Is State Farm actually cheaper than Allstate?

Yes, by a structurally meaningful margin. Quadrant Information Services 2024 data shows State Farm at $1,471/year vs. Allstate at $2,108 — a $637 gap on identical coverage profiles. The spread holds in most states. The exception is California, where Allstate's rate filings are unusually competitive in recent years; in CA the gap narrows to under $300/year. In every other top-25 state the gap is at least $400.

Why are State Farm and Allstate so different in price if both use local agents?

Allstate's loss ratio (claims paid ÷ premium collected) runs about 4-7 percentage points higher than State Farm's. Allstate has historically underwritten broader risk pools (more high-mileage commuters, more older vehicles, more high-loss states like Florida and Louisiana). State Farm's underwriting is more conservative — it declines applicants Allstate accepts — which keeps its loss ratio lower and lets it price about 20-30% under Allstate on the same risk.

Which has better customer service?

State Farm, on every major independent metric. J.D. Power 2024 customer satisfaction: State Farm 3-stars+ (above median); Allstate 3 stars (at median). NAIC complaint index: State Farm 0.6 (below industry-average); Allstate 0.8. Net Promoter Score surveys consistently rank State Farm 8-12 points above Allstate. The local-agent advantage is roughly equal between the two — both have 9,000-19,000 commissioned agents.

Should I bundle home + auto with State Farm or Allstate?

State Farm, in 80-90% of cases. State Farm is the 3rd-largest U.S. home insurer (Allstate is 5th). State Farm's bundle discount is 17% on auto + 12% on home and the resulting total bundle is typically $300-$700/year cheaper than the Allstate bundle on the same property. Allstate's bundle math wins specifically when you also need an umbrella policy — its umbrella product is more competitively priced for the $1M-$2M limit tier.

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Auto Insurance · Head-to-head

State Farm vs Allstate: Which auto insurance wins?

Name: State Farm — Auto Insurance
Brand: State Farm
Rating: 4.5 (1 reviews)

Side-by-side comparison of State Farm and Allstate auto insurances — APR ranges, credit floors, application speed, and editorial verdict.

Best for bundled discounts

State Farm

4.5·—·—+ FICO

Highest customer satisfaction scores in the major-carrier tier (J.D. Power 2025). Best in class when bundled with home/renters/life — the Drive Safe & Save telematics + multi-policy stack averages 25% off vs. solo auto. Branch + agent network is the largest in the country for in-person service.

Best for accident forgiveness

Allstate

4.1·—·—+ FICO

Premiums run 30-50% above the GEICO baseline for clean-record drivers — Allstate competes on coverage extras, not price. The Drivewise telematics program offers 10-25% off, and the Accident Forgiveness rider is genuinely first-accident-free (unlike Progressive's which expires after 3 years). Best for drivers who've had a claim in the last 36 months.

Editor's verdict

State Farm wins on price + claims; Allstate wins on accident forgiveness.

State Farm and Allstate are the two largest agent-driven auto carriers in the U.S. — but their pricing is far apart. State Farm's $1,471/year national average undercuts Allstate's $2,108 by $637 (30% lower). State Farm also outperforms Allstate in J.D. Power's claims-satisfaction study (#3 vs. #7) and customer-retention surveys. Allstate's edge is structural accident forgiveness (free at 5 years), a stronger umbrella-policy product, and slightly broader teen-driver underwriting. Verdict: same-quality service, dramatically cheaper → State Farm. Drivers who specifically value Allstate's accident-forgiveness math or umbrella coverage → Allstate.

State Farm is $637/year cheaper on average (Quadrant 2024) — a 30% gap.
State Farm ranks #3 on J.D. Power's claims-satisfaction study; Allstate #7.
State Farm carries AM Best A++ vs. Allstate's A+ — small edge to State Farm on financial strength.
Allstate's free accident forgiveness at 5 years is worth ~$400 lifetime if you ever claim.
Both run agent-driven distribution — meaningful local-agent presence at each.

Side-by-side breakdown

Feature	State Farm	Allstate
APR range	—	—
Min credit score	—	—
Loan amount	—	—
Term length	—	—
Overall rating	4.5/5	4.1/5
Rates & APR score (40%)	4.4	3.8
Loan terms score (25%)	4.6	4.4
Application score (20%)	4.5	4.2
Support score (15%)	4.7	4.3

APR range

State Farm

—

Allstate

—

Min credit score

State Farm

—

Allstate

—

Loan amount

State Farm

—

Allstate

—

Term length

State Farm

—

Allstate

—

Overall rating

State Farm

4.5/5

Allstate

4.1/5

Rates & APR score (40%)

State Farm

4.4

Allstate

3.8

Loan terms score (25%)

State Farm

4.6

Allstate

4.4

Application score (20%)

State Farm

4.5

Allstate

4.2

Support score (15%)

State Farm

4.7

Allstate

4.3

Editor verdicts

Why we rate State Farm 4.5/5

Why we rate Allstate 4.1/5

Who should pick which?

Pick State Farm if…

You prefer a fast, soft-pull-friendly online application.
You want flexible loan terms and amount ranges.

Pick Allstate if…

You trust Allstate's 4.1/5 editorial score.

Frequently asked questions

Answers to the most-searched questions about State Farm vs Allstate.

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