4.4 / 5

Farmers homeowners insurance review

Farmers offers an array of flexible homeowners insurance coverages at affordable rates, but its financial stability has trended negatively over the past few years.

Pat Howard 1600Haley Sprankle


Pat Howard

Pat Howard

Senior Editor & Licensed Home Insurance Expert

Pat Howard is a senior editor and licensed home insurance agent at Policygenius, where he specializes in homeowners insurance. His work and expertise has been featured in MarketWatch, Real Simple, Fox Business, VentureBeat, This Old House, Investopedia, Fatherly, Lifehacker, Better Homes & Garden, Property Casualty 360, and elsewhere.

 & Haley Sprankle

Haley Sprankle

Reviews Editor

Haley Sprankle is a former reviews editor at Policygenius who specializes in homeowners and auto insurance. Previously, she was a writer at Wirecutter and The New York Times.

Updated January 12, 2022 | 6 min read

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    Agent availability in all 50 states

    Multiple customizable coverage tiers

    Accessible discount options


    Limited enhanced coverage options

    Lower financial ratings than competitors


Farmers is the fifth largest home insurer in the U.S. and one of the more recognizable brands on the market. This home and auto insurance mainstay is renowned for its personalized and flexible homeowners insurance policy options, offering a few different coverage packages: a lower cost option with standard coverage, a slightly more expensive but comprehensive option, and a higher cost option with the entire suite of coverage endorsements and enhanced coverage limits.


Average annual premium cost for a medium-sized home.


Financial confidence

Financial ratings from credit rating agencies.


Third-party ratings

Satisfaction from consumer sentiment institutions and complaints to state insurance boards.


Policy options

Both the quality and number of coverage options, like unique homeowners insurance product tiers and availability of certain coverage endorsements.


Customer experience

Ease of use, convenience, availability, and claims ratings.


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The details

The good

Agent availability in all 50 states. Farmers claims to insure more than 10 million homes in the U.S. A big reason for that may be its extensive range and network of agents (over 48,000 across all 50 states). If you're in need of coverage for your home or a second home, chances are Farmers is an option in your area.

Multiple customizable coverage tiers. With three unique coverage tiers containing various levels of protection and pricing options, Farmers has something for everyone. Its premier coverage package is around $400 more annually than its basic offering, but features an entire suite of coverage endorsements for high-value homes as well as guaranteed replacement cost for your home's structure.

Accessible discount options. While Farmers doesn't offer any particularly special or unique discounts, where it stands apart from competitors is how easy it is to capitalize on its various discount offerings. For example, homes up to 12 years old can qualify for a new home discount.

The bad

Limited enhanced coverage options. While Farmers offers comprehensive enhancements to standard coverage components, it lacks some of the more popular additional endorsements — like equipment breakdown coverage, home computers coverage, service line coverage, and others.

Lower financial ratings than competitors. By no means does Farmers have bad or even less-than-good financial ratings, but its rating with Moody’s has decreased over the last two years—from Aa2 to A2. This still isn’t a bad rating, but the trend could be troublesome if it persists.


Average annual premium cost for a medium-sized home.


We couldn't rate Farmers on its pricing since we don't have access to Foremost quote data as of January 2022. We'll update this score as soon as that information  becomes available. The current price score is based on available discount opportunities alone.


Some common discounts with Farmers include protective devices discounts, claims free discounts, and new home discounts. Farmers offers most of the standard discounts as well as a multi-policy discount if you get more than one property insurance policy with Farmers.

  • Bundling discount. Save on premiums by insuring other types of property with Farmers.

  • Claims-free discount. Receive a discount if you’ve been claim-free for three or more years, and the claim-free years can carry over from other insurers.

  • Non-smoker discount. If your home has been smoke-free for at least two years.

  • UL approved roofing materials discount. If your roof is constructed from materials that are considered impact-resistant by the Underwriters Laboratories.

  • Protective devices discount. If your home has security and safety features like burglar alarms, fire alarms, fire sprinklers, and storm shutters.

  • New home discount. If you're insuring a home that's less than 12 years old.

  • Declining deductibles. This isn’t as much a discount as it is a policy perk, but you can earn $50 toward your deductible for each year your policy remains active.

  • Claim forgiveness. Similar to declining deductibles, Farmers’ claim forgiveness feature isn’t so much a deductible as a policy perk. With claim forgiveness, if you’ve been claim-free with Farmers for more than five years, your premium won’t go up as a result of your next claim.

Financial confidence

Financial ratings from credit rating agencies.


Farmers has been around for almost 100 years and has well-established financial strength with the top insurance rating agencies in the world. However, its rating with Moody’s has decreased since we last reviewed Farmers. While the company still has a strong rating, we plan to take note of these trends and if they continue.

  • A.M. Best rating: A

  • Moody's rating: A2

  • Standard & Poor's rating: A

A.M. Best focuses exclusively on the insurance industry. A good score with A.M. Best means a company is more likely to fulfill its financial obligation to you when it comes time to file a claim. With an A score with A.M. Best (effective January 12, 2022), Farmers has one of the higher credit ratings a company can receive with A.M. Best.

Moody's analyzes the value of stocks and bonds with certain companies and what the expected losses would be if a company were to go into default. An AAA rating is the highest possible score you can receive from Moody's, so Farmers’ A2 rating is pretty good. It’s important to note that this rating dropped two notches (down from Aa2) since we last reviewed Farmers. We plan to monitor this in case it’s a trend.

Mainly used by financial investors and other market stakeholders, Standard & Poor's measures companies' creditworthiness and long-term financial stability. An AAA rating is the highest issuer credit rating assigned by S&P. While Farmers' A rating is quite a bit lower than its competitors, it shouldn't leave policyholders or investors with too much of a reason to worry.

Third-party ratings

Satisfaction from consumer sentiment institutions and complaints to state insurance boards.


Farmers has decent ratings with most of the big rating companies and review aggregators, scoring at least average ratings with every company.

  • Consumer Affairs: 3.2 / 5

  • Consumers Advocate: 4.7 / 5

  • Trustpilot: 2.2 / 5

  • NAIC complaint index: 1.12

Consumer Affairs is a platform that lets consumers directly rate companies. Farmers has a score of 3.2 out of 5, which is good but not great. 

Consumers Advocate rates companies based on stability, reputation, and policy coverage. Farmers scored a 4.7 out of 5, or an “Excellent.”

Trustpilot is another site that allows customers to directly rate different companies. Farmers has a score of 2.2 out of 5, but that’s based on Farmers as a whole, not strictly its homeowners insurance.

The National Association of Insurance Commissioners (NAIC) tracks the number of complaints submitted to state insurance departments with its national complaint index. A score of 1 is the baseline average, and a score of 0 means there weren't enough complaints to count. Farmers scored a 1.12, a relatively average number of complaints for a company this large.

Policy options

Both the quality and number of coverage options, like unique homeowners insurance product tiers and availability of certain coverage endorsements.


Farmers offers three homeowners insurance coverage packages that provide all of the six basic protections and varying levels of coverage enhancements and benefits for each one.

There is one standard policy for the price-conscious homeowner who isn't in need of robust protection, a middle tier with replacement cost contents coverage and added endorsements, and a higher tier that includes every endorsement offered by Farmers, in addition to guaranteed replacement cost dwelling coverage.

Here are some of the highlights of each of the three coverage tiers with Farmers:

Standard coverage

This is Farmers’ most affordable homeowners insurance package. It includes the six standard coverages: 

  • Dwelling coverage. This covers the cost to rebuild or repair your home in the case of a covered incident.

  • Other structures coverage. If you have a shed in your backyard, or a detached garage, this coverage ensures its repair and replacement after a covered incident.

  • Personal property coverage. Extensive coverage of personal property and belongings for protection against fire, theft, and other losses.

  • Additional living expenses. If you have to stay elsewhere while your home is being repaired, this covers the cost of things like lodging, food, and travel.

  • Personal liability coverage. If someone gets hurt, or if a visitor’s property is damaged, while on your property, this will pay for medical and legal expenses.

  • Medical expenses. If a guest is injured at your home and requires medical attention, this covers their medical bills.

You also have the ability to customize each coverage to your liking or add endorsements to your policy for an additional premium. Those optional add-ons and endorsements include:

  • Extended replacement cost coverage. You can add this to your policy and increase your dwelling coverage by up to 150%.

  • Replacement cost contents coverage. If your property is destroyed due to a covered incident, Farmers will pay for you to replace it with an item of equal quality. 

  • Personal possessions coverage. With this coverage, you can protect higher value items like jewelry.

  • Important document replacement. If you lose documents like your passport or birth certificate, this coverage would help cover the costs to restore those documents for you.

  • Identity theft. In the case of stolen identity or fraud, this coverage can help cover the costs to restore your identity.

  • Green rebuild. You may want to make your home more eco-friendly during your rebuild, and with this coverage you would have $25,000 towards that effort.

Enhanced coverage

Farmers’ middle coverage tier includes extended coverage limits and replacement cost coverage for your roof and personal property alongside everything offered in its standard package.

Premier coverage

Farmers’ most comprehensive coverage tier features increased coverage limits for specific items like jewelry and firearms, a number of coverage endorsements, and guaranteed replacement cost coverage for your home’s structure alongside everything offered in the standard package.

Note: The information above represents potential policy options and may not be available for every applicant. Speak to a licensed expert for a personalized look at your coverage options.

Customer experience

Ease of use, convenience, availability, and claims ratings.


Farmers is available in every state, has numerous digital tools, and has an easy-to-use website for managing your policy.

State availability

Farmers homeowners insurance is available in 50 states and the District of Columbia.

Digital tools

Farmers’ website features online policy management, electronic policy delivery, online bill pay, online claims filing, and FAQ resources. The Farmers mobile app allows you to access policy documents, manage your policies, pay bills, and file and follow claims.

Ease of claims

Farmers allows you to file and track claims online. From finding a vendor to repairing your property to replacing personal items to getting emergency lodging, Farmers ensures its customers are taken care of. 

Farmers also has a helpful claims section on its website that walks you through different claim scenarios—water damage claims, catastrophe claims, and general property claims—and gives in-depth instructions on the actions you need to take to ensure a fast and effective process.

Additional claims service

  • 24/7 claims service

  • Dedicated catastrophe claims service

  • Mobile claims team

  • Ability to report claims over text, through the mobile app, or by calling the dedicated claims center

Payment methods

  • Online bill payment

  • Mobile app bill payment

  • Farmers rewards Visa card

  • Automatic bank account payments

  • Automatic payment card payments

  • Electronic funds transfer (EFT)

Policygenius offers insurance policies from many of the nation's top insurers, who pay us a commission for our services. However, all editorial choices are made independently.