Allstate vs Farmers Car Insurance
The captive-agent-first contest between two agent-channel national carriers. Both run exclusive agent networks, both publish broad discount menus, both offer two-way telematics. The decision usually comes down to which carrier's distinctive endorsements map to the household's actual needs: Allstate's integrated rewards suite (Accident Forgiveness, Deductible Rewards, Safe Driving Bonus, New Car Replacement) against Farmers' CoverageMyWay customization and Signal telematics, with Farmers' modeled publisher premiums running closer to the national average than Allstate's.
Allstate reviewed 2026-09-28; Farmers reviewed 2026-10-02; this comparison reviewed 2026-10-02.
At a glance
| Dimension | Allstate | Farmers |
|---|---|---|
| Parent / entity | The Allstate Corporation (NYSE: ALL); publicly-traded holding company for the Allstate Insurance Group of underwriting subsidiaries. HQ Northbrook, Illinois. | Farmers Group, Inc. (attorney-in-fact; wholly owned by Zurich Insurance Group Ltd). Zurich has no ownership interest in the Exchanges themselves — the Exchanges are owned by policyholders. |
| Category | National mass-market | National mass-market |
| Distribution | Exclusive agent | Exclusive agent |
| Footprint | National (all 50 states + DC) | Super-regional (42 states) |
| AM Best FSR | A+ (Superior); outlook StableTIER 1 | A (Excellent); outlook StableTIER 1 |
| AM Best affirmation | 2026-09-02 | 2026-09-03 |
| Market share (NAIC) | 10.15% (rank 4, 2024) | 3.76% (rank 6, 2024) |
| Telematics program | Drivewise — can raise rate | Signal — can raise rate |
Where these two actually differ
Modeled premium band
NerdWallet April 2026 put Allstate full-coverage at ~$3,163/yr vs a $2,315 national average; U.S. News August 2026 reported ~$3,501/yr vs $2,554. Farmers' publisher-modeled rates generally anchor closer to the national average per NerdWallet, U.S. News, and ValuePenguin publisher summaries. For a price-first captive-agent shopper, Farmers typically runs lower on identical coverage. These are modeled rates — your actual quote depends on state, ZIP, vehicle, driving/insurance history, and credit where state law allows.
Allstate rewards suite vs Farmers CoverageMyWay
Allstate's documented optional-rewards suite — Accident Forgiveness (no rate increase after an at-fault accident, subject to terms), Deductible Rewards ($100 at sign-up plus $100 off deductible per accident-free year up to $500), Safe Driving Bonus, and New Car Replacement (replace a totaled vehicle under 2 model years old) — is a bundled distinctive package. Farmers publishes CoverageMyWay as its customization frame plus occupation-based discounts and a broad coverage menu that includes rideshare in select states. If the Allstate rewards suite maps to your household (newer vehicle for NCR; accident-prone profile for AF), Allstate's premium is more defensible; if not, Farmers' lower modeled premium at identical coverage is harder to beat on economics alone.
Drivewise vs Signal: both two-way, different carve-outs
Allstate's Drivewise publishes an up-to-10% initial enrollment discount; Allstate explicitly states drivers exhibiting riskier behaviors could see rates increased, except in New York. Full-participation savings require every driver on the policy to enroll and complete a defined number of trips. Farmers' Signal is a smartphone-based telematics program with similar two-way rate mechanics in participating states; discount tiers and state availability are documented through Farmers' agent at enrollment. Both programs can raise rates in most states — the state addendum is the primary source for your specific surcharge rules.
FSR one-tier gap: A+ Superior vs A Excellent
AM Best affirmed Allstate's A+ (Superior) FSR / aa- ICR on September 2, 2026 and revised outlook to stable from negative, citing material improvement in earnings and 26% statutory surplus growth in 2025. Farmers Group members carry A (Excellent) / a (Excellent) with a stable outlook on the most recent AM Best action we reviewed. A+ (Superior) is AM Best's second-highest tier; A (Excellent) is third. Both are strong in absolute terms; the one-tier gap favors Allstate for shoppers who weight counterparty strength heavily.
Exclusive-agent-first on both sides
Allstate and Farmers run comparable exclusive-agent models — a named local agent is the primary servicing and claim-handoff touchpoint for most households. Allstate publishes a direct online and phone channel alongside its agent network; Farmers has expanded its agent footprint in 2025-2026 and continues to add captive-agent capacity. If your decision is agent-channel vs direct-channel, this comparison is moot; both are agent-first. If your decision is between two agent-channel carriers, Farmers' lower publisher-modeled premium is the main economic lever and Allstate's rewards suite is the main non-economic one.
Telematics side by side
Allstate
Program Drivewise
Tracks speed, hard_braking, phone_use, time_of_day
Can raise rate? Yes
Enrollment max Up to 10% initial enrollment discount
Renewal max Full-participation savings require all drivers on the policy to enroll and complete a defined number of trips driven safely
Allstate states directly that drivers frequently exhibiting riskier behaviors could see their rates increased, except in New York, to reflect that higher risk. New York is the exception to the increase mechanic. Enrollment is through the Allstate mobile app with location services enabled; behaviors evaluated for pricing include speed, hard braking, and time of day. Phone-use treatment for pricing varies by state and may differ from in-app feedback.TIER 1
Farmers
Program Signal
Tracks speed, hard_braking, phone_use, time_of_day, mileage
Can raise rate? Yes
Enrollment max 5%
Renewal max up to 15% (some publisher sources cite up to 25% including stacked youthful-driver savings)
State exclusions CA, FL, HI, NY, SC
Signal can increase renewal premium for risky driving behavior at renewal, per Farmers program materials summarized by secondary publishers. Not purely a discount-only program.TIER 3
Financial strength
Allstate
AM Best FSR A+ (Superior)
Long-Term ICR aa- (Superior)
Outlook Stable
Affirmed 2026-09-02
On September 2, 2026, AM Best affirmed the FSR of A+ (Superior) and the Long-Term ICR of "aa-" (Superior) of the members of Allstate Insurance Group. Outlooks were revised to stable from negative, reflecting material improvement in earnings, projected positive near-term results, and significant strengthening of risk-adjusted capitalization (BCAR). AM Best cited 26% statutory surplus growth in 2025 as the second consecutive year of double-digit growth. A+ (Superior) is AM Best's second-highest FSR tier (below A++).TIER 1
Farmers
AM Best FSR A (Excellent)
Long-Term ICR a (Excellent); Positive outlook (revised from Stable on Sept 3, 2026)
Outlook Stable
Affirmed 2026-09-03
AM Best revised the Long-Term Issuer Credit Rating outlook to Positive from Stable on September 3, 2026, while affirming the Financial Strength Rating at A (Excellent). Prior action was an August 2025 affirmation with stable outlooks.TIER 1
Coverage differences
| Coverage | Allstate | Farmers |
|---|---|---|
| Customized equipment | — | Offered |
| Deductible Rewards (optional) | Offered$100 instant credit at sign-up plus $100 off deductible each year up to $500 for staying accident-free. | — |
| Loan/lease (gap) | — | OfferedUp to 25% of actual cash value. |
| Medical payments | — | Offered |
| Rental reimbursement | — | Offered |
| Rideshare coverage | — | OfferedFills the carrier-period-1 gap. |
| Safe Driving Bonus (optional) | OfferedA check for every six accident-free months, up to 5% off premium per Allstate's own product framing. | — |
| Sound System Insurance | OfferedAudio equipment coverage as an optional add-on. | — |
| Accident Forgiveness (optional) | OfferedAllstate: rates will not go up after an accident, even if it was at-fault. Subject to Allstate's terms and conditions. | OfferedOne at-fault accident forgiven per three claim-free years. |
| Collision | Offered | Offered |
| Comprehensive | OfferedNon-collision damage (theft, vandalism, weather, animal strikes, glass). | Offered |
| Bodily injury and property damage liability | OfferedState minimum limits vary; higher limits generally available. | Offered |
| New Car Replacement (optional) | OfferedOn a totaled qualifying vehicle less than two model years old, pays to replace with a new vehicle rather than paying actual cash value alone. Distinct from gap coverage. | OfferedFirst 2 model years or 24,000 miles. |
| Personal injury protection and medical payments | OfferedAvailability and required amounts are state specific. | OfferedWhere state requires. |
| Roadside assistance / rental reimbursement / rideshare driver (select states) | OfferedCommonly-available add-ons; availability, limits, and state-specific rules vary. Confirm on declarations page. | Offered |
| Uninsured / underinsured motorist | OfferedRequired or optional depending on state. | Offered |
Dated events that specifically move this matchup
Affects AllstateAM Best affirmed Allstate FSR A+ (Superior) / aa- ICR; outlook revised to stable from negative2026-09-02
Material improvement in earnings and 26% statutory surplus growth in 2025 (second consecutive year of double-digit growth). Reverses the preceding negative-outlook period; keeps Allstate one tier above Farmers on the FSR scale.TIER 1
Affects FarmersAM Best affirmed Farmers Insurance Group A (Excellent); stable outlook2026-01-01
Affirmation of Farmers Group members at A (Excellent) with stable outlook. Keeps Farmers in strong AM Best territory one tier below Allstate's A+.TIER 1
Who should quote each
Allstate — Rewards-suite users and shoppers who weight AM Best A+ specifically
- You will actually add Accident Forgiveness, Deductible Rewards, Safe Driving Bonus, or New Car Replacement to the policy — the premium gap vs Farmers only makes sense when the suite is in use.
- You drive a new or nearly-new vehicle and want New Car Replacement on the option list; Farmers does not bundle an equivalent in the same package.
- You weight AM Best A+ (Superior) specifically over A (Excellent) for counterparty strength; the September 2026 outlook revision to stable is the recent direction-of-travel signal.
- You live in New York and want a telematics program with no documented increase mechanic in your state — Drivewise explicitly excludes NY from the increase side.
Farmers — Price-first captive-agent shoppers and multi-line households
- You want a named local agent but publisher-modeled premiums near the national average — Farmers typically runs lower than Allstate at identical coverage.
- You value CoverageMyWay-style customization or Farmers' occupation-based discount depth over Allstate's bundled rewards suite.
- You are bundling multiple lines (home + auto + umbrella) and want the Farmers agent to assemble the package — multi-line stacking is central to Farmers' discount math.
- You want Signal telematics with similar two-way mechanics to Drivewise but through the Farmers agent relationship.
Quote both — Captive-agent-only shoppers in overlapping footprint
- Agent-first shoppers who want to decide between the two most-cited exclusive-agent national carriers at identical coverage — the price gap plus rewards-suite applicability will drive the answer.
- Shoppers evaluating telematics; both programs can raise rates in most states. Compare each carrier's addendum for your state before enrolling in either.
- Multi-vehicle households weighing stacking at both carriers; Farmers' multi-vehicle plus occupation discount combinations can rival Allstate's rewards-suite value.
- Households with a mix of newer and older vehicles — Allstate New Car Replacement for the new one, Farmers' lower-premium quote on the older one, written as two separate quotes is worth testing.
Get real quotes from Allstate and Farmers on your own profile.
Compare car insurance quotesCommon questions
Is Allstate or Farmers cheaper?
Publisher modeled rates in 2026 consistently show Allstate above the national average (NerdWallet ~$3,163/yr; U.S. News ~$3,501/yr), while Farmers tends to anchor closer to the national average. These are modeled rates, not personalized quotes; your specific quote varies by state, ZIP, vehicle, and driving history. Farmers typically wins the headline-price contest on identical coverage; Allstate's rewards suite can justify the premium only when it's actually used.
Which has better financial strength?
Allstate carries AM Best A+ (Superior) with a stable outlook as of September 2, 2026 (upgraded from negative outlook). Farmers Group members carry A (Excellent) with a stable outlook per the most recent AM Best action. Both are strong; Allstate sits one tier higher on the FSR scale.
Does Farmers have anything equivalent to Accident Forgiveness?
Farmers publishes accident-forgiveness-style options as part of its coverage customization menu, but it is not bundled with multiple rewards (Deductible Rewards, Safe Driving Bonus, New Car Replacement) the way Allstate packages its rewards suite. Confirm which specific accident-forgiveness variant your Farmers agent is quoting before relying on it.
Does Signal work the same way as Drivewise?
Both are smartphone-based telematics programs with two-way rate mechanics in most states. Allstate's Drivewise explicitly excludes New York from the increase mechanic; Farmers' Signal state carve-outs are negotiated through the agent at enrollment. The exact surcharge rules in your state live in each carrier's state program materials and should be read before enrolling in either program.
Which should an agent-first shopper quote first?
If you want the lowest headline premium at identical coverage, start with Farmers. If you drive a new or nearly-new vehicle and want New Car Replacement, or if you have an accident risk you take seriously and want Accident Forgiveness as a bundled option, start with Allstate. Either way, running both is cheap — the economic answer depends on which carrier's distinctive endorsements map to your actual needs.
Sources & methodology
- TIER 1AllstateAM Best: Affirms Credit Ratings of The Allstate Corporation and Core Subsidiaries (September 2, 2026); FSR affirmed at A+ (Superior); Long-Term ICR affirmed at "aa-" (Superior); outlooks revised to stable from negative (AM Best)
- TIER 1AllstateAllstate: Drivewise overview (enrollment via Allstate mobile app; up-to-10% initial discount; full-participation savings requirements; rate can increase for risky behavior except NY) (Allstate)
- TIER 1AllstateAllstate: Drivewise Frequently Asked Questions (behaviors evaluated for pricing; app plus location services; participation requirements) (Allstate)
- TIER 1AllstateAllstate: Accident Forgiveness (optional; rates will not go up after an accident, even if it is at-fault) (Allstate)
- TIER 1AllstateAllstate: Deductible Rewards (optional; $100 off deductible per accident-free year, up to $500; $100 credit at sign-up) (Allstate)
- TIER 3AllstateNerdWallet: Allstate Auto Insurance Review (April 2026 modeled full-coverage rate ~$3,163/yr against a $2,315 national average) (NerdWallet)
- TIER 3AllstateU.S. News & World Report: Allstate Car Insurance Review (August 2026 modeled full-coverage rate ~$3,501/yr against a $2,554 national average) (U.S. News & World Report)
- TIER 3AllstateAgency Checklists: NAIC 2025 Market Share, Top 25 Private Passenger Auto Insurers (secondary reporting of NAIC 2025 direct-premiums-written data; Allstate ~10.15% share, fourth) (Agency Checklists)
- TIER 2AllstateJ.D. Power: 2025 U.S. Auto Insurance Study (press release landing page) (J.D. Power)
- TIER 3AllstateInsurance.com: J.D. Power 2025 Auto Insurance Study recap (regional and category rankings, including Allstate's highest regional standing tied with GEICO in Florida) (Insurance.com)
- TIER 1AllstateNAIC: Consumer Information Source (complaint index methodology; per-company, per-state complaint indices) (National Association of Insurance Commissioners)
- TIER 1FarmersAM Best: Credit Rating Affirmation for Farmers Insurance Group (Sept 3, 2026) (AM Best)
- TIER 1FarmersFarmers Corporate: Exchange Update (ownership and corporate structure) (Farmers Insurance)
- TIER 1FarmersFarmers Corporate: Companies in the Farmers Group (Farmers Insurance)
- TIER 3FarmersInsurance Journal: Farmers Agency Ownership Expansion and Elite Owner Program (March 2026) (Insurance Journal)
- TIER 3FarmersTop Class Actions: Farmers 1.1M Policyholder Data Breach via Salesforce (Sept 2025) (Top Class Actions)
- TIER 3FarmersInsurance Journal: Farmers Market Reduction Notice in Florida (July 2023) (Insurance Journal)
- TIER 3FarmersInsurance Journal: Farmers Lifts California Homeowners New-Business Cap (Nov 2025) (Insurance Journal)
- TIER 3FarmersNerdWallet: Farmers Auto Insurance Review 2026 (NerdWallet)
- TIER 3FarmersU.S. News: Farmers Car Insurance Review for 2026 (U.S. News)
- TIER 3FarmersValuePenguin: Farmers Insurance Review and 2026 Rate Study (ValuePenguin)
- TIER 3FarmersWalletHub: Farmers Signal Telematics Review (WalletHub)
- TIER 3FarmersWalletHub: Farmers Insurance Discounts (WalletHub)
- TIER 2FarmersJ.D. Power 2025 U.S. Auto Insurance Study (regional segment reporting; aggregated via Insurance.com) (J.D. Power)
- TIER 2FarmersJ.D. Power 2025 U.S. Auto Claims Satisfaction Study (J.D. Power)
- TIER 1FarmersNAIC Consumer Information Source (per-entity complaint and financial lookup) (National Association of Insurance Commissioners)
Every pivot and matrix cell on this page traces to a source listed above, with the provider tag identifying which ProviderReviewFacts record authored the claim. Shared sources (e.g. NAIC Consumer Information Source, J.D. Power press-release landing pages) are attributed to both providers and anchor against the alphabetically-first provider's slug.