With more than a century of experience in the insurance industry and $70,311,695 in premiums written in 2021, State Farm is the largest insurer in the United States. Today, it has a strong financial presence and offers various insurance products, including life insurance, homeowners insurance and renters insurance.
State Farm combines a nationwide network of knowledgeable agents with online educational resources and affordable premiums, earning it a spot as one of the best renters insurance companies. We at the Home Media reviews team reviewed State Farm renters insurance based on its coverage, pricing, pros and cons, customer satisfaction and more to help you decide if it’s right for you.
Pros and Cons of State Farm Renters Insurance
Here are our key pros and cons to consider before choosing State Farm renters insurance as your provider:
+ Vast library of digital resources
+ No limit on personal property coverage
+ Nationwide network of experienced agents
– No online quotes in some states
– Only three deductible options
State Farm Renters Insurance at a Glance
Our rating: 4.76 out of 5
Year founded: 1922
J.D. Power rating: 836 out of 1000
AM Best rating: A++*
State availability: 50
*AM Best rating is accurate as of October 2022.
State Farm Policy Coverage
Renters insurance doesn’t actually cover the roof, siding or structure of your home — that’s covered in the landlord’s policy. Instead, renters insurance protects you — the policyholder — and your belongings, whether or not they’re in your home when a covered loss occurs.
These types of coverage are included in a standard State Farm renters insurance policy:
- Personal property: Because your landlord has a policy to cover damage to the building itself, one major benefit to renters insurance is coverage for your personal property. State Farm pays up to $100,000 to fix or replace your belongings, such as electronics, furniture and clothing, when lost or damaged due to a covered loss. Fire and smoke, vandalism and theft are typically covered perils, whereas natural disasters such as earthquakes are not.
- Loss of use: If you are displaced from your home due to a covered loss that made it uninhabitable, State Farm will pay for additional living expenses, such as food and lodging, while you wait for repairs.
- Liability: The other major arm of a State Farm renters insurance policy is personal liability coverage. This protects you when you are responsible for another person’s injury or property loss. With liability coverage, State Farm may assist you with your legal fees and medical expenses.
- Medical payments to others: State Farm will cover medical expenses up to the policy’s limits when a guest is injured on your rental property. It also applies if you are found liable for injuring someone, whether you’re at home or somewhere else.
Additional Coverage
A standard renters insurance policy might not cover all of your individual needs. State Farm offers the following add-ons to customize your coverage:
- Identity restoration: This coverage protects you from cyber attacks, identity theft and fraud. It includes a variety of benefits, including identity theft case management and expense reimbursement, credit monitoring, cyber attack data recovery and more. It costs $25 per year and applies to you, your spouse and any dependents under 21 years old living in your household.
- Earthquake damage: Most standard renters insurance policies won’t cover damage from an earthquake, and State Farm is no different. However, State Farm offers optional earthquake coverage as an alternative to relying on state-backed relief after a seismic tremor.
- Additional business property: Supplementing your renters insurance policy with additional business coverage can help you customize your coverage to your unique business needs.
- Incidental business liability: This additional coverage differs from the liability coverage in a standard policy because it protects against claims alleging an act, error or omission in providing professional services. Its cost depends on your business’ size and industry.
- Personal liability umbrella: Sometimes, the liability coverage included in your standard policy is insufficient when you injure someone or damage their property. While no one expects to be involved in a major insurance claim or lawsuit, additional liability coverage in the form of an umbrella policy can give you extra peace of mind.
State Farm Renters Insurance Cost
According to the latest data from the Insurance Information Institute (III), the average annual cost of renters insurance was $174 in 2020. Our team received a free quote to help you understand how State Farm compares. We were quoted $213 per year for a single adult male living in a 1,029-square-foot apartment in Charlotte, N.C.
Your quote may be higher or lower based on the following factors:
- Location: Your premium is highly dependent on the level of risk in your geographical area. For example, if you live in a state known for natural disasters or a neighborhood with a high crime rate, you can expect to pay more for coverage. Similarly, if you live across the street from the fire station, you might pay less than someone who lives farther away.
- Size: A larger home usually contains more personal property to protect and therefore commands a higher premium. Other details about your home, such as installed security systems, sprinkler systems and fire alarms, can play a role in overall costs, too.
- Age and construction: It makes sense that an older home is more susceptible to costly repairs than a home built with modern materials and techniques. Therefore, you will likely pay higher premiums if your rental is older or the landlord hasn’t updated its electrical or plumbing systems.
- Policy customization: Insurers often allow you to customize your coverage with add-ons, such as earthquake protection or water backup coverage — for a fee. The more add-ons you include, the more your premiums will be.
- Personal information: Insurers don’t just look at the home but the renter as well. Good credit and a clear claims background can keep your premiums low, while the opposite can make you appear more risky to most companies.
State Farm Renters Insurance Discounts
Although State Farm offers affordable renters insurance rates, you may be eligible for up to three discounts to decrease your premium even further. It’s important to note that discount availability and eligibility can vary by state.
- Multiple policy: Like many competitors, State Farm is willing to reduce premiums for combining renters and auto policies. Depending on your location, coverage amount and other factors, State Farm claims that you could save enough to cover your entire renters insurance premium in some cases.
- Home alert protection: Outfitting your home with security devices, such as smoke detectors, burglar alarms or security cameras, can reduce the costs associated with a covered loss. Doing so may also qualify you for a discount on your premiums.
- Higher deductibles: Your policy deductible is the amount you pay after a covered loss. The more you are willing to pay, the less risk your insurer assumes and the lower your premiums are. Consider your personal needs to find that sweet spot between coverage and premium cost.
State Farm Renters Insurance Reviews
As we researched State Farm, we analyzed more than 100 reviews from third-party websites such as the Better Business Bureau (BBB) and Trustpilot. Despite being a well-established company, policyholders’ opinions were heavily split. Many reviewers convey overwhelmingly positive or negative feedback for State Farm.
Taking a closer look, we saw that the positive reviews tend to focus on the professionalism, friendliness and knowledge of State Farm agents. Some reviews even call out the names of specific agents who provided a great customer experience.
On the other hand, dissatisfied customers expressed frustration with a lack of communication and responsiveness from State Farm after filing a claim. Other unhappy customers referenced difficulty securing payment after a claim.
Here are a few examples of customer reviews we pulled from the BBB and Trustpilot about State Farm. We contacted State Farm for comment on the following reviews but did not receive a response.
“I purchase rental insurance from agent, Alex Quilis from the Lawrenceville, Ga office. I’m very satisfied with the [courtesy] and service that I received.” —Bobby B. via BBB
“I am very impressed with the Booneville location. The agent there, Kressa, was polite, patient, and very professional. She answered every question I had with ease. The policies were [explained thoroughly,] and the rates were affordable. Overall I have [had] an excellent experience and will definitely recommend.” —Patrisha J. via TrustPilot
“State Farm is not a good neighbor!!. I was displaced from my condo and now State Farm is no longer paying for my temporary lodging. I have no control over the renovations and supply chain issues but that didn’t matter. Hello, we are in a pandemic!! I am currently looking for another insurance company. DO NOT USE State Farm!!!!” —Felicia M. via BBB
“I’ve been a customer for close to 50 years. Their customer service used to be the best. That is no more. It is impossible to reach a human being in anything less than 20 – 30 minutes of hold time. And that’s if you happen to reach the right department and person on your first try. If you’ve sat on hold for 20+ min waiting for assistance and they have to transfer you to someone else, be prepared to wait another 20 – 30 minutes. Any time of day. To their credit, they finally dropped the ‘we’re sorry, we’re experiencing a greater than normal call volume’ platitude/lie. Every day is a greater than normal wait. […] They used to be so much better than this.” —Glenn via TrustPilot
Compare Other Renters Insurance Providers
Before you choose State Farm to cover your rental home or apartment, it’s smart to consider your options. State Farm falls in the middle for cost when compared with two other top renters insurance providers for the same single adult male in the roughly 1,000-square-foot apartment in Charlotte, N.C.
*Lemonade is unavailable in North Carolina, so we requested our quote from an equivalent residence in Richmond, Va.
The Bottom Line: State Farm Renters Insurance
State Farm has the experience and financial strength to offer competitive renters insurance coverage nationwide. Based on customer reviews, the company’s agents are friendly and knowledgeable about the insurance industry. Additionally, renters can customize their policies with up to five coverage add-ons and three discounts.
However, State Farm relies heavily on its network of agents to communicate with policyholders. If you prefer the agility and convenience of handling business online, State Farm may not be the right fit.
While State Farm is an excellent choice for many renters, it’s not the only choice worth looking into. We recommend obtaining a renters insurance quote from at least three companies to ensure you make the right decision for your needs.
Consider shopping Lemonade for a streamlined experience and fast claims or Liberty Mutual for its unique discounts.
Methodology: Our System for Ranking the Best Renters Insurance Companies
Through in-depth industry research, we determined the following factors and weights to rate each company. We scored each company on a 100-point scale, then divided the points earned for each provider’s final score on a 5-point scale.
- Overall cost: 15/100
- Add-ons and discount options: 20/100
- Standard coverage: 17.5/100
- State availability: 5/100
- Support availability: 20/100
- Connectivity: 12.5/100
- Authority: 10/100
We used these rating factors to determine the best renters insurance companies to help with your decision when looking at policies. We routinely monitor and update data regularly to ensure the reviews reflect the most up-to-date information and advice.
AM Best Disclaimer
Alice J. Roden started working for Trending Insurance News at the end of 2021. Alice grew up in Salt Lake City, UT. A writer with a vast insurance industry background Alice has help with several of the biggest insurance companies. Before joining Trending Insurance News, Alice briefly worked as a freelance journalist for several radio stations. She covers home, renters and other property insurance stories.