State Farm and Allstate are major players in the car insurance arena. State Farm ranks highest among the list of the largest auto insurance companies. Allstate, which ranks No. 4 in that list, also provides drivers with a broad range of coverage for those who want personal and local service.
Choosing the biggest provider just because of its size doesn’t necessarily mean it’s the best choice for you. There are many variables to consider. Continue reading for a comparison of State Farm and Allstate coverage, price, discounts, and more.
For more information about these companies, check out our State Farm car insurance review and Allstate car insurance review.
State Farm and Allstate offer standard car insurance coverage such as:
Read our article on common types of auto insurance to learn more about basic coverage.
Many drivers choose to enhance their basic policy with add-ons. Some optional coverage from State Farm or Allstate may not be available in all states.
Allstate offers an uncommon add-on: insurance for your sound system. If your custom audio equipment is stolen or damaged, Allstate will cover the loss. The company also has specialized coverage for classic cars and modified vehicles.
Insurance companies set the price of premiums based on many variables. Factors that affect insurance rates include your driving record, age, gender, geographic location, creditworthiness, vehicle type, how much you drive, and more.
Every driver gets a customized insurance policy with a unique rate based on those factors. According to The Zebra, the average monthly premium with State Farm is on the lower side of the cost spectrum, while Allstate rates run higher.
This table compares average annual premiums between State Farm and Allstate by age tier.
| Age Group | State Farm | Allstate |
| Teens | $5,820 | $6,442 |
| 20s | $2,379 | $2,636 |
| 30s | $1,585 | $2,636 |
| 40s | $1,587 | $1,912 |
| 50s | $1,558 | $1,893 |
| 60s | $1,485 | $1,768 |
Source: The Zebra
Most insurers encourage customers to take advantage of bundling auto insurance with home, renters, boat, motorcycle, or another insurance policy. Combining policies has the potential to generate significant savings, so be sure to ask about multi-policy and multi-vehicle bundling options.
Policyholders may be eligible for some of the many discounts offered by State Farm or Allstate:
Both companies have telematics programs, which monitor driving habits to determine the premium. Other discounts may be available to eligible customers.
While its rates may be higher than State Farm’s for many drivers, Allstate has various perks for customers to save money. A rewards program and bonus checks for safe driving are two benefits Allstate provides to qualified policyholders.
You should consider more than the price when shopping for a car insurance policy. Some drivers argue that you get what you pay for and that higher prices lead to better service. Regardless of how much you pay for insurance, your carrier should provide good customer service, quickly respond when you need help, and pay submitted claims.
Most insurance companies receive mixed reviews for their service. The J.D. Power 2021 U.S. Auto Insurance Study provides insights from the responses of nearly 39,000 car insurance customers. The survey measures key criteria regarding customer satisfaction:
State Farm earns “above average” results in the customer satisfaction survey. Allstate earns “average” marks for claims and overall customer satisfaction.
A.M. Best assesses insurance companies’ ability to meet their ongoing policy and contractual obligations. According to The Zebra, State Farm and Allstate achieve “excellent” ratings. This rating indicates that these carriers have the financial strength to cover their customers’ claims.
There isn’t a one-size-fits-all solution for car insurance because every driver has a unique situation. Request a quote from State Farm, Allstate, and other insurance companies to get the cost of a customized policy with the coverage you need.
Allstate and State Farm are reliable insurers that offer coverage that likely will meet your requirements. State Farm has lower premiums on average but many Allstate policyholders appreciate the opportunity for local personalized one-on-one service.
No matter which company you choose, it’s most important that you understand the details of what is covered and what is not covered before renewing or signing a new insurance policy.
