Farmers and Liberty Mutual are two of the largest auto and home insurers in the U.S. But how do they compare when it comes to rates, coverage options, discounts, and customer satisfaction?
This in-depth Farmers vs Liberty Mutual guide will compare:
- Cost
- Availability
- Financial strength
- Types of insurance
- Discounts
- Claims process
- Customer service
We’ll help you decide which provider is a better fit for your insurance needs.
Cost Comparison
On average, Farmers tends to charge higher premiums than Liberty Mutual across most states.
For example, here are sample annual premiums for minimum coverage policies:
| City | Farmers | Liberty Mutual |
|---|---|---|
| Los Angeles, CA | $1,623 | $1,215 |
| Houston, TX | $1,450 | $1,032 |
| Miami, FL | $2,156 | $1,612 |
| New York City, NY | $2,100 | $1,824 |
However, Farmers offers more ways to get discounts, which may help offset the higher base rates for some drivers.
You’ll need to get specific quotes to see which insurer offers you cheaper pricing for your situation. Premiums vary based on factors like your:
- Location
- Driving record
- Credit score
- Vehicle
- Coverage limits
- Deductible
So Liberty Mutual may beat Farmers for some drivers, while Farmers could be cheaper for others.
Availability
Liberty Mutual has the edge when it comes to availability:
- Liberty Mutual: Offered nationwide
- Farmers: Available in 49 states except North Carolina
So Farmers is not an option for drivers in North Carolina. Other than that exception, both insurers have broad availability.
Financial Strength
Both Farmers and Liberty Mutual are backed by leading insurance groups:
- Liberty Mutual: A rating from A.M. Best
- Farmers: A rating from A.M. Best
These strong ratings indicate exceptional ability to pay out claims. Overall, the two companies are evenly matched for financial stability.
Types of Insurance Offered
Liberty Mutual offers a few more types of insurance than Farmers:
Liberty Mutual
- Auto
- Home
- Renters
- Condo
- Motorcycle
- Boat
- Umbrella
- Business
- Life
- Disability
- Pet
Farmers
- Auto
- Home
- Condo
- Renters
- Motorcycle
- Boat
- Umbrella
- Business
- Life
- Pet
Liberty Mutual also provides some more specialized business insurance products. But for personal insurance, the companies offer similar selections.
Discounts
Farmers offers more discounts than Liberty Mutual – over 20 compared to just a handful.
Farmers discounts include:
- Bundling policies
- Good driver
- Defensive driver
- Full pay
- Paperless
- Young driver training
- Affinity group
- Anti-theft devices
Liberty Mutual discounts:
- Bundling
- Payment method
- New car
- New home
- New customer
The wide range of discounts can help Farmers customers offset higher base rates. Make sure to ask your agent about all available savings.
Claims Process
Both insurers make filing claims relatively smooth:
- File a claim 24/7 by phone or online
- Mobile apps with claims features
- Large network of adjusters
However, Farmers scores a bit higher than Liberty Mutual when it comes to claims satisfaction according to J.D. Power ratings:
- Farmers: 4.4/5 stars
- Liberty Mutual: 4.0/5 stars
So you can likely expect great claims experiences from either, but Farmers edges out Liberty Mutual slightly.
Customer Satisfaction
Liberty Mutual tends to get lower customer service ratings than Farmers:
- J.D. Power Customer Satisfaction Rating: Farmers 4.0/5 stars vs Liberty Mutual 3.0/5 stars
- BBB Rating: Farmers A+ vs Liberty Mutual A+
- WalletHub Rating: Farmers 3.3/5 stars vs Liberty Mutual 2.3/5 stars
While both companies get their fair share of complaints, Farmers scores better across industry surveys. Consumer feedback indicates superior customer experience.
The Bottom Line: Farmers vs Liberty Mutual
When choosing between Farmers and Liberty Mutual, here are some key takeaways:
- Cost: Liberty Mutual offers cheaper rates on average but compare personalized quotes.
- Availability: Liberty Mutual has broader availability nationwide.
- Financial strength: Both have excellent financial backing and ability to pay claims.
- Discounts: Farmers offers more ways to save.
- Customer service: Farmers is rated higher for claims and overall satisfaction.
For most drivers and homeowners, Farmers strikes the best balance of affordable pricing plus top-rated service quality. But Liberty Mutual can provide competitive rates too, so weigh it as an option.
Getting quotes from both insurers, as well as other leading national and regional companies, ensures you find the right fit based on premiums and coverage in your area.
Is Farmers or Liberty Mutual Better for Home Insurance?
When it comes to homeowners insurance specifically, Farmers tends to beat Liberty Mutual on both cost and service:
- Farmers HO-3 premiums are about 15% lower on average
- Farmers gets higher home insurance claims satisfaction scores
- Farmers offers coverage for older homes
- Farmers provides more liability limit options
The two companies are more evenly matched for renters insurance. But most homeowners shopping for policies should find Farmers provides the best value and service.
Alternative Insurers to Consider
While Farmers and Liberty Mutual are both solid choices, make sure to compare quotes from other top insurers as well:
- State Farm: Largest home insurer with stellar financial strength and customer service ratings
- Allstate: Competitive pricing and huge network of local agents nationwide
- American Family: Specializes in customer satisfaction and offers many ways to save
- Auto-Owners: Award-winning claims service and highly-rated mobile app features
- Amica: Standout customer service with an A++ financial strength rating from A.M. Best
An independent insurance broker can provide unbiased guidance to help you evaluate all companies operating in your state. Most drivers and homeowners can likely find a great insurer that’s an even better match than Farmers or Liberty Mutual.
The Bottom Line
When comparing Farmers vs Liberty Mutual, Farmers generally provides lower premiums and higher satisfaction ratings from customers.
But Liberty Mutual remains a strong choice on both cost and service for many consumers too. We recommend comparing personalized quotes from these industry leaders, as well as other top national and regional insurers, to make the right choice for your situation.
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FAQ
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