State Farm vs. USAA Auto Insurance (2021)

When looking at State Farm vs. USAA auto insurance, you’ll find that USAA has lower rates and better financial ratings. However, while State Farm is available to everyone, USAA is only for military members, veterans, and their families. State Farm and USAA also have similar coverages and discount opportunities. Comparing State Farm vs. USAA auto insurance rates will help you make the right choice.

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Leslie Kasperowicz holds a BA in Social Sciences from the University of Winnipeg. She spent several years as a Farmers Insurance CSR, gaining a solid understanding of insurance products including home, life, auto, and commercial and working directly with insurance customers to understand their needs. She has since used that knowledge in her more than ten years as a writer, largely in the insuranc...

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Dan Walker graduated with a BS in Administrative Management in 2005 and has been working in his family’s insurance agency, FCI Agency, for 15 years (BBB A+). He is licensed as an agent to write property and casualty insurance, including home, auto, umbrella, and dwelling fire insurance. He’s also been featured on sites like Reviews.com and Safeco. He reviews content, ensuring that ex...

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Reviewed by Daniel Walker
Licensed Auto Insurance Agent

UPDATED: Jul 28, 2021

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Things to Remember

  • USAA has lower rates than State Farm
  • USAA is rated better than State Farm by A.M. Best
  • State Farm and USAA offer similar coverages and discounts

State Farm and USAA provide cheap auto insurance to customers throughout the United States. USAA has lower rates and better financial ratings. Comparing State Farm vs. USAA will help you determine the best auto insurance company for your needs.

Before starting this State Farm vs. USAA comparison, enter your ZIP code to find free auto insurance quotes in your area.

State Farm vs. USAA: What are their annual rates?

Comparing affordable State Farm vs. USAA auto insurance rates will help you find the most cost-effective policy. To learn more about USAA, check out our USAA auto insurance review.

The following chart shows the annual State Farm and USAA auto insurance rates based on age.

State Farm vs. USAA: Average Annual Rates by Age
AgeState Farm Average Annual RatesUSAA Average Annual Rates
20$2,379$1,261
30$1,585$963
40$1,587$957
50$1,558$889
60$1,485$845
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As you can see, USAA rates are lower than State Farm rates, and the price goes down as drivers age.

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State Farm vs. USAA: What coverages are available?

Auto insurance companies provide various coverages that customers can combine to create their ideal policy. State Farm and USAA offer the most common forms of auto insurance. Coverages offered by State Farm and USAA include:

  • Bodily injury liability
  • Property damage liability
  • Personal injury protection
  • Uninsured/underinsured motorist
  • Medical payments
  • Collision
  • Comprehensive
  • Rideshare coverage

In addition to these basic coverages, customers can make a USAA or State Farm glass claim when they suffer windshield damage.

State Farm vs. USAA: What discounts are available?

Comparing State Farm vs. USAA auto insurance company discounts will help you determine which one offers the most savings. Combining deals can help you significantly reduce your monthly auto insurance rates.

Discounts offered by State Farm include:

  • Good student
  • Multiple policies
  • Multiple vehicles
  • Anti-theft device
  • Airbags
  • Good driver
  • Driver training

Discounts offered by USAA vehicle insurance include:

  • Multi-car
  • Home and car
  • Car and life
  • Anti-lock brakes
  • Anti-theft
  • Good driver
  • Good student
  • Military

As you can see, the two companies offer similar car insurance discounts. Additionally, USAA provides a great deal for active military members.

State Farm vs. USAA: What are their financial ratings?

Credit rating agencies review and rate insurance companies based on financial strength. These financial ratings determine the likelihood that the company will provide a payout when you file a claim. The most trusted agencies have reviewed State Farm and USAA.

State Farm has been rated an A by A.M. Best, an A2 by Moody’s, and an AA by S&P. These are solid ratings indicating that State Farm will usually provide a payout when you submit a claim.

USAA has been rated an A+ by A.M. Best, an A1 by Moody’s, and an A+ by S&P. These ratings are among the best in the industry, showing that USAA has superior financial strength.

USAA has been rated better by all three agencies, but both companies are strong enough to provide a payout when you file a State Farm or USAA insurance claim.

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State Farm vs. USAA: Do they have any complaints?

The Better Business Bureau (BBB) and the National Association of Insurance Commissioners (NAIC) allow insurance customers to list complaints. The organizations have received complaints about State Farm and USAA.

At the time of this comparison, the BBB has received 1,302 complaints about State Farm over the past three years. Additionally, the company has a complaint index ratio of 1.53 from the NAIC, indicating more complaints than other companies of a similar size.

The BBB has received 1,488 complaints about USAA over the past three years. According to the NAIC, USAA has a complaint index ratio of 1.90, indicating almost double the complaint volume of similarly-sized competitors.

State Farm’s fewer complaints and lower complaint index ratio shows greater customer satisfaction.

State Farm vs. USAA: Do they have roadside assistance?

Many auto insurance companies offer roadside assistance to customers. This service is helpful when drivers suffer automotive trouble while on the road. State Farm and USAA provide roadside assistance to their customers.

Customers that obtain roadside assistance will receive support that includes:

  • Towing
  • Battery service
  • Gas delivery
  • Flat tire repair
  • Locksmith

State Farm offers roadside assistance to customers for $12 per year. USAA roadside assistance is also available as an add-on, but only for existing customers.

When looking at State Farm vs. USAA auto insurance quotes, adding roadside assistance might increase your rates.

State Farm vs. USAA: Do they have mobile apps?

State Farm and USAA offer mobile apps that are accessible on any mobile device. These apps allow customers to access digital ID cards, manage policies, request roadside assistance, and make payments.

While you can use your digital ID card if needed, it’s best to have a physical copy available. This document ensures you have proof of insurance should you find yourself in an area that lacks internet service.

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State Farm vs. USAA: How do you file claims?

The State Farm report an accident process can be completed online or by phone. Customers can file claims by calling the State Farm claims number at (800) 782-8332.

USAA customers can also file a claim through the company’s mobile app, website, or phone. You can reach the USAA claims department by calling (800) 531-8722.

State Farm vs. USAA: Where are they located?

While customers looking to buy State Farm or USAA auto insurance can do so online or by phone, the companies also have physical locations. If you live in one of these areas, you can visit these locations to discuss policy options with a representative.

State Farm has four locations around the country. The company’s headquarters are in Bloomington, IL. The other State Farm location are:

  • Atlanta, GA
  • Dallas, TX
  • Phoenix, AZ

USAA has nine locations around the United States. The company’s headquarters is located in San Antonio, TX. Other USAA locations include:

  • Phoenix, AZ
  • Colorado Springs, CO
  • Austin, TX
  • Dallas, TX
  • Tampa, FL
  • Chesapeake, VA
  • Annapolis, MD
  • New York, NY

Modern technology allows customers to buy and manage claims online, so companies have limited their physical locations.

State Farm vs. USAA: What are their pros and cons?

All auto insurance companies have pros and cons. Understanding these benefits and drawbacks will help you determine the quality of service that you’ll receive.

State Farm provides a variety of coverages and offers several discounts to customers. However, it has received a high number of complaints, indicating a lack of customer satisfaction.

USAA has competitive rates, several discount opportunities, and quality customer service. However, the primary issue with USAA is that coverage is only available for military members, veterans, and their families, limiting eligibility.

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State Farm vs. USAA: The Bottom Line

While USAA has lower rates than State Farm, the companies offer similar coverages and discounts. However, USAA also has better financial ratings than State Farm. Comparing State Farm vs. USAA will help you discover the best choice for your needs.

Now that you’ve compared State Farm vs. USAA, enter your ZIP code to get free auto insurance quotes in your area.

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Enter your ZIP code below to view companies that have cheap auto insurance rates.

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