State Farm vs. USAA Car Insurance: Expert Recommended (2024)

Welcome to a comprehensive exploration of the auto insurance landscape, where we demystify the intricacies of rates based on key factors: credit score, mileage, coverage level, and driving record. Our data-driven analysis reveals a standout performer in the insurance arena, offering unparalleled rates tailored to diverse customer profiles. In this brief guide, we unveil how these pivotal factors sway insurance costs across various companies. Whether you boast a stellar credit score, log high mileage, opt for comprehensive coverage, or hold a pristine driving record, our subhead summaries will efficiently guide you to the insurance provider that caters to your specific needs, ensuring you secure the best rates in the market.

State Farm

Pros:

• Bundling Discounts: Offers potential savings when bundling multiple policies.
• Discount Variety: Provides a range of discounts, including a homeowners discount.
• Claim Processing Options: Offers convenient online, phone, and mobile app options for filing claims.
• Financial Stability: A.M. Best rates State Farm with an A+ for superior financial stability.
• Average Customer Satisfaction: J.D. Power rates State Farm above average in various aspects of customer satisfaction.

Cons:

• Higher Premiums: Generally more expensive than USAA across different driver profiles.
• Bundling Challenges: Limited information on bundling discounts with homeowners insurance.
• No A-Plus Rating: Not rated by the Better Business Bureau for customer satisfaction.

USAA

Pros:

• Lower Premiums: Offers consistently cheaper rates compared to State Farm.
• Military-Focused: Tailored for military members, veterans, and their families.
• Family Legacy Discount: This unique discount is not offered by State Farm.
• Claim Processing Options: Provides online, phone, and mobile app options for filing claims.
• Superior Financial Stability: A.M. Best rates USAA with an A++ for exceptional financial stability.

Cons:

• Limited Eligibility: Available exclusively for military, veterans, and their families.
• No Homeowners Discount: Lacks a homeowners discount, unlike State Farm.
• Bundling Uncertainty: Information on bundling discounts, especially with homeowners insurance, is not explicitly stated.

Best Overall: USAA Car Insurance

When weighing the options between State Farm and USAA for car insurance, USAA emerges as the clear winner for several compelling reasons. The decisive factor in this determination is the overall cost-effectiveness and value that USAA offers to its target audience of military members, veterans, and their families.

Affordability: USAA consistently outshines State Farm in terms of affordability. Across various driver profiles, USAA car insurance rates are consistently lower, providing significant savings over State Farm. While both companies boast financial stability, USAA’s A++ rating from A.M. Best indicates an exceptional ability to meet financial obligations, contributing to its capacity to offer competitive rates.

Targeted Benefits: USAA’s specialization in serving the military community brings targeted benefits that State Farm cannot replicate. The company understands the unique needs of military personnel and their families, offering exclusive discounts and tailored coverage options.

Customer Satisfaction: Customer satisfaction is a crucial aspect of insurance service. USAA consistently receives high marks for its customer service, particularly in the realm of claim resolutions and payouts. The A- rating from the Better Business Bureau further attests to USAA’s commitment to customer satisfaction.

Comprehensive Coverage Options: USAA’s offerings go beyond just car insurance. The company provides a range of insurance products, including homeowners insurance, aligning with the comprehensive coverage needs of its target demographic. This holistic approach enhances the overall value USAA delivers to its customers.

While State Farm caters to a broader audience, USAA’s exclusive eligibility for military members and their families ensures a more focused and specialized approach. This exclusivity allows USAA to tailor its services and discounts to better meet the unique needs of its clientele.

Is State Farm car insurance or USAA Car Insurance Cheaper?

Just what factors are used to determine your car insurance rates may surprise you.

Companies consider your age, gender, marital status, driving record, and credit history when determining your insurance premium. This is why rates are different for every driver.

Let’s start by comparing affordable State Farm vs. USAA car insurance rates by age, gender, and marital status.

You may already know that young driver car insurance is costly, but you might be surprised to discover just how much age affects your car insurance rates.

State Farm vs. USAA Average Annual Car Insurance Rates Based on Age, Gender, and Marital Status

In a comparison of State Farm vs. USAA car insurance rates, you can see that State Farm is more expensive than USAA, no matter the age, gender, or marital status of the driver.

Your driving record is one of the most important factors that car insurance companies look at. Accidents, speeding tickets, and DUIs will cause your rates to skyrocket.

State Farm vs. USAA Average Annual Car Insurance Rates Based on Driving Record

USAA has cheaper rates regardless of your driving record, though you might notice that USAA also has larger rate increases for infractions than State Farm.

When determining your car insurance rates, your credit score may also be taken into account.

Car insurance companies believe that if you have a better credit score, you’re more likely to pay for your own losses rather than filing a claim.

State Farm vs. USAA Average Annual Car Insurance Rates Based on Credit History

Yet again, USAA is the cheaper choice.

Car insurance companies can no longer use your credit score to calculate your rates in some states, such as California, so make sure to check your local insurance laws before making any kind of judgment based on these rates alone.

If you want a concentrated view of both companies, check out our State Farm insurance reviews and USAA insurance reviews for more details.

Does State Farm or USAA Have Better Car Insurance Discounts?

Car insurance discounts are one of the most effective ways to greatly reduce your rates. Many discounts, such as good student and multi-car discounts, are available from most auto insurance companies.

The table below shows you the discounts offered by State Farm and USAA. The amount of the discount is listed if it is known. Look through this list to see which company can provide you with the most savings.

State Farm vs. USAA Car Insurance Discounts

The two companies offer many of the same discounts, but there are some differences. For example, State Farm offers a homeowners discount and USAA doesn’t. However, USAA offers a family legacy discount and State Farm does not.

Also, it wouldn’t hurt to ask about bundling discounts. Be sure to compare USAA vs. State Farm homeowners insurance before bundling. Many ask, “Why is USAA homeowners insurance so expensive?” USAA may not offer a bundling discount.

When you compare State Farm vs. USAA car insurance quotes, make sure you ask about any available discounts.

Navigating State Farm vs. USAA Car Insurance Claims Process

Ease of Filing a Claim (Online, Over the Phone, Mobile Apps)

When it comes to filing a claim with State Farm vs. USAA car insurance, both companies offer convenient options. You can file a claim with both companies through their online portals, over the phone, or using their mobile apps.

This flexibility ensures that policyholders can choose the method that suits them best, whether it’s the convenience of a mobile app or the personal touch of a phone call.

Average Claim Processing Time

One crucial aspect of the claims process is the speed at which claims are processed. Both State Farm and USAA aim to provide efficient claim processing to minimize disruptions for their policyholders.

However, the specific processing times can vary depending on the nature of the claim and other factors. It’s advisable to contact the respective insurance company for more detailed information on average claim processing times.

Customer Feedback on Claim Resolutions and Payouts

Customer feedback plays a significant role in assessing the quality of claim resolutions and payouts. USAA car insurance consistently receives high marks for customer satisfaction, indicating a positive experience with claim resolutions and payouts.

State Farm also strives to provide excellent customer service, but individual experiences may vary. To make an informed decision, it’s essential to consider customer reviews and feedback when evaluating these two insurers.

Unveiling State Farm vs. USAA Car Insurance Digital and Technological Advancements

Mobile App Features and Functionality

Both State Farm and USAA offer mobile apps with various features and functionalities to enhance the customer experience. These apps allow policyholders to access their accounts, view policy information, make payments, and even file claims conveniently from their mobile devices. Users can also receive real-time updates on their policies and access important resources on these apps.

Online Account Management Capabilities

Managing your car insurance policy online is a breeze with both State Farm and USAA. Policyholders can log in to their online accounts to review and update their policies, request changes, make payments, and access important documents. These online account management capabilities provide ease and flexibility for customers to maintain their policies and make necessary adjustments.

Digital Tools and Resources

Both insurers offer a range of digital tools and resources to assist policyholders. These resources may include educational materials, insurance calculators, and tools for estimating coverage needs. These digital resources are designed to help customers make informed decisions about their car insurance and understand their coverage options better.

How do State Farm and USAA Compare in Financial Strength and Customer Satisfaction?

A.M. Best ranks the financial stability of insurance companies. State Farm received an A+ rating, and USAA Insurance scored an A++ from A.M. Best. This means both companies have a superior ability to meet their financial obligations.

State Farm is not rated by the Better Business Bureau, but USAA scored an A-.

J.D. Power rates businesses based on customer satisfaction, looking at criteria like price, billing, claims, and products offered. State Farm ranked about average in most areas, while USAA ranked above average.

With your State Farm or USAA login, you can access your account, pay bills, and get proof of insurance on the companies’ websites and mobile apps. You can also get a USAA or State Farm car insurance quote online.

Additional coverages, such as roadside assistance and homeowners insurance, are also available from State Farm and USAA.

If you need assistance or have concerns, you can contact each company 24 hours a day. The USAA customer service number is (800) 531-8722, and the State Farm number is (800) 782-8332.

Maybe you’re wondering, “Can I get USAA and State Farm insurance near me?” Yes, both companies are available in all 50 states.

Choosing between State Farm vs. USAA car insurance can be difficult. To see which is right for you, compare prices, discounts, and ratings like those listed above.

Before you buy State Farm vs. USAA car insurance, compare rates from other companies to see who has the best offer. Enter your ZIP code below to see quotes from multiple companies near you for free right now.