Is State Farm or Allstate cheaper?

State Farm is typically 5-10% cheaper than Allstate for most drivers. However, Allstate may be more competitive if you qualify for their Drivewise discount (up to 40%) or have a clean 5+ year driving record. Always get quotes from both—rates vary significantly based on location and driving history.

Does State Farm have better customer service than Allstate?

State Farm consistently ranks higher in J.D. Power customer satisfaction surveys, scoring about 5-10 points higher than Allstate. State Farm has more local agents (19,000+ offices) compared to Allstate (around 10,000 agents), which can mean more personalized service.

Which company has better claims handling?

Both companies handle millions of claims annually with similar satisfaction rates. State Farm scores slightly higher in J.D. Power claims studies. The experience often depends more on your local agent and adjuster than the company itself. Both pay claims reliably.

Can I bundle home and auto with both companies?

Yes, both State Farm and Allstate excel at bundling. State Farm offers 10-17% multi-policy discounts. Allstate typically offers 10-25% bundling discounts. Both companies write their own home insurance policies, making bundling seamless.

Which company is more financially stable?

Both companies are extremely financially stable with A++ ratings from AM Best. State Farm is a mutual company (owned by policyholders) while Allstate is publicly traded. Both have been in business for nearly 100 years and will reliably pay claims.

State Farm vs. Allstate: Which Insurance Is Better? (2026 Comparison)

State Farm and Allstate are America’s #1 and #4 largest auto insurers, both built around local agent networks. Here’s how they compare for rates, coverage, and service.

State Farm vs. Allstate: Quick Comparison

Feature	State Farm	Allstate
Market share (auto)	16.8% (#1)	10.2% (#4)
Founded	1922	1931
Headquarters	Bloomington, IL	Northbrook, IL
Agent offices	19,000+	10,000+
Average annual auto premium	$1,380	$1,520
Average annual home premium	$1,650	$1,780
Company structure	Mutual (policyholder-owned)	Public (NYSE: ALL)
AM Best rating	A++ (Superior)	A+ (Superior)
J.D. Power auto satisfaction	875/1000	858/1000
Bundling discount	10-17%	10-25%

Auto Insurance Rate Comparison

Average Annual Rates by Driver Profile

Driver Profile	State Farm	Allstate	Difference
Clean record, 35-year-old	$1,380	$1,520	State Farm saves $140
Clean record, 25-year-old	$2,180	$2,450	State Farm saves $270
One at-fault accident	$1,980	$2,150	State Farm saves $170
One speeding ticket	$1,580	$1,720	State Farm saves $140
DUI (3 years ago)	$2,850	$3,280	State Farm saves $430
Poor credit	$2,280	$2,580	State Farm saves $300
Teen driver added	$3,450	$3,780	State Farm saves $330

Rates by Age (Full Coverage, Clean Record)

Age	State Farm	Allstate
18	$4,580	$5,120
21	$2,850	$3,180
25	$2,180	$2,450
30	$1,520	$1,680
40	$1,340	$1,480
50	$1,280	$1,420
60	$1,310	$1,450
70	$1,480	$1,650
80	$1,820	$2,080

Rates by State (Full Coverage, 35-Year-Old, Clean Record)

State	State Farm	Allstate	Cheaper Option
California	$1,680	$1,890	State Farm
Texas	$1,520	$1,710	State Farm
Florida	$2,180	$2,480	State Farm
New York	$2,050	$2,280	State Farm
Illinois	$1,280	$1,380	State Farm
Ohio	$920	$1,050	State Farm
Pennsylvania	$1,180	$1,320	State Farm
Michigan	$2,650	$2,480	Allstate
New Jersey	$1,850	$2,050	State Farm
Georgia	$1,580	$1,680	State Farm

Home Insurance Rate Comparison

Average Annual Rates by Home Value

Home Value	State Farm	Allstate	Difference
$200,000	$1,180	$1,280	State Farm saves $100
$300,000	$1,480	$1,620	State Farm saves $140
$400,000	$1,780	$1,950	State Farm saves $170
$500,000	$2,080	$2,280	State Farm saves $200
$750,000	$2,850	$3,120	State Farm saves $270
$1,000,000	$3,580	$3,950	State Farm saves $370

Home Insurance by State (Avg $350K Home)

State	State Farm	Allstate	Cheaper Option
Texas	$2,850	$3,180	State Farm
Florida	$3,480	$3,850	State Farm
California	$1,380	$1,520	State Farm
Oklahoma	$3,150	$3,450	State Farm
Kansas	$2,680	$2,950	State Farm
Colorado	$2,280	$2,480	State Farm
Louisiana	$3,280	$3,580	State Farm
Ohio	$1,180	$1,280	State Farm
New York	$1,480	$1,620	State Farm
North Carolina	$1,680	$1,850	State Farm

Bundling Discounts Comparison

Multi-Policy Discounts

Bundle Type	State Farm	Allstate
Auto + Home	10-17%	10-25%
Auto + Renters	5-10%	5-15%
Auto + Life	5-10%	3-8%
Auto + Home + Life	15-25%	15-30%
Auto + Home + Umbrella	12-20%	12-22%

Bundling Savings Example

Annual Premiums	State Farm	Allstate
Auto (unbundled)	$1,480	$1,620
Home (unbundled)	$1,680	$1,850
Total unbundled	$3,160	$3,470
Bundle discount	15% ($474)	20% ($694)
Total bundled	$2,686	$2,776
Bundled savings vs. unbundled	$474	$694

Key Insight: Allstate offers larger bundling discounts, but State Farm’s lower base rates often result in cheaper bundled prices overall.

Discount Comparison

Auto Insurance Discounts

Discount Type	State Farm	Allstate
Multi-car	Up to 20%	Up to 25%
Multi-policy (bundle)	10-17%	10-25%
Good driver	10-25%	10-20%
Good student	Up to 25%	Up to 20%
Driver’s ed	Up to 15%	Up to 10%
Defensive driving	5-10%	5-10%
Anti-theft device	3-15%	5-15%
Passive restraint (airbags)	5-10%	5-10%
Steer Clear (young drivers)	5-15%	N/A
Teen driver app	N/A	10-15%
Usage-based (telematics)	Up to 30% (Drive Safe & Save)	Up to 40% (Drivewise)
Loyalty (5+ years)	5-10%	5-15%
Paperless	5%	5%
Autopay	5%	5%
Pay in full	5-10%	5-10%

Home Insurance Discounts

Discount Type	State Farm	Allstate
Multi-policy	10-17%	10-25%
New home	Up to 15%	Up to 15%
Claims-free (5+ years)	10-20%	10-20%
Protective devices	5-15%	5-15%
Smart home devices	5-10%	5-10%
Fire/burglar alarm	5-15%	5-15%
Sprinkler system	5-10%	5-10%
Roof age (new roof)	5-20%	5-20%
Age 55+	5-10%	5-10%
Retiree	5-15%	5-15%

Usage-Based Insurance: Drive Safe & Save vs. Drivewise

Feature	State Farm Drive Safe & Save	Allstate Drivewise
How it works	App or Bluetooth device	App or device
Maximum discount	Up to 30%	Up to 40%
Participation discount	5% just for enrolling	10% just for enrolling
Can raise your rates?	No	No (since 2020)
What’s tracked	Speed, braking, time of day, miles	Speed, braking, time of day, miles
Low mileage bonus	Yes	Yes
Safe driving bonus	Yes	Yes (quarterly bonuses)
Privacy controls	Can turn off tracking	Can turn off tracking

Who Saves Most with Telematics?

Driver Type	Drive Safe & Save	Drivewise
Very low mileage (<5K/year)	20-30%	25-40%
Moderate mileage (8-12K/year)	10-20%	15-25%
High mileage (>15K/year)	5-10%	5-15%
Mostly daytime driving	15-25%	20-30%
Frequent night driving	5-10%	5-10%
Smooth driving style	15-25%	20-35%
Aggressive driving	5-10%	5-10%

Key Insight: Allstate’s Drivewise offers higher maximum discounts, making it better for extremely safe, low-mileage drivers.

Coverage Options Comparison

Auto Coverage

Coverage	State Farm	Allstate
Liability	✓	✓
Collision	✓	✓
Comprehensive	✓	✓
Uninsured/underinsured	✓	✓
Medical payments	✓	✓
PIP (where required)	✓	✓
Rental reimbursement	✓	✓
Roadside assistance	✓	✓
Gap insurance	✓	✓
Rideshare coverage	✓	✓
Accident forgiveness	✓ (earned)	✓ (purchasable)
New car replacement	✗	✓
Deductible rewards	✗	✓ ($100/year safe driving)
Sound system coverage	✓	✓
Custom equipment	✓	✓

Allstate’s Unique Features

Deductible Rewards: Your deductible decreases by $100 for every year without an accident, up to $500 off.

New Car Replacement: If your new car is totaled within 5 years, Allstate pays for a brand-new model, not just the depreciated value.

Safe Driving Bonus: Earn up to 5% back on your premium every 6 months without an accident.

Home Coverage

Coverage	State Farm	Allstate
Dwelling	✓	✓
Other structures	✓	✓
Personal property	✓	✓
Loss of use	✓	✓
Liability	✓	✓
Medical payments	✓	✓
Water backup	✓ (add-on)	✓ (add-on)
Identity theft	✓ (add-on)	✓ (add-on)
Home business	✓ (add-on)	✓ (add-on)
Roof replacement	ACV or replacement	ACV or replacement
Personal article floater	✓	✓
Green improvement	✗	✓
Yard & garden	Limited	✓ (enhanced)

Claims Process Comparison

Metric	State Farm	Allstate
24/7 claims	✓	✓
File via app	✓	✓
Virtual claims (photo)	✓	✓ (QuickFoto Claim)
Average processing time	12-16 days	14-18 days
Direct repair network	✓	✓
Claims satisfaction (J.D. Power)	878/1000	861/1000
NAIC complaint ratio (auto)	0.85	1.24
NAIC complaint ratio (home)	0.82	1.18

NAIC Complaint Ratio: 1.0 is average. State Farm’s complaints are below average (better), while Allstate’s are above average.

Claims Experience by Type

Claim Type	State Farm	Allstate
Windshield/glass	Excellent	Excellent
Fender bender	Good	Good
Total loss	Good	Good
Complex injury claim	Good	Average
Home weather damage	Good	Average
Home water damage	Good	Good
Theft	Good	Average

Agent Network & Service

Local Agent Presence

Metric	State Farm	Allstate
Total agents	19,200+	10,300+
Agent-to-customer ratio	1:900	1:1,300
Agent structure	Exclusive (State Farm only)	Exclusive (Allstate only)
In-person service	✓	✓
Agent mobile service	Some agents	Some agents
Agent hours	Varies (typically M-F 9-5)	Varies

Digital Service

Feature	State Farm	Allstate
App rating (iOS)	4.8/5	4.7/5
App rating (Android)	4.7/5	4.5/5
Digital ID cards	✓	✓
Policy changes online	✓	✓
Claims filing online	✓	✓
Bill pay via app	✓	✓
Coverage quotes online	✓	✓

Customer Satisfaction Ratings

J.D. Power Rankings (2025)

Category	State Farm	Allstate	Industry Average
Auto insurance (overall)	875/1000	858/1000	854/1000
Auto claims	878/1000	861/1000	862/1000
Home insurance (overall)	862/1000	845/1000	847/1000
Home claims	865/1000	848/1000	850/1000
Shopping experience	885/1000	865/1000	868/1000

Consumer Reports Ratings (2025)

Category	State Farm	Allstate
Auto insurance	81/100	76/100
Home insurance	79/100	74/100
Customer satisfaction	Very Good	Good
Value	Very Good	Good

Financial Strength

Metric	State Farm	Allstate
AM Best rating	A++ (Superior)	A+ (Superior)
S&P rating	AA	A+
Company structure	Mutual (policyholder-owned)	Public (NYSE: ALL)
Total assets	$290 billion	$180 billion
2024 premiums written	$98 billion	$56 billion
Years in business	104 (since 1922)	95 (since 1931)
Policyholders	87 million+	16 million+

Mutual vs. Stock Company: State Farm is owned by policyholders, which can mean profits go toward better rates rather than shareholder dividends. Allstate must balance customer value with shareholder returns.

Who Should Choose State Farm?

Best For	Why
Value seekers	Generally 5-10% lower rates
Those wanting local agents	19,000+ offices nationwide
Clean driving records	Excellent good driver discounts
Families with teen drivers	Steer Clear program saves 5-15%
Long-term policyholders	Loyalty recognized
Those preferring mutual insurers	Policyholder-owned company

Who Should Choose Allstate?

Best For	Why
Safe drivers wanting max telematics discount	Drivewise offers up to 40% off
Those wanting reward programs	Deductible rewards, safe driving bonus
New car buyers	New car replacement coverage
Tech-savvy users	Strong digital tools and app
Those wanting bundling simplicity	Excellent multi-policy discounts
Customers who like bonus programs	Multiple reward structures

Decision Matrix

Your Priority	Choose State Farm	Choose Allstate
Lowest base rates	✓
Largest agent network	✓
Best claims satisfaction	✓
Maximum telematics discount		✓
Deductible rewards		✓
New car replacement		✓
Policyholder-owned company	✓
Best young driver programs	✓
Highest bundling discount		✓
Green home features		✓

How to Choose Between Them

Step 1: Get Quotes from Both

Contact local agents or get online quotes. Be prepared to provide:

Driver’s license info for all drivers
Vehicle VINs
Home details (year built, square footage, roof age)
Current coverage limits

Step 2: Compare Identical Coverage

Ensure quotes include the same:

Liability limits (100/300/100 recommended for auto)
Deductibles ($1,000 typical)
Dwelling coverage (home replacement cost)
Add-ons (umbrella, roadside, etc.)

Step 3: Factor in Discounts

Ask about every available discount:

Multi-policy bundle
Telematics enrollment
Defensive driving course
Home safety features
Loyalty discounts

Step 4: Consider Unique Features

Decide if these are valuable to you:

Allstate’s deductible rewards ($100/year off deductible)
Allstate’s new car replacement
State Farm’s local agent network
State Farm’s mutual company structure

Step 5: Check Agent Quality

Meet with local agents from both. Consider:

Office hours and availability
Agent responsiveness
Claims handling reputation locally
Personal rapport

The Bottom Line

State Farm generally offers lower rates, better customer satisfaction scores, and more local agents. It’s ideal for value-conscious customers who want traditional agent service.

Allstate excels at reward programs, telematics discounts, and unique coverage options like new car replacement. It’s ideal for safe drivers who want to maximize discounts and features.

Average savings by switching: $200-$450/year

Best strategy: Get quotes from both companies with identical coverage limits. Factor in all available discounts, especially bundles and telematics programs. The cheaper option for you depends heavily on your specific profile, location, and driving habits.

Rates shown are averages from industry studies and may vary significantly based on your specific situation. Always get personalized quotes from both companies.