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When comparing State Farm vs. Geico, both insurers have strengths and weaknesses. Geico offers more discounts, while State Farm scores better in claims satisfaction. In this review, we’ll compare the companies head to head so you can decide which auto insurer fits your needs.
We’ve reviewed the best car insurance companies on the market, and State Farm and Geico both ranked within our top five positions. Compare car insurance quotes from leading providers like these with the free tool below.
In this article:
- Comparing State Farm and Geico
- State Farm vs. Geico coverage
- State Farm vs. Geico pricing
- State Farm vs. Geico customer experience
- Final thoughts
- Our methodology
Comparing State Farm and Geico
State Farm is currently the largest auto insurer in the U.S. according to the National Association of Insurance Commissioners (NAIC), closely followed by Geico. Both companies hold strong financial reputations and customer service ratings. They are also well established: State Farm was founded in 1922 and Geico in 1936. You can get classic car and alternative vehicle coverage with either provider, as well as products like homeowners insurance and renters insurance.
Here are a few highlights for State Farm:
- Best discounts for students and young drivers
- Usage-based discounts offered through the Drive Safe & SaveTM program
- Young driver education with discounts offered through the Steer ClearⓇ program
Geico’s highlights include:
- Military, federal employee and corporate group discounts
- Mechanical breakdown insurance (MBI)
- Better customer service reputation
Considering each company’s strengths, we named Geico the Best Overall and State Farm the Best for Students in our industry-wide review.
State Farm vs. Geico coverage
Considering State Farm and Geico are the two biggest auto insurance companies in the U.S., most drivers can find what they need from either company, whether that’s minimum or full coverage. However, there are a few key differences between State Farm vs. Geico when it comes to auto insurance options.
State Farm offers usage-based insurance in more states than Geico, and it also offers travel expense reimbursement, which Geico does not.
On the other hand, Geico offers mechanical breakdown insurance (MBI) an add-on coverage option similar to an extended car warranty. MBI contracts cover various repairs for unexpected breakdowns, which standard auto insurance typically doesn’t cover.
|Bodily Injury Liability (BI)||✓||✓|
|Property Damage Liability (PD)||✓||✓|
|Medical Payments (MedPay)||✓||✓|
|Personal Injury Protection (PIP)||✓||✓|
|Uninsured/Underinsured Motorist (UM/UIM)||✓||✓|
|Rental Car Reimbursement Coverage||✓||✓|
|Usage-Based Insurance||All states except Calif., Mass., N.Y. and R.I.*||Available in 19 states*|
|Travel Expense Coverage||✓|
|Mechanical Breakdown Insurance (MBI)||✓|
*Accurate at time of publication.
Usage-based insurance comparison
Usage-based insurance coverage provides discounts based on your current driving habits instead of your driving history. State Farm’s program is called Drive Safe & Save, and Geico’s program is called DriveEasy. Between the two, State Farm has a more comprehensive program.
|State Farm Drive Safe & Save||Geico DriveEasy|
|Device||Mobile app paired with a Bluetooth beacon and OnStarⓇ||Mobile app|
|Can It Raise Your Rate?||No||Yes|
|Availability||46 states||19 states|
|Discount||Up to 30%||Varies|
|What It Monitors||Quick acceleration, hard braking, fast cornering, speeding and distracted driving||Distracted driving, hard braking, cornering, smoothness, road type, distance driven, time of day and weather|
State Farm’s program won’t raise your rate, which is one of its advantages. Drive Safe & Save also guarantees discounts with each policy renewal, but they may fluctuate depending on your driving habits. On the other hand, Geico’s DriveEasy program could raise your auto insurance premiums if you drive poorly.
Be aware that your rate with State Farm could change if you lose a low-mileage discount after participating in Drive Safe & Save.
State Farm vs. Geico pricing
In our industry-wide car insurance review, we gave Geico 8.5 out of 10.0 points for affordability and State Farm 8.0 points. On average, we found that Geico offers cheaper auto insurance policies than State Farm. Comparatively, Geico offers a wide range of discounts applicable to more drivers.
Geico provides a few policy discounts not offered by State Farm, including a 15% military discount and a 12% discount for federal employees at the Eagle level. Geico also offers varying discounts based on partner organizations, like alumni associations and professional groups. Between the two auto insurers, Geico has the better multi-vehicle discount — 25% compared to State Farm’s 20%.
State Farm has the better student discount. Depending on a student’s grades, policyholders can save up to 25% until they turn 25 — Geico’s discount caps out at 15%. State Farm’s Steer Clear program teaches drivers under 25 good driving habits and can also award a policy discount. For these reasons, State Farm is our top pick for students.
|State Farm Discounts||Geico Discounts|
|Student Away at School||✓|
|Daytime Running Lights||✓|
|Seat Belt Use||✓|
|Membership and Employee||✓|
Keep in mind that auto insurance quotes are based on your vehicle, location, driving history, credit score and more. You may find that State Farm is much cheaper than Geico for your particular vehicle and location. State Farm can provide cheap auto insurance in many cases because it spreads out its risk across millions of vehicles.
State Farm vs. Geico customer experience
Both State Farm and Geico provide a positive customer experience for most drivers, based on reviews. However, we rated Geico higher overall because it has fewer complaints relative to its size, according to NAIC data.
State Farm did score higher than Geico in the J.D. Power Auto Claims Satisfaction Study. The study measured claims satisfaction in several categories, including estimation process, repair process, rental experience and settlement. State Farm is also well-regarded for its local agents and the satisfactory customer service they provide. The company has about 19,000 local agents.
State Farm insurance reviews on the BBB average to a 1.37 out of 5-star rating, while Geico reviews average to a 1.15-star rating. BBB reviews only account for a fraction of State Farm’s and Geico’s customers.
Both companies also have highly-rated mobile apps, which policyholders can use to view their insurance ID cards, file claims, pay bills and change policy information.
|BBB Customer Review Rating||1.37 out of 5||1.15 out of 5|
|Mobile App iPhone App Store Rating||4.8 out of 5.0||4.8 out of 5.0|
|Mobile App Google Play Rating||4.7 out of 5.0||4.8 out of 5.0|
After comparing State Farm vs. Geico, we think both providers are reputable choices for coverage. We named Geico the Best Overall for its strong industry reputation, affordability and range of coverage options. We named State Farm the Best for Students for its discounts and programs for young drivers. However, Geico’s better customer experience ratings and widely applicable discounts can be a deciding factor for some drivers.
Other recommendations for car insurance
Since auto insurance quotes are so personalized, it’s a good idea to compare several quotes. If you’re affiliated with the military or are part of a military family, USAA is a great option. The company has high auto insurance industry ratings and often provides the cheapest car insurance rates for many drivers.
Another reputable option is Progressive, which provides a good usage-based program and plenty of discounts. Progressive also tends to be one of the cheapest options for high-risk drivers. So, if you recently received a ticket or were involved in an at-fault accident, include a quote from Progressive in your search.
Because consumers rely on us to provide objective and accurate information, we created a comprehensive rating system to formulate our rankings of the best car insurance companies. We collected data on dozens of auto insurance providers to grade the companies on a wide range of ranking factors. The end result was an overall rating for each provider, with the insurers that scored the most points topping the list.
Here are the factors our ratings take into account:
- Reputation: Our research team considered market share, ratings from industry experts and years in business when giving this score.
- Availability: Auto insurance companies with greater state availability and few eligibility requirements scored highest in this category.
- Coverage: Companies that offer a variety of choices for insurance coverage are more likely to meet consumer needs.
- Cost: Average auto insurance rates and discount opportunities were both taken into consideration.
- Customer Experience: This score is based on volume of complaints reported by the NAIC and customer satisfaction ratings reported by J.D. Power. We also considered the responsiveness, friendliness and helpfulness of each insurance company’s customer service team based on our own shopper analysis.