Farmers auto insurance review: Industry-best coverage
Farmers offers a wide variety of coverage types and discounts, but higher-than-average rates, making it one of the more expensive car insurance options on the market.
By
Rachael BrennanRachael BrennanSenior Editor & Licensed Auto Insurance ExpertRachael Brennan is a senior editor and a licensed auto insurance expert at Policygenius. Her work has also been featured in MoneyGeek, Clearsurance, Adweek, Boston Globe, The Ladders, and AutoInsurance.com.
Edited by
Anna SwartzAnna SwartzSenior Managing Editor & Auto Insurance ExpertAnna Swartz is a senior managing editor and auto insurance expert at Policygenius, where she oversees our car insurance coverage. Previously, she was a senior staff writer at Mic.com, as well as an associate writer at The Dodo.
Our proprietary ratings methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the “Ratings methodology” section for more details.
4.4
AM Best rating
AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).
A
Cost
Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).
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The bottom line
Farmers offers a variety of car insurance coverage types and discounts across all 50 states and Washington D.C.
Farmers has all the basic car insurance coverage most drivers need, including liability coverage and comprehensive, and collision coverage, along with some unique additional coverages and perks, like personal umbrella coverage and a glass deductible buyback.
Although Farmers has higher-than-average rates, it has high customer satisfaction ratings. And since Farmers only offers auto insurance policies through its in-house agents, customers can know they’re working directly with a Farmers representative. If you’re okay paying a little bit more for coverage in exchange for great claims service, Farmers may be the right choice for you.
Pros
Lots of coverage options and discounts
Excellent customer service ratings
Available in all 50 states and Washington D.C.
Cons
Higher-than-average prices
No gap coverage available
Basic coverages offered
Farmers offers all the basic auto insurance coverages most drivers need, including:
Liability coverage: Required in almost every state, liability insurance covers the costs if you damage someone else's car or injure another driver in an at-fault accident.
Personal injury protection: Also known as PIP coverage, this helps cover the cost if you or your passengers are injured in an accident, no matter who is at fault. PIP is required in no-fault states.
Comprehensive coverage: Covers non-collision damage to your car, like flood, fire, vandalism, theft, and animal-related damages.
Collision coverage: Covers the cost of the damage to your car in an accident, no matter who is at fault.
Additional coverages offered
Farmers has excellent car insurance coverage options, and a lot of them, including some types of coverage that you won’t find at many other large auto insurance companies. Farmers offers:
Medical payments coverage: Also known as MedPay, this helps with medical costs for you and your passengers if you get into a covered accident. This is typically a low amount of coverage, somewhere between $1,000 and $10,000.
Loss of use coverage: If you can’t use your car after an accident, this coverage helps pay for other forms of transit, like public transportation or rideshare options like Uber or Lyft.
Rental car reimbursement: This can cover the cost of a rental car for up to 30 days while yours is being repaired after a covered incident.
New car replacement coverage: If your car is totaled within the first two years of ownership, this pays to replace your car with another that’s the same make and model.
Guaranteed value coverage: If your car is totaled, this makes sure you’re paid a predetermined amount for it instead of the actual cash value (ACV) which may be less than the cost to replace your car.
Glass deductible buyback: This covers the cost to repair or replace the glass on your car, with only a $100 deductible.
Accident forgiveness coverage: If your driving record is clean, this coverage perk allows you to file an accident claim without seeing an increase in your premiums. But keep in mind that this only applies to your first accident, so avoid getting in another accident before the first falls off your record.
Rideshare coverage: If you’re a rideshare driver, this Farmers coverage helps protect you and your vehicle while you’re on the clock but haven’t picked up a passenger yet.
Towing and roadside service: Covers fuel delivery, towing, locksmith services, battery jumpstarts, winching, and flat tires.
Farmers does not offer gap coverage, so drivers who have a loan or lease may need to purchase gap coverage through their lender or choose a different car insurance company for coverage.
Ratings methodology
Price
3.7/5
Using Quadrant data, we compared the average cost of a full coverage policy from Farmers (50/100/50 coverage limits and $500 deductibles for comprehensive and collision coverage) to competitor rates for the same coverage with the same driver profile (single drivers aged 30, 35, and 45 driving a 2017 Toyota Camry LE about 10,000 miles per year.)
Customer experience
4.1/5
Farmers scored 882 out of 1,000 on J.D. Power’s 2022 U.S. Auto Claims Satisfaction Study, which is higher than the industry average. However, Farmers only scored a 668 on the J.D. Power’s 2022 U.S. Insurance Digital Experience Study, which looks at customer satisfaction with a company’s digital offerings, which is lower than the industry average. According to the National Association of Insurance Commissioners (NAIC) National Complaint Index Report, Farmers also had fewer customer complaints than average in 2021.
Coverage options
5.0/5
Farmers offers 23 different types of auto insurance coverage, giving it an excellent score when it comes to coverage options. Farmers offers other types of coverage beyond the standard auto insurance coverage types (liability, comprehensive, and collision coverage), including some less-common options like guaranteed value coverage, new car replacement coverage, and loss of use coverage.
Financial strength
3.7/5
Farmer has moderate financial ratings, scoring an A with AM Best, A+ with S&P, and A1 with Moody’s. This means that, although its scores could be higher, Farmers is in a decent financial position to pay out its customers’ claims.
How much does Farmers auto insurance cost?
Farmers auto insurance costs an average of $174 a month, or $2,084 a year. That makes Farmers car insurance more expensive (significantly so, in some cases) than competitors for a full-coverage policy with bodily injury liability limits of $50,000 per person and $100,000 per accident.
Coverage amount
Average annual rate for Farmers
Required state minimum
$781
Full coverage ($50,000/$100,000)
$2,084
Full coverage ($100,000/$300,000)
$2,109
Why is Farmers auto insurance so expensive?
Farmers is one of the more expensive options for car insurance among large companies for a number of reasons. The biggest reason for the higher price is that Farmers sells coverage through its own agents, which means your insurance premiums will include an agent commision.
Having an insurance agent to answer questions or guide you through difficult or complex issues can be a valuable add-on, so the additional cost may be worth it for some drivers.
And remember that every car insurance company has its own unique system for setting rates. Although they all use the same basic information, like age, ZIP code, and driving history to set rates, each company weights those factors differently. This means that some companies will have higher rates than others, including Farmers.
And although Farmers is known for being on the pricey side, it isn’t the most expensive option on the market; there are still several car insurance companies with higher average rates.
What discounts does Farmers offer?
Farmers offers plenty of auto insurance discounts that may be able to help you save money on your policy, including:
Bundling discount: Farmers offers bundling discounts for combining multiple types of insurance, including auto insurance, homeowners insurance, umbrella insurance, and life insurance.
EFT discount: Save when you set up automatic electronic fund transfer payments.
Good student discount: Full time students under the age of 25 with a B average or higher may qualify for a good student discount.
Distant student discount: If your college kid goes to school 100 miles or more from home and doesn’t have a car with them while they’re away, you may qualify for a discount.
Multi-car discount: If you own two or more vehicles and insure both of them with Farmers, you may qualify for a multi-car discount.
Alternative fuel discount: Owners who drive hybrids and other alternative fuel vehicles may save 5% on all major coverages.
ePolicy discount: Get a discount for going paperless and managing your policy online or through the Farmers app.
Paid in full discount: Save money by paying your policy in full instead of making monthly payments.
Anti-theft discount: Potentially get a discount for certain alarms and protective services.
Affinity group discount: Members or employees of certain groups and businesses may qualify for a discount.
Safe driver discount: Drivers with “zero BI points” (which means no bodily injury claims) qualify for a safe driver discount.
Senior defensive driving discount: You may qualify for a discount if you are 55 or older and have completed state-approved safe driver training in the last three years.
Youthful driver discount: If a primary named insured has a Farmers policy in place for 12 months or more and adds a child or grandchild under 25 to the policy, they may qualify for a discount.
Keep in mind that not every discount is available in every state. To find out which discounts apply to you, reach out to your Farmers agent.
Farmer’s Signal app
Signal is Farmers’ usage-based discount program. As with other companies that offer similar savings programs, Signal tracks your driving through a smartphone app, and drivers who show safe driving habits can earn lower rates when their policy renews.
Your rates can go down if Signal records you avoiding high-risk behaviors, like speeding and hard braking, but be wary — risky drivers could see their rates go up instead of down.
Safe drivers can also earn special rewards besides lower rates on their Farmers policy — according to the company website, if your Signal “focused driving score ” stays at 80% or better, you may earn rewards like gift cards.
The Farmers Signal app can also include CrashAssist, a crash detection program that uses information from your smartphone to sense if you’ve been in a car accident, and send emergency services to your location. But drivers who value privacy over savings may not feel comfortable being tracked, and can choose not to opt-in to the Farmers Signal app.
Farmers auto insurance state availability
Farmers auto insurance is available in all 50 states and Washington D.C.
What to expect with Farmers auto insurance
How to get a quote: You can work with an agent or go online to the Farmers website to get a quote.
Customer service options: Farmers has a mobile app that allows customers to maintain their policy, but customers who need more help than the app can provide can speak with a customer service agent by calling 1-888-327-6335.
How to file a claim: You can file a claim online or through the mobile app, or you can call the claims department at 1-800-435-7764.
How to cancel your policy: Customers can either work with their agent or call Farmers directly at 1-888-327-6335 to cancel their policy.
Farmers has high customer satisfaction ratings and excellent coverage options, but at a higher average cost than the industry standard. It’s not one of the cheapest options for car insurance, but it’s known for good customer service.
Is Farmers good about paying claims?
Farmers scored an 882 out of 1,000 on the J.D. Powers Claims Satisfaction survey, which measures how happy customers are with the experience of filing a claim. This is a great score, which indicates that Farmers’ customers are happy with their claims experience.
What is Farmers insurance ranked?
We used a variety of factors (cost, coverage options, customer service, and financial stability) to rate multiple auto insurance companies. Several of those companies received a higher overall score than Farmers and several companies received lower scores, which puts Farmers right in the middle of the pack. But that doesn’t mean Farmers is good or bad; compare quotes from multiple companies to make sure you are getting the best possible coverage.
Rachael Brennan is a senior editor and a licensed auto insurance expert at Policygenius. Her work has also been featured in MoneyGeek, Clearsurance, Adweek, Boston Globe, The Ladders, and AutoInsurance.com.
Anna Swartz is a senior managing editor and auto insurance expert at Policygenius, where she oversees our car insurance coverage. Previously, she was a senior staff writer at Mic.com, as well as an associate writer at The Dodo.
