Two of the most prominent insurance carriers, USAA and State Farm, have distinct advantages over one another. To begin, not everyone can join USAA. Only active-duty military personnel and their eligible dependents are eligible for membership in the USAA. However, according to the Insurance Information Institute, State Farm has a larger market share of the auto insurance market than any other company in the United States, with over 16%. In this article, we will discuss the full comparison between USAA vs. State Farm car and home insurance, along with its pricing.<\/p>\n\n\n\n
State Farm, which has been around since 1922, has a near-14% proportion of the U.S. vehicle insurance industry. The company is famous for its low rates, excellent service to policyholders, and comprehensive range of auto insurance products, all of which it underwrites in-house. It also offers a number of bundling choices, specialist coverage, and discount opportunities that may help drivers save money on their policy. In addition, State Farm won the 2023 Bankrate Awards for best company for high-risk drivers, as drivers with tickets and accidents on their records may discover that State Farm’s prices are more reasonable than those of other insurers.<\/p>\n\n\n\n
Established in San Antonio, Texas, in 1922, USAA now controls around 5% of the country’s car insurance market. However, not all drivers have access to USAA’s coverage because the firm caters to active military, veterans, and qualifying family members, and membership is required to access insurance coverage alternatives from this company. Those who are eligible for membership, however, may find the company’s extensive policy choices and military-specific coverage, as well as the personal support available from local agents, to be compelling enough to make the investment.<\/p>\n\n\n\n
We found that USAA outperformed State Farm in every category related to car insurance, making them the clear winner. Its customer service, claims processing, customer loyalty, and pricing consistently earn top marks, whereas State Farm’s scores are more erratic but still quite excellent. For instance, just about a third of State Farm insurance policyholders reported being entirely satisfied with the company’s excellent driver-tracking programs, and fewer than half reported being completely content with the discounts to which they were entitled.<\/p>\n\n\n\n
The biggest negative of USAA auto insurance is that it is only available to active-duty military, veterans, and their families. Therefore, it is not a viable choice for the vast majority of people. Even if you meet the requirements, you’ll need to become a member before you can request a price quote. Therefore, it is less convenient to receive a quote from them than it is from a business like State Farm, which offers free internet quotes to everyone who is interested. The typical premiums for drivers with a DUI on their record are lower at State Farm as well. Based on the data we have, it also does very well in the areas of customer service, customer loyalty, and policy renewal rates.<\/p>\n\n\n\n
Standard insurance coverage options, including liability, property, and medical, are available from both USAA and State Farm.\u00a0<\/p>\n\n\n\n
The range of available coverage extensions from the two services is likewise comparable. While State Farm provides some coverage, USAA provides others.<\/p>\n\n\n\n
For instance, if your automobile is totaled, USAA’s auto replacement aid coverage will pay out 20% more than the car’s cash value. Guaranteed asset protection coverage, often known as gap insurance, is another service that USAA provides. State Farm doesn’t offer either of these options. Yet although USAA offers glass coverage as an add-on, State Farm covers glass claims in its complete coverage policy.<\/p>\n\n\n\n According to the research, USAA provides better service to its customers than State Farm does. Insured respondents who haven’t yet filed a claim with USAA reported a high level of satisfaction with the company’s customer service. Also, almost 68% of State Farm customers who haven’t filed a claim agree with this statement.<\/p>\n\n\n\n About 81% of those who’d filed a claim with USAA were entirely satisfied with the ease of the process while 71% of those drivers with State Farm offered the same rating. Note, however, that when compared to other leading auto insurers, State Farm ranks second in this respect.<\/p>\n\n\n\n Average prices at USAA ($875) are lower than at State Farm ($1,169), although both are less than the national average ($1,321). So, it’s vital to keep in mind that vehicle insurance premiums can vary substantially depending on several factors. You may pay more or less depending on factors including where you live, your age, and your driving record. That’s why it can help to seek quotes from multiple insurance companies and compare them side by side.\u00a0<\/p>\n\n\n\n We’ve also looked at State Farm and USAA’s typical rates across many demographics to give you a sense of how these characteristics might affect your rates.<\/p>\n\n\n\n Insurance for teen drivers can be costly, but both USAA vs. State Farm offer policies with rates well below the national average. USAA is the more cost-effective choice for this group, both when compared to the other company and to the other leading insurers.<\/p>\n\n\n\n Car insurance reductions are plentiful between USAA and State Farm. Both carriers provide usual discounts, such as one for bundling your homeowners’ insurance, life insurance, renters insurance, or other insurance products with your auto policy.<\/p>\n\n\n\n There are some discounts that USAA provides for military personnel that State Farm does not, and there are some savings that State Farm provides for drivers that USAA does not.<\/p>\n\n\n\n In addition, discounts on car insurance aren’t always the same from one area to the next. Before committing to a policy, make sure you’ve explored all of the discounts available to you by consulting with an insurance representative.<\/p>\n\n\n\n When comparing USAA vs. State Farm, USAA comes out on top when it comes to car insurance claims. Even though State Farm’s rating is higher than the national average for auto insurers, it still places it below the industry’s top four competitors. When comparing USAA and State Farm, we see that 74% of respondents are entirely satisfied with the manner in which their claim was addressed by USAA, while just 67% say the same about State Farm.<\/p>\n\n\n\n Usage-based insurance (UBI) schemes from both USAA and State Farm reward safe drivers with premium reductions. To track things like speeding, accelerating quickly, and stopping suddenly, UBI apps use data gathered from your mobile phone or other connected devices to track car telemetry. Users who demonstrate a history of safe driving may be eligible for a premium reduction.<\/p>\n\n\n\n Except for the states of California, Delaware, Indiana, Massachusetts, New Jersey, New York, North Carolina, Vermont, and Wisconsin, USAA’s SafePilot is available everywhere else. <\/p>\n\n\n\n State Farm’s Drive Safe & Save program is more widely accessible than SafePilot. Participants can be licensed drivers in any state besides California, Massachusetts, and Rhode Island. North Carolina motorists may find themselves with a limited selection.<\/p>\n\n\n\n USAA and State Farm are both well-known insurance companies that offer home insurance policies in the United States. When comparing USAA and State Farm home insurance, several factors come into play.<\/p>\n\n\n\n USAA:<\/strong><\/p>\n\n\n\n USAA primarily caters to military members, veterans, and their families. Their home insurance policies often come with competitive rates and excellent customer service. USAA is renowned for its exceptional customer satisfaction ratings, personalized service, and a range of discounts for policyholders. They offer coverage for standard perils, additional living expenses, personal property, and liability protection.<\/p>\n\n\n\n State Farm:<\/strong><\/p>\n\n\n\n State Farm is one of the largest insurance providers in the country, serving a diverse customer base. They offer a wide array of home insurance options, customizable to meet individual needs. State Farm policies cover dwelling protection, personal property, liability coverage, and additional living expenses. State Farm is known for its extensive network of agents, making it easy for customers to access in-person assistance and personalized advice.<\/p>\n\n\n\n When choosing between USAA and State Farm, it\u2019s essential to consider factors such as customer service, coverage options, premiums, and discounts. USAA may be a better choice for military members and their families due to its specialized focus, while State Farm offers broader accessibility and a vast network of agents, appealing to a wider demographic. It\u2019s advisable to compare quotes, read policy details carefully, and consider individual needs and preferences before making a decision on home insurance.<\/p>\n\n\n\n Homeowners’ insurance typically runs about $101 monthly. However, insurance rates and premiums can change depending on a variety of factors, such as a person’s claims history, credit score, the state of the insured’s home, the prevalence of crime in the area, the level of coverage selected, and the insurance company itself.<\/p>\n\n\n\n To discover how USAA and State Farm compare to the national average, we sought out the firms for estimates.<\/p>\n\n\n\n Coverage amounts for dwelling, other structures, personal property, and loss of use were computed after the rebuilding cost of a hypothetical home was estimated to be $329,000. We opted for the minimum required by law for liability, medical payments, and deductibles, as well as the typical amounts for credit card, supplemental loss, and commercial property coverage.<\/p>\n\n\n\n Home Insurance premiums can be lowered by taking advantage of five of USAA’s discounts:<\/p>\n\n\n\n State Farm’s quote system is quite similar to USAA’s; the amount of coverage for the home itself, other structures, personal property, and loss of use is based on the cost to rebuild, while the amount of coverage for liability, medical payments, and deductibles is set by the policyholder.<\/p>\n\n\n\n State Farm offers a few discounts to help lower your home insurance premium:<\/p>\n\n\n\n While USAA is widely praised for its excellent customer service and specialized offerings for military members and their families, there are a few disadvantages to consider:<\/p>\n\n\n\n Prospective clients should consider these drawbacks in light of USAA’s many advantages. Before deciding if USAA is the best option for you, think about your requirements and preferences.<\/p>\n\n\n\n USAA\u2019s insurance premiums can sometimes appear higher due to several factors:<\/p>\n\n\n\n In order to find the best value for their needs and budget, prospective policyholders need to compare quotations from numerous insurance companies, giving careful consideration to the coverage options and quality of customer service offered by each. In addition, the insurance rates you pay depend on a number of factors, so it’s smart to shop around before settling.<\/p>\n\n\n\n State Farm’s main rival is Allstate. Both are well-established names in the insurance market, and their offerings span the gamut from car and home protection to health and life coverage. They compete fiercely with major US property and liability insurance providers in market share and customer base.<\/p>\n\n\n\n Geico, Progressive, and Nationwide are three additional major rivals in the auto insurance market. These companies are formidable rivals to Allstate because of their innovative marketing strategies, accommodating payment policies, and warm customer service.<\/p>\n\n\n\n The choice between Allstate and State Farm insurance ultimately depends on your individual needs, preferences, and specific circumstances. Both companies are reputable and well-established insurers, each with its strengths and weaknesses. Here are a few factors to consider when making your decision:<\/p>\n\n\n\n Allstate:<\/p>\n\n\n\n State Farm:<\/p>\n\n\n\n However, in order to choose the best provider, you need to think about things like the coverage you require, your budget, your preferred level of customer service, and any special features or discounts that are vital to you. Getting price estimates from both companies will help you choose the one that is best suited to your requirements.<\/p>\n\n\n\n USAA is generally known for its excellent customer service and high customer satisfaction ratings. Many policyholders appreciate the personalized attention, prompt responses, and helpfulness of USAA representatives. However, like any large organization, individual experiences can vary based on specific circumstances, such as the complexity of the issue, the individual representative handling the case, or the customer\u2019s expectations.<\/p>\n\n\n\n While the majority of USAA customers have positive experiences, some individuals may encounter challenges or find certain processes more complex than expected. It\u2019s essential to communicate your concerns clearly, be patient, and persist in seeking assistance if you encounter difficulties. Additionally, utilizing online resources, such as the USAA website and mobile app, can often streamline common tasks and provide helpful information.<\/p>\n\n\n\n Overall, USAA is committed to providing excellent customer service, but individual experiences may differ. The best way to get answers to your questions or resolve your problems is to contact USAA directly.<\/p>\n\n\n\n If State Farm and USAA operate in your area, you should be able to obtain insurance that at least satisfies the legal minimums in your state. And, when it comes to the sorts of car insurance offered, the providers are relatively compatible. Liability, collision, and comprehensive coverage, as well as choices for teenage drivers and coverage for rental cars, vintage cars, and ridesharing vehicles, are all available from both firms’ auto insurance offerings.<\/p>\n\n\n\n USAA and State Farm both provide all-inclusive car and house insurance policies at costs well below the market norm. Both insurance providers have high ratings for reliability and consumer happiness. There are some key differences between USAA and State Farm auto and home insurance, including available discounts and policy riders. These factors can help you determine which service provider is most suited to fulfill your requirements.<\/p>\n\n\n\n Yes, since USAA only accepts military members, you must be a military family to buy auto insurance.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t You may qualify if you are a spouse, parent (including stepparent or legal guardian), or family member. One or both of your parents must have had USAA coverage for you to be able to join USAA.<\/p>\n\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t<\/section>\n\t\t\n<\/td> USAA<\/td> State Farm<\/td><\/tr> Bodily injury liability (BI)<\/td> \u2713<\/td> \u2713<\/td><\/tr> Property damage liability (PD<\/td> \u2713<\/td> \u2713<\/td><\/tr> Collision coverage<\/td> \u2713<\/td> \u2713<\/td><\/tr> Comprehensive coverage<\/td> \u2713<\/td> \u2713<\/td><\/tr> Medical payments (MedPay)<\/td> \u2713<\/td> \u2713<\/td><\/tr> Personal injury protection (PIP)<\/td> \u2713<\/td> \u2713<\/td><\/tr> Uninsured\/underinsured motorist <\/td> \u2713<\/td> \u2713<\/td><\/tr> Roadside assistance<\/td> \u2713<\/td> \u2713<\/td><\/tr> Rental car reimbursement coverage<\/td> \u2713<\/td> \u2713<\/td><\/tr> Rideshare insurance<\/td> \u2713<\/td> \u2713<\/td><\/tr> Accident forgiveness<\/td> \u2713<\/td> \u2713<\/td><\/tr> Glass coverage<\/td> \u2713<\/td> (included with comprehensive coverage)<\/td><\/tr> Guaranteed asset protection<\/td> \u2713<\/td> <\/td><\/tr> Car replacement assistance<\/td> \u2713<\/td> <\/td><\/tr> Mechanical breakdown insurance (MBI)<\/td> <\/td> <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n USAA vs State Farm: Customer Service<\/strong><\/span><\/h2>\n\n\n\n
USAA vs State Farm: Pricing<\/strong><\/span><\/h2>\n\n\n\n
Company<\/td> 17-Year-Old Females<\/td> 17-Year-Old Males<\/td><\/tr> State Farm<\/td> $2,986<\/td> $3,661<\/td><\/tr> USAA<\/td> $2,714<\/td> $2,955<\/td><\/tr> National Average<\/td> $4,515<\/td> $5,140<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n USAA vs. State Farm: Discounts<\/strong><\/span><\/h2>\n\n\n\n
<\/td> USAA Car Insurance Discounts<\/td> State Farm Car Insurance Discounts<\/td><\/tr> Multi-policy<\/td> \u2713<\/td> \u2713<\/td><\/tr> Multi-vehicle<\/td> \u2713<\/td> \u2713<\/td><\/tr> Vehicle Storage<\/td> \u2713<\/td> <\/td><\/tr> Good student<\/td> \u2713<\/td> \u2713<\/td><\/tr> Good driver<\/td> \u2713<\/td> \u2713<\/td><\/tr> Accident-free<\/td> <\/td> \u2713<\/td><\/tr> Driver\u2019s education<\/td> \u2713<\/td> \u2713<\/td><\/tr> Defensive driving<\/td> \u2713<\/td> \u2713<\/td><\/tr> Anti-theft device<\/td> <\/td> \u2713<\/td><\/tr> Student away at school<\/td> <\/td> \u2713<\/td><\/tr> Passive restraint<\/td> <\/td> \u2713<\/td><\/tr> Usage-based<\/td> \u2713<\/td> \u2713<\/td><\/tr> Military Discount<\/td> \u2713<\/td> <\/td><\/tr> Military discount<\/td> \u2713<\/td> <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n USAA vs State Farm:<\/strong> Claims Handling<\/strong><\/span><\/h2>\n\n\n\n
USAA vs. State Farm: Usage-Based Insurance<\/strong><\/span><\/h2>\n\n\n\n
<\/td> USAA SafePilot\u00ae<\/td> State Farm Drive Safe & Save\u2122<\/td><\/tr> Device<\/td> Mobile app<\/td> Mobile app, OnStar, FordPass\u2122, Lincoln Way\u2122<\/td><\/tr> 41 states<\/td> No<\/td> Yes<\/td><\/tr> Availability<\/td> 41 States<\/td> 41 states<\/td><\/tr> Discount<\/td> Up to 30%<\/td> Varies<\/td><\/tr> What It Monitors<\/td> Speed, acceleration, braking, swerving, cornering, distance, location, phone use and more<\/td> Distracted driving, hard braking, cornering, smoothness, annual mileage, time of day and acceleration<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n USAA vs State Farm Home Insurance<\/strong><\/span><\/h2>\n\n\n\n
USAA vs. State Farm Home Insurance Cost Comparison<\/strong><\/span><\/h2>\n\n\n\n
USAA Cost<\/strong><\/span><\/h3>\n\n\n\n
Type of Coverage<\/td> Amount of Coverage<\/td><\/tr> Dwelling<\/td> $329,000<\/td><\/tr> Other structures<\/td> $32,900<\/td><\/tr> Personal property<\/td> $164,500<\/td><\/tr> Loss of use<\/td> $65,800<\/td><\/tr> Liability<\/td> $300,000<\/td><\/tr> Medical payments to others<\/td> $5,000<\/td><\/tr> Credit card and forgery<\/td> $500<\/td><\/tr> Supplemental loss assessment<\/td> $1,000<\/td><\/tr> Business property<\/td> $2,500<\/td><\/tr> Deductible (all other perils\/wind and hail)<\/td> $1,000\/$1,000<\/td><\/tr> Monthly cost<\/td> $151.17<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n \n
State Farm Cost<\/strong><\/span><\/h3>\n\n\n\n
Type of Coverage<\/td> Amount of Coverage<\/td><\/tr> Dwelling<\/td> $250,000<\/td><\/tr> Other structures<\/td> $25,000<\/td><\/tr> Personal property<\/td> $125,000<\/td><\/tr> Loss of use<\/td> $50,000<\/td><\/tr> Liability<\/td> $300,000<\/td><\/tr> Medical payments to others<\/td> $1,000 per person<\/td><\/tr> Deductible<\/td> $1,000<\/td><\/tr> Monthly cost<\/td> $122<\/td><\/tr><\/tbody><\/table> \n
What Are the Disadvantages of USAA?<\/strong><\/span><\/h2>\n\n\n\n
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Why Is USAA So Expensive?<\/strong><\/span><\/h2>\n\n\n\n
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Who Is State Farms Biggest Competitor?<\/strong><\/span><\/h2>\n\n\n\n
Is It Better to Own an Allstate or State Farm?<\/strong><\/span><\/h2>\n\n\n\n
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Is USAA Hard to Deal With?<\/strong><\/span><\/h2>\n\n\n\n
What Types of Car Insurance Do State Farm and USAA Offer?<\/strong><\/span><\/h2>\n\n\n\n
USAA vs State Farm: Bottom Line<\/span><\/h2>\n\n\n\n
Frequently Asked Questions<\/span><\/h2>\n\n\n\t\t
Is USAA only for military?<\/h2>\t\t\t\t
How can I join USAA without military?<\/h2>\t\t\t\t