Farm Bureau Auto Insurance Review

Cheap rates, great service and a local touch make Farm Bureau a good choice.
Farm Bureau Insurance

Editor's Rating

Farm Bureau offers cheap car insurance rates and excellent customer service, making it an attractive option for members. While there is an annual membership fee to join the Farm Bureau, this cost is typically outweighed by the potential savings compared to other insurance companies.

Good for
  • Farm Bureau members
  • Drivers looking for cheap rates and exceptional customer service
Bad for
  • Customers in need of specialized coverages

Farm Bureau: A great choice for car insurance

Farm Bureau offers some of the most competitive quotes in the car insurance industry. Cheap rates, alongside solid customer service reviews, make Farm Bureau a worthy option to consider for any customer.

Membership in the Farm Bureau is available to all drivers, not just farmers. Although there is an annual fee associated with membership, usually less than $100 depending on where you live, this cost is offset by its industry-leading rates.

Few major carriers are able to compete with Farm Bureau's prices, according to our analysis, though GEICO was an exception. In addition to its competitively priced auto insurance policies, however, Farm Bureau members can take advantage of other perks, such as discounts for travel, entertainment and prescriptions.

Below, we review industry experts' analysis of Farm Bureau customers' claims satisfaction. Overall, Farm Bureau has among the highest ratings we've seen for a major carrier.

Car insurance take-away: If you're looking for the cheapest rates available, we recommend comparing auto insurance quotes from Farm Bureau and GEICO. Both insurance companies offer some of the most competitive rates among major carriers. And while Farm Bureau doesn't have many unique car insurance discounts, its low rates, excellent customer service and additional membership perks make it an attractive option to consider.

Farm Bureau car insurance

Whether you're a college student looking for the cheapest quotes or a farmer who's already a member of the local chapter, Farm Bureau's rates are best-in-class. In this review, we describe Farm Bureau's car insurance coverage options and discounts, and compare its rates to other industry-leading competitors.

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Farm Bureau auto insurance coverage options

Along with standard coverage options, Farm Bureau allows customers to supplement their coverage with add-on services and protections.

Add-on coverage options at Farm Bureau are priced individually, so savings depend on whether you're eligible and what you choose. Rates for both standard coverage options and add-ons can vary widely depending on your driver profile and location. Add-on coverages include:

  • Replacement-cost coverage: Reimburses you for the cost to replace vehicle models up to four or five years old, depending on the state.
  • Roadside-assistance coverage: Offers emergency roadside assistance, including towing and pick-up services following an accident or vehicle malfunction.

Special offerings: Driveology:

Policyholders should consider enrolling in Farm Bureau's Driveology program if they can demonstrate consistent safe driving behavior. Drivers install a small device in their vehicle's OBD-II port. If the data gathered from the device indicates good driving behavior, drivers may save up to 30% on their car insurance premiums.

Other coverage considerations: Farm Bureau mutual dividend policies

Some of Farm Bureau's local chapters are mutual insurance companies, which means they're owned by policyholders. From time to time, policyholders may receive dividends. These don't have to be used as a rebate against car insurance — policyholders can use the funds for anything. However, dividends are based on the insurer's profitability, so they're not guaranteed. Farm Bureau subsidiaries will monitor their annual performance to determine if they will offer a dividend payment in any given year.

Car insurance discounts offered by Farm Bureau

While Farm Bureau doesn't have especially unique discounts compared to other insurers, it does offer many of the standard or widely available discounts. In fact, Farm Bureau's rates are typically already discounted to members, which is one of its main selling points to customers.

Farm Bureau does offer the Driveology program, which can help safe drivers save money. After installing a small device that measures driving behavior, drivers may receive a discount up to 30% off their premiums. Plus, they can take advantage of additional savings through Farm Bureau's SafeRide Rewards program.

Farm Bureau also offers a program known as SuperCheck, in which an agent reviews your policy once a year to ensure you're receiving all eligible discounts. A sample list of Farm Bureau car insurance discounts follows.

DiscountHow do you receive it?
Affinity groupJoin a qualifying organization or university alumni group.
Anti-theftInstall an approved anti-theft device in your car.
Claim-freeDrive for a length of time without submitting a claim (eligibility requirements vary by state).
DriveologyDemonstrate safe driving behavior with a device installed in your car.
Continued in force creditFarm Bureau members who renew their Farm Bureau's Member's Choice policies receive a loyalty credit.
Good studentStudents on the policy must maintain a B average in the classroom.
Member's choice (multiline)Bundle your auto and home insurance with Farm Bureau.
MulticarAdding multiple cars to your Farm Bureau policy could reduce the cost of insurance for each individual vehicle.
Low-mileageDrive no more than 7,500 miles annually.
Smart payVaries by payment history, plan and method.
Safe young driver trainingComplete Farm Bureau's young-driver safety program (limited to drivers under 25 years old).
Discount availability and eligibility varies across states. Not all discounts may be available with your local Farm Bureau chapter.

It's also worth mentioning that membership with Farm Bureau offers several other discounts unrelated to car insurance that may appeal to customers. You may save on:

  • Agricultural equipment.
  • Vacations, including hotel stays and rental cars.
  • Prescriptions.
  • Entertainment venues.

Farm Bureau auto insurance quotes comparison

Across three driver profiles we studied, Farm Bureau offered competitive, and sometimes the cheapest, car insurance rates. Based on our sample driver profiles, GEICO is the only insurer that offers rates on par with the quotes offered by Farm Bureau. Notably, Farm Bureau was also the only insurer that did not change its annual rate based on gender or marital status.

How do Farm Bureau's car insurance quotes compare to other insurers?
How do Farm Bureau's car insurance quotes compare to other insurers?

Progressive and Allstate were both significantly more competitive than Farm Bureau for all three driver profiles. Unless you're debating obtaining coverage from GEICO, it may be challenging to find cheaper rates with another insurer.

Drivers should still remember, however, that they must pay for annual membership in order to be eligible for Farm Bureau's auto insurance policy. The cheapest tier of membership typically costs $100 or less annually, but it should still be included in your calculations when ultimately deciding on an insurer.

Farm Bureau insurance reviews and ratings

Metric

Value
A.M. Best Financial Strength RatingA
J.D. Power's 2019 U.S. Auto Insurance Study1st in the Southeast and Texas regions

Farm Bureau's customer reviews are generally positive. Customers typically describe agents as very accommodating and compassionate. Their community-based agents provide a personal touch that's often heralded as a reason to use the insurer. In fact, Farm Bureau ranked first in J.D. Power's 2019 U.S. Auto Insurance Study for both the Southeast and Texas regions.

Farm Bureau policyholders should generally anticipate a smooth claims process for auto insurance. The National Association of Insurance Commissioners (NAIC) reports that the Texas Farm Bureau, for example, has a 2019 Complaint Index of 0.00, which is substantially lower than the national median of 1.00. Such a low Complaint Index suggests Farm Bureau receives fewer complaints than average relative to other insurers.

While the Farm Bureau has a presence in all 50 states and Puerto Rico, it only underwrites and sells its own auto insurance policies in some areas. In 19 states, a local Farm Bureau subsidiary underwrites policies. In the remaining states, either a regional Farm Bureau affiliate serves customers, or local Farm Bureau members may qualify for discounted rates at partner insurers.

Partner insurance companies include large national carriers such as Nationwide and Country Financial. One exception is Hawaii, where the local Farm Bureau does not underwrite auto insurance policies.

Farm Bureau has excellent capacity to pay out customer insurance claims, according to A.M. Best's Financial Strength Rating. In fact, Farm Bureau was rated A by A.M. Best, which awards letter grades based on a company's ability to meet their financial obligations. The A indicates Farm Bureau is regarded as financially stable enough to pay out customer claims. If you need to file a claim, you can call 800-226-6383.

Methodology

ValuePenguin's analysis used insurance rate data from Quadrant Information Services. These rates were publicly sourced from insurer filings and should be used for comparative purposes only. Your own quotes may be different.

Mark is a Senior Research Analyst for ValuePenguin focusing on the insurance industry, primarily auto insurance. He previously worked in financial risk management at State Street Corporation.

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.