Farmers Auto Insurance: How Much Does It Cost?

Farmers Insurance offers a range of auto insurance coverage options, including liability, collision, and comprehensive plans. The cost of auto insurance depends on several factors, such as the state, the driver's history, and the chosen coverage. In California, for example, the average cost of full coverage was $1,217 per year in 2020, slightly higher than the national average of $1,176. Farmers Insurance also offers various discounts and incentives to help reduce the cost of auto insurance for its customers.

Discounts and savings

Farmers Insurance offers a range of discounts and savings opportunities to its auto insurance customers. Here are some ways that customers can save on their car insurance:

Discounts for Safe Driving:

Farmers Insurance encourages safe driving habits through its Signal program. Customers can earn an initial discount by enrolling in the program and focusing on their driving. The Signal program also offers the chance to win monthly prizes, with Farmers giving away up to $100 in prizes each month. Additionally, drivers under 25 can earn even greater savings by enrolling and using Signal, reinforcing good driving habits from an early age.

New Driver Discount:

Farmers Insurance offers a New Driver Discount, specifically for drivers who are new to the road. By taking the pledge with your new driver, you can qualify for an auto insurance discount. The process involves downloading the pledge, taking a quiz, and signing the New Driver Agreement, which can lead to savings of up to 10%.

Multiline Discounts:

Customers can save by purchasing multiple policies from Farmers Insurance. By bundling home and auto insurance policies, individuals can benefit from multiline discounts and lower their overall insurance costs.

Group Discounts:

Farmers Insurance offers group discounts through Farmers GroupSelect. By being a part of certain groups or working for specific employers, individuals can access exclusive discounts on their auto insurance.

Accident Forgiveness:

Farmers Insurance understands that accidents happen, and they offer accident forgiveness as a way to keep your insurance premium from increasing due to a single mistake. With this feature, Farmers will forgive one at-fault accident for every three years you drive without one, helping to maintain affordable rates.

Customized Equipment Coverage:

For those with aftermarket equipment, such as infotainment systems or custom wheels, Farmers offers coverage to repair or replace these items. This additional coverage provides peace of mind and ensures that your investments are protected.

Liability insurance

While liability insurance is a fundamental aspect of auto insurance, it is important to recognise that it does not cover damage or injuries sustained by the policyholder or their property. Instead, it primarily safeguards the interests of those who may be affected by the policyholder's actions. For personal protection, additional coverages, such as collision coverage and comprehensive coverage, are available to address damages to the policyholder's own vehicle or property.

Farmers Insurance offers liability coverage as part of its auto insurance policies, providing customers with the necessary protection against financial liability in the event of an accident. The company also provides a range of additional coverage options, allowing customers to customise their insurance plans according to their specific needs and state requirements. By combining liability coverage with other types of insurance, individuals can ensure they have adequate protection while complying with legal mandates.

When considering auto insurance, it is essential to understand the specific requirements of your state and the different types of coverage available. By selecting the appropriate coverage options, individuals can ensure they are adequately protected financially in the event of an accident, whether it involves injuries to others, damage to property, or both. Liability insurance plays a critical role in mitigating the financial risks associated with driving and safeguarding the interests of all parties involved.

Collision coverage

In the case of a leased or loaned vehicle, a lending institution will typically require you to carry both collision and comprehensive coverage, subject to an approved deductible. If you still owe money on your vehicle or are leasing it, your lender will likely require you to maintain physical damage coverage until the loan is paid in full or the lease term ends.

For older vehicles, you may consider removing collision coverage. However, it is important to carefully consider the value of your car before making this decision. If your car is totaled or stolen, the amount you receive will depend on your car's current market value. Many people continue to carry full coverage even after their car surpasses ten years of age. Additionally, if you have optional glass coverage and drop collision coverage, you may lose the former as well, which can be costly in the event of a broken windshield or other glass repairs.

To determine if collision coverage is right for you, it is recommended to speak with a Farmers Insurance agent, who can help you navigate the often confusing world of car and auto insurance and ensure you have the coverage you need at a price that works for you.

Comprehensive coverage

The deductible for comprehensive coverage is usually either $500 or $1,000, and choosing a higher deductible will result in lower insurance payments. Unlike collision coverage, making a comprehensive claim to fix or replace your vehicle will not increase your future rates.

In California, the average cost of car insurance in 2020 was $1,217 per year for full coverage, which includes liability, collision, and comprehensive insurance. The national average for the same period was $1,176 per year. It is important to note that insurance premiums may have changed since 2020, and the cost of insurance will depend on factors such as the amount of coverage, driving history, and the type of car.

Uninsured/underinsured motorist coverage

Uninsured motorist coverage specifically applies when the other driver has no auto insurance. It covers the costs of your bodily injuries, up to your policy limit, when they are caused by an at-fault driver without any insurance. It can pay for medical bills, pain and suffering, lost wages, and funeral expenses. Uninsured motorist property damage (UMPD) may also be included to cover any damage to your vehicle.

Underinsured motorist coverage comes into effect when the other driver doesn't have enough insurance to cover all of your damages. It can cover the costs of your injuries when the at-fault driver has some insurance but not enough to cover all your expenses. Underinsured motorist property damage (UIMPD) can also be included to cover damage to your vehicle.

Both types of coverage are mandatory in many states and highly recommended for all drivers. They can provide valuable protection in the event of an accident, ensuring that you are not left with significant financial burdens on top of any physical and emotional distress caused by the incident.

When considering uninsured/underinsured motorist coverage, it's important to understand the specific requirements and options available in your state. While some states may require a deductible for UMPD/UIMPD, UMBI/UIMBI generally doesn't include a deductible. You can choose the insurance limits of your coverage, but it's recommended to match the amount of your liability coverage to ensure adequate protection.

Frequently asked questions