How to Get the Best Car Insurance Rates with State Farm

Finding affordable car insurance that doesn’t sacrifice coverage can feel like an impossible task. Premiums from leading insurers like State Farm can vary widely based on your personal profile. Fortunately, there are steps you can take to secure the lowest possible State Farm rates.

This comprehensive guide will walk you through strategies to land the best car insurance rate with State Farm.

Shop Around for Quotes

The first step is getting rate estimates from multiple insurers so you can compare State Farm to the competition. Be sure to get quotes for identical coverage amounts to ensure an apples-to-apples comparison.

Online quote tools make this easy nowadays. Be sure to input the same details on each website to lock down the most accurate comparative quotes.

Take Advantage of Available Discounts

State Farm offers numerous discounts that can substantially reduce your premiums. Make sure you understand which ones you qualify for to maximize savings.

Common State Farm car insurance discounts include:

  • Defensive driving course completion
  • Good student
  • Anti-theft devices
  • Multiple cars on policy
  • Multiple policies with State Farm
  • New car
  • Steer clear safe driving
  • Accident free
  • Farm Bureau membership

Review this full list and check every box you are eligible for to lower your State Farm rate. Combining several discounts can reduce your premiums significantly.

Adjust Your Coverage Limits

The amount of insurance you buy directly impacts the price. Analyze what coverage limits make sense for your situation. Lowering them reduces the rate, but also increases personal liability in the event of an accident.

Consider dropping comprehensive and collision coverage on older cars worth less than $1,000. The premium savings often outweigh the benefits on clunkers.

Raising deductibles and dropping non-mandatory coverage like rental reimbursement also lowers premiums. But make sure you have savings to cover the higher out-of-pocket costs if you file a claim.

Improve Your Credit Score

In most states, insurers use your credit-based insurance score as a rating factor. Maintaining excellent credit saves you money.

Check your credit reports regularly and dispute any errors. Pay all bills on time and reduce credit card balances to boost your score.

Increase Your Down Payment

Putting more money down when purchasing a new vehicle lowers the amount you have to finance. This reduces the required coverage limits. You may be able to drop collision and comprehensive which drives down the premiums.

Ask About Usage-Based Programs

State Farm’s Drive Safe & Save program uses a mobile app or plug-in device to track driving habits. Safe drivers are rewarded with policy discounts based on the actual miles driven. This allows lower usage drivers to save.

Review Options for High-Risk Drivers

Adding a teen or elderly driver to your State Farm policy will increase rates. But placing them on a non-owner policy preserves discounts tied to your good driving record. This keeps costs lower than if they obtained their own policy.

Drivers with accidents or violations may want to look at State Farm’s Steer Clear program. Rates remain low provided you go three years incident-free.

Choose a Higher Deductible

Deductibles of $500 or $1,000 are common. But choosing a $2,500 deductible saves up to 25% on premiums. Just ensure you have adequate savings to cover the larger out-of-pocket expense before filing a claim.

Drop Comprehensive Coverage on Old Cars

Comprehensive coverage accounts for almost 20% of the average premium. If your car is worth less than 10 times the annual comprehensive premium, it may make sense to remove this coverage and pocket the savings.

Opt for OEM Parts

Using original manufacturer parts for repairs retains more vehicle value. This reduces future premiums and out-of-pocket repair costs over the long run. Aftermarket parts often don’t fit correctly leading to issues down the road.

Maintain Good Credit

Multiple factors impact what you’ll pay for car insurance, but your credit score is among the biggest. State Farm may use your credit-based insurance score, developed specifically for risk rating. Improving your credit can significantly lower premiums.

Enroll in Electronic Billing

Paying your insurance bill online and opting into paperless billing avoids fees for mailed invoices. Going paperless also keeps you organized with easy online access to your policy documents.

Pay Premiums Upfront

Most insurers charge installment fees when policy premiums are split into several payments. Paying the full six-month or annual premium upfront avoids these added fees to minimize the amount you pay.

Raise Liability Limits

While minimum liability limits are low in most states, opting for 100/300/100 coverage provides substantially more protection without much added cost. This shields your assets if you cause an accident with injuries.

Bundle Multiple Policies

Placing your homeowners, condo, or renters coverage with State Farm earns multi-policy discounts. Just make sure bundled State Farm rates still beat separate policies from other carriers.

Seek Out Group Discounts

Alumni associations, employers, and clubs may have negotiated special rates through group policies. Ask State Farm about potential membership savings opportunities to reduce your premiums.

Limit Teen Driving

Premiums for inexperienced teen drivers can be exorbitant. Limiting a teen’s driving to only essential trips minimizes policy charges based on usage. Nighttime restrictions can also earn discounts.

Use a Higher Safety Pick Vehicle

Cars with top safety ratings from IIHS and NHTSA have lower loss ratios, earning reduced insurance rates. Check safety test results to identify vehicles that fall into lower risk tiers. Newer models generally perform better as well.

Install an Anti-Theft Device

Anti-theft systems like LoJacks use GPS to help recover stolen vehicles. This lowers carrier risk, qualifying you for significant discounts. Make sure to inform State Farm if you add any anti-theft devices.

Ask About Accident Forgiveness

State Farm’s accident forgiveness skips rate hikes after your first covered accident. For drivers with perfect records, one mishap can double premiums. Accident forgiveness saves money long-term.

Pick a Station Wagon Over an SUV

Station wagons have better rollover safety than comparably sized SUVs. Insurers classify them as passenger cars, resulting in lower premiums than truck-based SUVs. Plus you get all the cargo room with fewer insurance costs.

Seek Out Low-Mileage Discounts

Driving fewer than 7,500-10,000 miles per year can earn substantial low-mileage discounts. Teens and retirees often fall into this category. Providing proof of mileage can save you 5-15%.

Maintain Continuous Coverage

Lapses in insurance increase perceived risk and premiums. Avoid gaps between policies when switching carriers or cars to sidestep these penalties. Inform State Farm if insuring a newly purchased vehicle right away.

Ask About Breaks forloyal Customers

Inquiring about loyalty discounts and long-term policyholder programs could reveal savings. State Farm may offer price breaks for retention and years insured with their company.

Consider a Higher Physical Damage Deductible

Ask State Farm to quote rates with $750, $1,000 and $2,500 physical damage deductibles. Doubling this deductible from $500 to $1,000 often reduces collision and comprehensive premiums by 10-20% or more.

Avoid Adding Custom Equipment

Custom paint jobs, aftermarket rims, lift kits, and performance modifications increase vehicle value. This drives up premiums. Keep your car as close to factory condition as possible to minimize insurance costs.

Partner with an Independent Agent

Independent insurance agents have contracts with multiple carriers and can compare State Farm to competitors. They will benchmark pricing to find the best value tailored to your specific needs.

Ask About Latest Discounts

New insurance discounts emerge all the time. Contact your State Farm agent regularly to inquire about new savings opportunities as they roll out specials, retire older ones, and adjust qualification rules.

Set Up Automatic Payments

Setting up automated payments from your bank account avoids missed invoices that lead to cancellation. Plus many insurers offer discounts just for enrolling since auto-pay reduces administration costs.

Exclude Custom Paint and Aftermarket Parts

Your basic auto policy only covers the value of factory paint. Adding custom paint protection increases premiums. Consider excluding this coverage and setting aside savings to repaint your car later if needed. The same applies to aftermarket parts – cheap insurance now costs more later.

Final Thoughts

Finding the best car insurance rates takes effort, but pays dividends through lower premiums. Following cost-cutting tips tailored to State Farm delivers policies with premiums discounted by hundreds of dollars annually.

While State Farm offers competitive base rates to most drivers, there are always ways to chip away and reduce your prices. Combining multiple strategies provides the maximum savings on State Farm auto insurance.

The time invested upfront pays off through years of affordable premiums. So put in the work to secure the lowest feasible State Farm rate for your situation using the steps

State Farm Get the Best Rate Car Insurance


Who gives the lowest car insurance rates?

State Farm is the cheapest large auto insurance company in the nation for good drivers, according to NerdWallet’s 2024 analysis of minimum coverage rates. State Farm’s average annual rate was $471 or about $39 per month.

Is it better to own an Allstate or State Farm?

In our 2023 review, we give State Farm a 9.3 out of 10.0 for cost, while Allstate receives only a 7.4. As you can see in the chart below, State Farm’s average annual rate falls well below the national average, while Allstate’s is significantly higher.

Who pays the highest auto insurance premiums?

Men pay more for auto insurance on average because they’re statistically more likely to get into accidents and to have major injuries. However, male drivers only pay about $51 more per year than their female counterparts on average.

What is the best coverage for auto insurance?

You should carry the highest amount of liability coverage you can afford, with 100/300/100 being the best coverage level for most drivers. You may need to carry additional coverages to protect your vehicle, including comprehensive, collision and gap coverage.

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