farmers insurance review — Farmers is the third-largest auto insurer in the United States. The company holds roughly 5% of the market. It operates in all 50 states plus Washington, D.C. Founded in 1928, Farmers has built its reputation on local agents and broad coverage options. However, it is not the cheapest carrier available. In most cases, Farmers costs 10% to 20% more than the national average. This farmers insurance review examines whether those higher premiums are justified. We break down coverage options, discounts, customer ratings, and claims handling. By the end, you will know if Farmers is the right fit for your driving needs and budget.
Farmers Coverage Options
Farmers offers every standard auto insurance coverage. Liability, collision, and comprehensive policies are all available. Uninsured and underinsured motorist protection is offered in every state. Medical payments and personal injury protection vary by location. Rental car reimbursement typically covers up to $50 per day for 30 days. Emergency roadside service handles towing and lockout situations. This farmers insurance review found the standard lineup competitive with major carriers.
Where Farmers stands out is specialty coverage. Signal by Farmers is a telematics program that tracks driving behavior. It uses an OBD-II device or smartphone app. Safe drivers can earn discounts up to 25%. The program also provides crash detection and vehicle diagnostics. Rideshare coverage fills the gap for Uber and Lyft drivers during Period 1. New Car Replacement pays for a brand-new vehicle if yours is totaled within two model years and under 24,000 miles. Accident Forgiveness prevents rate increases after your first at-fault accident.
Farmers also offers Vanishing Deductible. Your deductible drops $50 for each claim-free year, up to $500 total. Gap insurance covers the difference between your car’s value and your remaining loan balance. Custom parts coverage protects aftermarket modifications. Glass Deductible Buyback allows $0 deductible windshield repairs. For example, drivers with new vehicles benefit significantly from stacking New Car Replacement with gap insurance.
Farmers Discounts Available
This farmers insurance review identified over a dozen available discounts. Multi-policy bundling saves up to 20% when you combine home and auto. Multi-car discounts range from 10% to 15% for insuring two or more vehicles. Good driver discounts reward claim-free records with savings up to 23%. The Signal telematics program offers up to 25% off based on your driving score. Typically, stacking multiple discounts can reduce your premium by 30% to 40%.
Students benefit from two discount options. Good Student discounts save 10% to 15% for full-time students with a B average. Distant Student discounts apply when a child attends school over 100 miles away without a car. Defensive driving course completion saves an additional 5% to 10%. Anti-theft device discounts range from 10% to 25% depending on the system installed.
Administrative discounts add up as well. Paperless billing and e-signed documents save approximately 5%. Paying your annual premium in full saves 5% to 10%. Federal employees receive up to 5% off. As a result, budget-conscious drivers should ask their Farmers agent about every applicable discount. Many policyholders leave savings on the table by not asking.
Farmers Customer Ratings and Satisfaction — A farmers insurance review
Farmers holds an AM Best financial strength rating of A (Excellent). This confirms strong ability to pay claims. However, customer satisfaction scores tell a mixed story. In the 2024 J.D. Power U.S. Auto Insurance Study, Farmers scored approximately 840 out of 1,000. That falls below the industry average of 850. Farmers ranked in the middle-to-lower tier among large insurers. Agent interaction scores were higher than pricing satisfaction.
The NAIC complaint index raises concerns in this farmers insurance review. Farmers receives roughly 1.5 to 2.0 times the expected complaints for a company its size. Common issues include claims handling delays and premium disputes. On consumer review sites, Farmers averages 3.0 to 3.5 out of 5 stars. The mobile app performs better, earning 4.7 out of 5 on iOS and 4.5 on Android.
Claims handling is Farmers’ weakest area. J.D. Power claims satisfaction scores rank below average among large carriers. Standard auto claims take approximately 15 to 30 days to resolve. Farmers assigns an adjuster within 24 to 48 hours of filing. You can file claims online, through the app, by phone at 1-800-435-7764, or through your local agent. In most cases, using a Farmers Preferred Provider repair shop speeds up the process.
Farmers Pros and Cons
Pros:
- Extensive local agent network in all 50 states provides personalized, face-to-face service
- Signal telematics program offers up to 25% savings for safe drivers with crash detection included
- Specialty coverages like rideshare insurance, New Car Replacement, and Vanishing Deductible set Farmers apart
Cons:
- Premiums average $2,100 to $2,400 per year for full coverage — 10% to 20% above the national average
- NAIC complaint ratio of 1.5 to 2.0 times the median suggests claims handling issues
- J.D. Power satisfaction score of 840 out of 1,000 falls below the industry average of 850
Who Should Choose Farmers?
This farmers insurance review recommends Farmers for drivers who value personal service. If you prefer working with a dedicated local agent, Farmers excels. The agent network is one of the largest in the country. Bundling home and auto insurance saves up to 20%. Homeowners who want one agent for everything will benefit most. For example, families with multiple vehicles and a home policy can stack discounts effectively.
Rideshare drivers should seriously consider Farmers. The rideshare coverage fills a critical gap that many insurers still ignore. Drivers with new vehicles benefit from New Car Replacement and gap insurance together. However, price-sensitive shoppers may find better rates with GEICO, Progressive, or State Farm. This farmers insurance review suggests getting quotes from at least three carriers before deciding.
Farmers also works well for drivers willing to use telematics. The Signal program rewards safe driving habits with meaningful savings. Young drivers and families with teen drivers can use Signal to offset higher premiums. As a result, Farmers becomes more competitive when you actively pursue every available discount. The carrier is not ideal for those who want the lowest possible rate with no effort required.
Frequently Asked Questions
Is Farmers auto insurance expensive compared to other companies?
Yes, Farmers typically costs 10% to 20% more than the national average. Full coverage averages $2,100 to $2,400 per year. However, bundling and telematics discounts can bring rates closer to competitors. This farmers insurance review recommends stacking discounts to offset higher base premiums.
How does the Signal by Farmers telematics program work?
Signal tracks your driving through an OBD-II device or smartphone app. It monitors hard braking, speed, mileage, and time of day. Safe drivers earn up to 25% off their premium. The program also provides vehicle diagnostics and automatic crash detection. This farmers insurance review found Signal competitive with similar programs from Progressive and State Farm.
Does Farmers offer accident forgiveness?
Yes, Farmers offers accident forgiveness after approximately three years of claim-free driving. You can also purchase it as a paid endorsement. Your first at-fault accident will not increase your premium. This farmers insurance review notes that not all states allow this feature, so check with your local agent.
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Official Sources & Resources
For verified information on auto insurance companies and consumer protection:
- NAIC (National Association of Insurance Commissioners): naic.org
- Insurance Information Institute: iii.org
- National Highway Traffic Safety Administration (NHTSA): nhtsa.gov
- AM Best — Insurer Financial Strength: ambest.com
Content last reviewed April 2026. If you notice any outdated information, please contact us.