insurance company with over 48,000 agents and has a significant presence in all 50 states.
  • Farmers has an A.M. Best financial strength rating of A- which is excellent; therefore, it has the funds to stay in business and back your claims.
  • Farmers is known for its quality customer service and claims satisfaction.  It ranked among the highest in claims satisfaction by J.D. Power.
  • Farmers has an easy to use online platform which allows customers to take care of all their car insurance needs.  Customers can even request roadside assistance with their phone app.
  • One of the main drawbacks of Farmers Insurance is that its rates tend to be on the high end.

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