True to its name when it was founded, Farmers Insurance once served only farmers, but today it’s one of the largest insurance companies in the country.
Farmers handles more than 19 million policies in 50 states, offering a broad line of products, including auto, home, life and business insurance, annuities and mutual funds. You can buy a policy online or from one of more than 48,000 exclusive agents in offices across the country. Farmers is the sixth-largest auto insurer and fourth-largest home insurer in the nation.
Where Farmers Insurance shines
- Farmers offers attractive auto insurance add-ons, including new car replacement, accident forgiveness and small-claim forgiveness.
- A homeowners insurance feature included in a Farmers policy, contents replacement cost, pays to repair or replace your items without any deduction for depreciation.
Where Farmers Insurance falls short
- It gets only so-so ratings for claims satisfaction among both auto and home insurance customers.
- Farmers comes in last in Consumer Reports reader rankings for auto insurance customer satisfaction.
» COMPARE: Car insurance rates comparison tool
at a glance
- A.M. Best financial strength rating: A (Excellent).
- Consumer complaints: Higher than the median for a company of its size.
- Size: No. 6 auto insurance company based on direct premiums written, according to A.M. Best.
In this article
Farmers home insurance
Farmers life insurance
Customer reviews and ratings
Website and apps
Next steps
Auto insurance from Farmers
Farmers offers standard coverage choices such as liability, collision and comprehensive, medical payments, uninsured/underinsured motorist and personal injury protection. You can also choose from these and other optional coverage choices, which cost extra:
- New car replacement: If your new car is totaled in the first two years or 24,000 miles of ownership, Farmers pays to replace it with a new one, minus any deductible, which is the amount deducted from your claim check.
- Accident forgiveness: One accident is forgiven, meaning your rate won’t go up, for every three years you drive without an accident.
- Small-claim forgiveness: Your rate stays the same even if a small accident is your fault.
- Incident forgiveness: Got a ticket? Don’t sweat it. If you don’t file a claim, your rate stays the same. Not available in all states.
- Loss of use: When your car is in the shop after an accident, Farmers reimburses you for a rental, cabs or public transit. If your car is totaled, you’re reimbursed based on daily and maximum limits.
- “No fault, no foul”: If an accident wasn’t your fault, your rate stays the same. Not available in all states.
AUTO INSURANCE DISCOUNTS
Depending on where you live, you might be eligible for auto insurance discounts if:
- Your car has anti-lock brakes, restraint systems or other safety equipment.
- Your children go away to school (at least 100 miles) and leave their car behind.
- Your policy covers more than one vehicle.
- You have an auto policy and homeowners or life insurance with Farmers.
- You drive a hybrid, electric or other new alternative fuel car.
- You own your home.
Homeowners insurance from Farmers
Farmers Insurance offers these standard coverage types, up to the limits you select:
- Property: Pays to repair or rebuild your house and structures that are unattached, such as a garage or fence.
- Personal belongings: Pays to repair or replace your possessions if they’re destroyed, damaged or stolen. Farmers Insurance covers your belongings when you take them outside your home, too, such as if your jewelry is stolen from your hotel room. An attractive feature included in your Farmers policy, contents replacement cost, pays to repair or replace your items without any deduction for depreciation.
- Additional living expenses: Helps pay for housing and living costs for up to 24 months while your home is being repaired or rebuilt.
- Liability: Pays when you or your family members are legally responsible for others’ injury or property damage, either on or off your property.
- Medical payments: Pays for medical bills when someone outside your family accidentally gets hurt at your home.
Farmers Insurance offers two coverage options that cost extra: scheduled personal property, which covers high-value items like jewelry for more than your policy’s limits, and identity theft insurance.
HOMEOWNERS INSURANCE DISCOUNTS
Depending on where you live, you may be eligible for these discounts if:
- Your home has security and fire protection devices.
- Your home has recent updates to the plumbing, heating or electrical systems.
- Your roof has been replaced recently.
- You’re a nonsmoker.
Life insurance from Farmers
Farmers offers term life, whole life and universal life insurance. You can save if you bundle auto, homeowners and life insurance policies with Farmers.
Other insurance products from Farmers
Farmers offers an impressive range of products: You can insure your pet, your collectible car or your motorcycle. Farmers also insures condos, mobile homes, travel trailers, vacation homes, vacant homes and rental properties. It offers umbrella insurance, business insurance and financial products, including annuities and mutual funds.
Customer reviews and ratings
In a Consumer Reports reader survey, Farmers Insurance tied for last among 24 auto insurance companies, with a score of 80 points out of a possible 100. Readers rated Farmers average for price satisfaction and service satisfaction; satisfaction with claims was slightly better than average.
It tied for eighth among 25 companies surveyed in J.D. Power’s 2015 U.S. Auto Claims Satisfaction Study.
Farmers also fared poorly in another Consumer Reports reader survey of 14 home insurance companies, coming in next to last with a score of 78 out of a possible 100.
Farmers scored only “about average” in separate J.D. Power surveys of claims satisfaction among auto and home insurance customers. Farmers tied for 12th out of 20 companies surveyed in the J.D. Power 2015 U.S. Property Claims Satisfaction Study.
Website and apps
On the Farmers website you can connect with an agent for a quote, report a claim and check on its status, find the number to call for towing and roadside help and much more. You’ll find ample resources to help with your claim, as well as a checklist of what to do in an accident.
With the Farmers Mobile app, you can pay your insurance bill, update payment options, get your agent’s contact information, view your policy details, and get access to your digital insurance ID cards when you need proof of insurance.
Android smartphone users rate the app 3.4 out of 5 stars, with more than 1,000 reviews; iPhone users rate it 2½ stars for all versions, though the current app version gets 5 stars in a very limited number of reviews.
Next steps
It’s always smart to shop around and compare insurance quotes. NerdWallet’s comparison tool can help you search for auto insurance rates.
Juan Castillo is a staff writer at NerdWallet, a personal finance website. Email: jcastillo@nerdwallet.com. Twitter: @JCastilloNerd.
No comments:
Post a Comment