State Farm Auto Insurance Discounts | What discounts does State Farm offer?
Looking for State Farm auto insurance discounts? State Farm offers 20 unique discounts to its consumers. There are vehicle-based State Farm insurance discounts as well as driver-based discounts available through this company. You can save up to 25 percent for being a good student, and 40 percent for having multiple vehicles. Scroll down to learn all about the different State Farm auto insurance discounts available to you. Before you buy State Farm auto insurance, or any insurance, you should always compare quotes to make sure you are getting the best price.
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UPDATED: Nov 17, 2020
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- State Farm auto insurance currently has more than 80 million active policies in the United States.
- This insurance company offers 20 unique discounts for auto insurance policies.
- There may be other ways for you to save money on auto insurance with State Farm beyond discounts.
What is the auto insurance average for monthly costs? Most drivers pay around $86 per month for coverage. However, your individual rates depend on where you live, your age, and your driving record. Fortunately, you can lower your monthly costs by utilizing State Farm auto insurance discounts.
Before you choose a provider like State Farm, compare the quotes, coverage options, customer reviews, and discount options offered by the insurer. What discounts does State Farm offer? Read on to learn more.
To compare State Farm auto insurance quotes to other companies, use our FREE quote comparison tool above, and immediately receive quotes from reputable providers near you.
State Farm Auto Insurance Discounts and Savings Options
State Farm is the leading auto insurance provider in the country and holds the largest percentage of market share compared to other providers. According to the National Association of Insurance Commissioners, State Farm holds 16.14 percent of the total private passenger auto insurance market share.
State Farm is not only popular in the United States; it is ranked highly in Canada as well. It currently has more than 80 million policies issued in these two countries, and 44 million of those policies are for auto insurance.
With State Farm’s popularity and exceptional reputation in the industry, you may be thinking about getting a quote for coverage from this insurer.
Despite the company’s scope, we hear questions about high rates and discount options all the time. Folks often ask us, “How can I lower my State Farm auto insurance?”.
While maintaining a clean driving record will help keep your rates low, the best way to minimize your State Farm insurance rates is by qualifying for discounts.
Like many other auto insurance providers, State Farm offers numerous auto insurance discounts that can help consumers to save money.
The table below shows available auto insurance discounts from State Farm. If the specific savings amount was available, we included it in the table. Check it out.
Auto Insurance Discount Type Auto Insurance Discount Offered
Adaptive cruise control No
Adaptive headlights No
Anti-lock brakes Yes - 5%
Anti-theft Yes - 15%
Daytime running lights No
Electronic stability control No
Utility vehicle No
Vehicle recovery Yes - 5%
VIN etching No
Lane departure warning No
Newer vehicle Yes - 40%
Green vehicle No
Forward collision warning No
Claim free Yes - 15%
Continuous coverage No
Defensive driver Yes - 5%
Distant student Yes
Driver's education Yes - 15%
Driving device/app Yes - 50%
Early signing No
Emergency deployment No
Engaged couple No
Family legacy No
Family plan No
Farm vehicle No
Fast 5 No
Federal employee No
Full payment No
Further education No
Good credit Yes
Good student Yes - 25%
Homeowner Yes - 3%
Life insurance No
Low mileage Yes - 30%
Military garaging No
Multiple drivers No
Multiple policies Yes - 17%
Multiple vehicles Yes - 20%
New address No
New customer/new plan No
New graduate No
Newly licensed No
Occasional operator No
On-time payments No
Online shopper No
Paperless documents No
Paperless/auto billing Yes - $2
Passive restraint Yes
Recent retirees No
Roadside assistance No
Safe driver Yes - 15%
Seat belt use No
Senior driver No
Stable residence No
Students & alumni No
Switching provider No
Young driver No
Total number of discounts provided 20
As you can see, many discounts may be available for your State Farm auto insurance. The company offers 20 unique savings opportunities for its clients, and these savings can stack.
Does State Farm offer a low mileage discount? Yes, as you can see, you can save up to 50 percent depending on how often you drive.
How much is the State Farm safe driver discount? This is also known as the State Farm drive safe and save program. You can either use OnStar or download the State Farm drive safe and save app to save up to 30 percent, according to the company website.
You can also save 15 percent by keeping your driving record clean.
Is there a good student discount with State Farm? There most certainly is. The company will knock off 25 percent from your total premium if you maintain a B average as a student.
In fact, State Farm is known for its many commercials that discuss how everybody is eligible for some of the available discounts through this provider.
Auto insurance for parked cars is needed now more than ever, with more people working from home and fewer drivers commuting.
A new State Farm auto insurance discount comes from COVID-19 in the form of a refund. This State Farm Covid-19 discount provides a 25 percent credit to customer bills.
Discounts are great, but how reliable is State Farm as an insurance provider? You want to trust that the claims process is easy and reliable when buying from an insurance provider.
Let’s take a look at some of State Farm’s ratings from various reputable rating agencies. See the table below for more details.
AM Best A++
Better Business Bureau A+ (Milwaukee, WI)
Moody’s Aa1 (State Farm Life)
J.D. Power 4/5 (Overall Satisfaction)
Consumer Reports 89
As you can see from the scores above, State Farm is considered to be in a very positive financial position. This means, in the event of an economic downturn, the provider will still be able to pay out any of your open claims.
While the customer service reviews aren’t perfect, it is very common for insurance providers to have poor customer satisfaction ratings online.
Comparison shopping is still important to help you know you’re receiving your cheapest quotes. But State Farm is a great company to add to your list of potential providers.
State Farm Auto Insurance Vehicle Discounts
Some auto insurance discounts can be applied to you as the driver, and others will be applied to the type of vehicle you drive. In this section, we’ll briefly cover the State Farm discounts that your car or truck might be eligible for.
The type of car you drive can impact your auto insurance rates. This is because it can heavily affect the cost of any claims you file, and can increase or decrease your potential risk for being involved in an accident.
State Farm is one of the many insurance companies that offer auto insurance discounts that are related to the insured vehicle.
Check out the table below to see the specific vehicle-based discount options provided through State Farm. If the specific savings amount is available, it is included in the data.
|Auto Insurance Vehicle Discount Type||Auto Insurance Vehicle Discount Offered|
|Adaptive cruise control||No|
|Anti-lock brakes||Yes - 5%|
|Anti-theft||Yes - 15%|
|Daytime running lights||No|
|Electronic stability control||No|
|Vehicle recovery||Yes - 5%|
|Lane departure warning||No|
|Newer vehicle||Yes - 40%|
|Forward collision warning||No|
The newer and safer your vehicle is, the more discounts you’ll be eligible for. For example, adding anti-theft devices will minimize your risk of having your car stolen, which the company rewards you with a discount.
If your car has any of the above safety features, inform your State Farm provider so all appropriate discounts can be applied to your policy.
State Farm Auto Insurance Driver Discounts
While there are many possibilities to save money with State Farm through vehicle-related auto insurance discounts, the insurance company does not stop there. It also offers a wide range of discounts associated with you, the driver.
See the driver-based discounts offered through State Farm in the table below. If the specific savings amount is available, it has been included in the data.
|Auto Insurance Driver Discount Type||Auto Insurance Discount Offered|
|Claim free||Yes - 15%|
|Defensive driver||Yes - 5%|
|Driver's education||Yes - 15%|
|Driving device/app||Yes - 50%|
|Good student||Yes - 25%|
|Homeowner||Yes - 3%|
|Low mileage||Yes - 30%|
|Multiple policies||Yes - 17%|
|Multiple vehicles||Yes - 20%|
|New customer/new plan||No|
|Paperless/auto billing||Yes - $2|
|Safe driver||Yes - 15%|
|Seat belt use||No|
|Students & alumni||No|
You can qualify for discounts through State Farm for being a good student, for getting married, and even for being a homeowner. You can also save through the drive safe and save State Farm program.
Through OnStar or the app, State Farm drive safe and save grades your safe drivnig and provides you with an appropriate discount.
What is the State Farm low mileage discount? If you drive less than the national average, you’ll save a small percentage on your overall auto insurance rates.
Usually, it amounts to about one to two percent for every 500 miles less than the average. According to the U.S. Department of Transportation Federal Highway Administration, the national driving average is 13,476 miles annually.
Additionally, customers who drive 2,000 miles yearly or less can get a larger discount of around 45 percent through State Farm.
Once again, inform your State Farm agent about any driver discount you believe you qualify for so the savings can be applied to your policy.
State Farm Auto Insurance Billing Discounts
You may be pleased to discover that State Farm also offers a small discount to policyholders based on how you set up your bills. Billing discounts are another easy way to lower your auto insurance premiums.
For example, you’ll save $2 just by requesting paperless billing statements. While $2 may not seem like much, it will help add up to a much larger total because auto insurance discounts can be stacked.
Other Discounts Available for State Farm Auto Insurance
While vehicle and driver discounts are the most common ways for drivers to save money on auto insurance with State Farm, there are other savings opportunities available as well.
State Farm offers life insurance and home insurance with competitive rates. If you obtain an additional type of coverage with State Farm and bundle your coverage together, you may qualify for up to a 17 percent discount.
Putting multiple vehicles under the same auto insurance policy will provide you with another 20 percent discount.
Before you move forward with building and multi-car discounts, consider shopping around to determine if a different insurance provider is a better fit for you and your needs.
Each company offers different discounts and calculates overall rates using different equations. Comparison shopping will help you confidently find the best provider for you.
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Exploring Other Ways to Save on Auto Insurance
Using State Farm’s auto insurance discounts is a great way to save money on the coverage you need. But there are other ways to save money on your auto insurance as well.
The best companies will provide you with cheap rates as well as proper protection and great customer service.
Regardless of which provider you choose to buy your coverage from, you may be able to reduce your premium through the follownig strategies. Read on to learn more.
Raising Your Auto Insurance Deductible
If you carry comprehensive or collision coverage, there will be a deductible associated with these types of policies. The deductible is the amount you pay out of pocket before the provider steps in to cover the rest.
The deductible amount can typically be selected by the insured within a reasonable limit. For example, you may be able to choose between a $250 to $1,000 deductible.
When you request a higher deductible, your monthly premium will be lower. However, be careful not to increase your deductible too much, or it might make relying on your insurance provider difficult.
Adjust Auto Insurance Coverage Types and Limits
While nobody wants to be underinsured when they need to file a claim, you also should not pay for more coverage than is truly needed.
If your car is parked in a driveway more often than not, you might not need collision coverage, for example. However, comprehensive coverage, which protects your vehicle from damage caused when the car is parked, would still be worthwhile.
Learning more about the different types of coverages and their benefits is a great first step. Pick and choose coverage options you need, and customize a policy for yourself. You can work with your insurance agent to set reasonable limits on your coverage.
Just remember, each state has different auto insurance laws and legal minimum requirements that you must carry to drive on the roads.
Save on Auto Insurance If You Move to a New Area
Your ZIP code plays a major role in your insurance premiums. Statistical details regarding theft, accidents, commute times, and more are reviewed by providers when calculating your rates.
In some cases, simply moving one or two ZIP codes over can result in tremendous premium savings. Do some research, and make sure the neighborhood you live in isn’t causing your auto insurance rates to increase.
Save on Auto Insurance if You Buy a Different Car
The type of vehicles you drive will also be reviewed by your insurance provider. The provider will look at safety and crash test ratings, vehicle theft rates, and more.
A vehicle’s power, acceleration speed, accident statistics, replacement value, and other details also impact your insurance rates.
If you are preparing to buy a new car soon, ask your insurance company for quotes before deciding which make and model to buy. Pick a car that is affordable to repair, but has great safety and crash test ratings.
Looking at insurance loss ratios will also give you a better idea of how much a certain vehicle make and model might cost you to insure.
Improve Your Credit Rating to Save on Auto Insurance
While some states have banned using credit scores as a means for calculating your auto insurance rates, most places do still allow this practice.
Those with higher credit ratings may qualify for better insurance rates. Know what your current credit rating is before seeking out quotes. If you have fair or poor credit, take steps to improve it over the next few months.
Try paying off any outstanding debt that you may have. Avoid taking out new credit until your current debts are lowered.
Making your monthly payments on time will also help improve your overall credit score, leading to better auto insurance rates.
Understanding What Factors Affect Auto Insurance Rates
Before you shop around and compare rates for coverage, it is important to understand why different auto insurance companies offer different rates.
All insurance companies review the same basic factors to determine your rates but weigh them differently. These factors may include:
- Your age and gender.
- Your driving history and past claims status.
- Statistical information for your residential ZIP code.
- The distance you normally travel.
- The type of car that is being insured.
- Your desired coverage types and limits.
Because each company uses a slightly different equation to calculate your premium, you should compare quotes from multiple different providers to discover your cheapest rates.
For example, one company may not ding your rate if you had an accident two years ago, but another company may increase your rate if you have any accidents on your driving history within the last five years.
Frequently Asked Questions: State Farm Auto Insurance Discounts | What discounts does State Farm offer?
You are now armed with all you need to know about State Farm auto insurance discounts and how to get affordable State Farm auto insurance rates. Refer back to this guide while you comparison shop for your best rates.
Did you think of something we missed? Check out our frequently asked questions below for more information.
#1 – Does State Farm give a senior discount?
No, State Farm does not give a senior discount at this time nor do they offer a State Farm loyalty discount, though these are common with some other insurers.
#2 – What are the State Farm home insurance discounts?
State Farm’s site lists several home insurance discounts, such as a multiple line discount, the home alert protection discount, and roofing discounts. You can also choose a plan with a higher deductible to lower your monthly rates.
#3 – Is State Farm a good auto insurance company?
State Farm is the biggest auto insurance company in the United States by premiums written, and it has excellent ratings as well. State Farm has great ratings with AM Best for financial strength, and JD Power for customer satisfaction.
Saving money on auto insurance is a common goal. State Farm is certainly one of the best companies for auto insurance, but it’s not the only one.
Enter your ZIP code into our FREE quote tool below to receive several quotes from reputable insurance providers to see if State Farm auto insurance company is for you.