Progressive vs State Farm Car Insurance
The two largest U.S. private-passenger auto insurers, within 4 basis points of each other on NAIC 2025 market share, running almost opposite distribution philosophies. State Farm's exclusive-agent network and mutual structure fit the shopper who wants a named local relationship; Progressive's hybrid direct + independent-agent channel and feature-rich coverage menu fit the shopper who wants to compare across modes. Both AM Best FSR Superior, but State Farm's November 2025 downgrade from A++ to A+ moved them to the same letter grade.
Progressive reviewed 2026-09-28; State Farm reviewed 2026-09-28; this comparison reviewed 2026-10-02.
At a glance
| Dimension | Progressive | State Farm |
|---|---|---|
| Parent / entity | The Progressive Corporation (NYSE: PGR); publicly-traded. HQ Mayfield Village, Ohio. | State Farm Mutual Automobile Insurance Company (mutual holding structure). HQ Bloomington, IL. |
| Category | National mass-market | National mass-market |
| Distribution | Direct + independent agent | Exclusive agent |
| Footprint | National (all 50 states + DC) | National (all 50 states + DC) |
| AM Best FSR | A+ (Superior); outlook StableTIER 1 | A+ (Superior); outlook StableTIER 1 |
| AM Best affirmation | 2026-05-01 | 2025-11-14 |
| Market share (NAIC) | 18.6% (rank 2, 2024) | 18.64% (rank 1, 2024) |
| Telematics program | Snapshot — can raise rate | Drive Safe & Save — can raise rate |
Where these two actually differ
Hybrid direct + independent agents vs exclusive agent-first
Progressive supports direct (web, app, phone), independent agents, and Name Your Price shopping in parallel — one quote flow across modes. State Farm is exclusive-agent-first with roughly 19,000 named local agents. The direct-vs-agent choice drives the shopping experience more than any single discount; State Farm's model routes many servicing and claim-handoff interactions through the agent, while Progressive supports self-service through to bind.
Progressive publishes gap-equivalent and Deductible Savings Bank; State Farm does neither
Progressive's add-on menu includes Loan/Lease Payoff (gap-equivalent, up to 25% of ACV), Deductible Savings Bank ($50 credit per claim-free six-month period), Pet Injury automatically bundled with collision ($1,000 limit), and Custom Parts and Equipment up to $5,000. State Farm's auto page explicitly states gap insurance is not part of its menu and is typically offered by the auto loan provider. If gap, custom parts, or deductible-decay-over-time matters, Progressive is the structural fit.
Snapshot vs Drive Safe & Save: both can raise premium
Snapshot (app or plug-in device): Progressive publishes average $164 sign-up and $328 completion discounts and explicitly discloses "only about 2 out of 10 drivers actually get an increase." Not available in California; sign-up discount not in Hawaii or New York. Drive Safe & Save (app + Bluetooth beacon): up to 30% documented maximum discount, premium re-adjusted at each renewal using up to 12 months of data; if mileage exceeds 7,500/yr, premium may increase. Not available in CA/MA/RI; conditional in NC; capped at 30% in NY. Both carriers' telematics can raise premium — the comparison is Snapshot's larger published upside with transparent surcharge probability versus Drive Safe & Save's more mechanistic surcharge rules.
Both A+ (Superior) post the November 2025 State Farm downgrade
AM Best affirmed Progressive at A+ (Superior) and "aa" ICR on May 1, 2026 with stable outlook, citing $11.3B 2025 net income (vs $8.5B 2024). AM Best downgraded State Farm from A++ to A+ on November 14, 2025, moving both carriers to the same FSR letter. State Farm's downgrade cited adverse underwriting in auto and homeowners; Progressive's affirmation cited lower auto accident frequency and favorable prior-year development. Both outlooks are stable; neither should raise a counterparty concern.
Regional satisfaction: Progressive below top tier; State Farm top 10 across regions
Trade-press reporting on the 2025 J.D. Power U.S. Auto Insurance Study places Progressive consistently below State Farm, GEICO, and Allstate across regions. State Farm ranked No. 1 in the Northwest (648) and remained in the top 10 in every region on Overall CSI. Both carriers write personal auto through multiple separately rated subsidiaries; NAIC complaint indices are reported per-entity per-state — the per-state lookup is the reliable number, not any aggregated national index.
Telematics side by side
Progressive
Program Snapshot
Tracks hard_braking, acceleration, phone_use, mileage, time_of_day
Can raise rate? Yes
Enrollment max Average sign-up discount of $164 per Progressive's own Snapshot page
Renewal max Average program-completion discount of $328; usually applies at the six-month policy renewal following enrolment
State exclusions CA
Progressive itself states that "your rate may increase with high-risk driving" and that "only about 2 out of 10 drivers actually get an increase." Not available in California. The sign-up discount is not available in Hawaii or New York; Progressive excludes NC/HI/NY/MT from its Snapshot savings claims. Progressive explicitly advises drivers to "avoid driving between 12 a.m. and 4 a.m. on weekends." Phone use is only considered in some states and when you choose the mobile app rather than the device.TIER 1
State Farm
Program Drive Safe & Save
Tracks acceleration, hard_braking, cornering, phone_use, speed, mileage
Can raise rate? Yes
Enrollment max Initial discount for enrolling
Renewal max Up to 30% based on how you drive; some states permit above 30%; New York capped at 30%
State exclusions CA, MA, RI
State Farm re-adjusts premium at each policy renewal (typically every six months) using up to the prior 12 months of data. The adjustment CAN be a discount OR a surcharge. State Farm specifically notes that if mileage exceeds 7,500 miles annually, premium may increase. That is a meaningful difference from telematics programs that only offer a discount. Not available in California, Massachusetts, or Rhode Island; a discount may not be available in North Carolina depending on individual facts. Enrollment uses the State Farm mobile app plus a mailed Bluetooth beacon paired with the app. Tracked behaviors include acceleration (described as starting fast off the line), braking (fast, hard stops), cornering (quick, sharp turns), phone distraction (defined as phone moving while vehicle moving and screen on), speed over posted limit by 8+ mph, and annual mileage.TIER 1
Financial strength
Progressive
AM Best FSR A+ (Superior)
Long-Term ICR aa (Superior)
Outlook Stable
Affirmed 2026-05-01
AM Best affirmed FSR A+ (Superior) and Long-Term ICR "aa" (Superior) of The Progressive Corporation and its members on May 1, 2026, stable outlook. The affirmation cited an increase in underwriting profit in 2025 driven by lower personal and commercial auto accident frequency, lower weather-related catastrophe losses, and favorable prior-accident-year development, with the group reporting $11.3B in net income in 2025 vs $8.5B in 2024. A+ (Superior) is one tier below A++.TIER 1
State Farm
AM Best FSR A+ (Superior)
Long-Term ICR aa (Superior)
Outlook Stable
Affirmed 2025-11-14
MATERIAL RATING EVENT: On November 14, 2025, AM Best DOWNGRADED the Financial Strength Rating of State Farm Mutual Automobile Insurance Company and its affiliates to A+ (Superior) from A++ (Superior), and downgraded the Long-Term ICR to "aa" (Superior) from "aa+" (Superior). Outlook was revised to stable from negative. AM Best attributed the action to a revision in the group's operating performance assessment to adequate from strong, reflecting adverse underwriting experience in private-passenger auto and homeowners, a challenging regulatory environment, and elevated weather-related losses. A+ (Superior) remains a strong rating in absolute terms; the direction of the change is the honest context to attach to it.TIER 1
Coverage differences
| Coverage | Progressive | State Farm |
|---|---|---|
| Collision | — | OfferedDamage to your vehicle from an impact with another vehicle or object. |
| Comprehensive and collision | OfferedOptional first-party coverages. | — |
| Comprehensive | — | OfferedNon-collision damage (theft, vandalism, weather, animal strikes). |
| Custom Parts and Equipment (CPE) | OfferedReimbursement for covered custom modifications, subject to $5,000 limit. | — |
| Deductible Savings Bank | Offered$50 credit toward collision or comprehensive deductible for each violation- and claim-free six-month policy period. | — |
| Loan/Lease Payoff (gap-equivalent) | OfferedUp to 25% of the vehicle's actual cash value if totaled while you still owe on it. | — |
| Medical payments (Med Pay) | OfferedOptional in most states. | — |
| Pet Injury Coverage | OfferedAutomatically included when you add collision; $1,000 limit for veterinary expenses if your pet is injured in a covered accident. | — |
| Personal injury protection (PIP) | OfferedOffered in some states. | — |
| Rental Car Reimbursement | OfferedUp to policy limits during covered repairs. | — |
| Emergency road service / car rental & travel expenses coverage / rideshare driver (select states) | — | OfferedCommonly-bundled endorsements. Availability, limits, and state-specific rules vary; confirm with a State Farm agent. |
| Renters insurance add-on | OfferedAvailable in select states to bundle renters coverage into a single policy. | — |
| Rideshare coverage | OfferedAvailable as add-on for policyholders logged into rideshare or delivery apps, offered in select states. | — |
| Roadside Assistance | OfferedTowing, lock-out, tire changes, fuel/fluid delivery. | — |
| Trip Interruption | OfferedIn states where available: $500 daily max with $100 lodging / $50 transportation / $50 food per day. | — |
| Vehicle Protection | OfferedCovers major system repairs, minor dents/dings, and lost/stolen keys for vehicles under 7 years old also carrying liability + comprehensive + collision. | — |
| Gap coverage | — | Not offeredNOT offered by State Farm on the main auto page. State Farm suggests the reader's auto loan provider is the usual source for this coverage. If you finance or lease a vehicle and expect the lender to require gap-style coverage, verify with your lender that a third-party gap product is acceptable. |
| Bodily injury and property damage liability | OfferedState minimums vary; higher limits generally available. | OfferedState minimum limits vary; higher limits generally available. |
| Uninsured / underinsured motorist | OfferedRequired or optional depending on state. | OfferedRequired or optional depending on state. |
Dated events that specifically move this matchup
Affects State FarmState Farm AM Best downgrade: FSR A++ → A+ (Superior)2025-11-14
Downgrade moves State Farm to the same FSR letter as Progressive. Adverse underwriting experience in auto and homeowners cited; outlook revised to stable from negative.TIER 1
Affects ProgressiveProgressive AM Best affirmation A+ (Superior) / "aa" ICR; outlook stable2026-05-01
$11.3B 2025 net income (vs $8.5B 2024); affirmation cited lower auto accident frequency and favorable prior-accident-year development.TIER 1
Who should quote each
Progressive — Coverage-breadth, hybrid channel, Snapshot-curious
- You want gap-equivalent (Loan/Lease Payoff), Deductible Savings Bank, Pet Injury with collision, or Custom Parts coverage — Progressive publishes all of them.
- You want to shop both direct and independent-agent channels in parallel; Progressive supports both natively.
- You are a demonstrably safe driver willing to accept Snapshot's larger upside ($328 avg completion) and the disclosed ~2-in-10 surcharge probability.
- You are shopping after a DUI — independent same-profile analyses in 2026 showed Progressive dramatically cheaper post-DUI.
State Farm — Agent-first, mutual structure, discount breadth
- You want a named local State Farm agent for policy servicing and claim handoff, and are willing to trade a direct-only experience for that relationship.
- You have a student in the household who qualifies for Good Student up to 25%, or a vehicle with factory passive restraints eligible for up-to-40% on medical-related coverage.
- You prefer the mutual (policyholder-owned) structure over Progressive's publicly-traded structure.
- You want to bundle auto with State Farm homeowners, renters, or life; State Farm bundle averages are a core discount.
Quote both — Standard profiles and shoppers weighing coverage breadth vs channel
- Clean-record adult standard profiles where the price gap at the same coverage is small and channel fit becomes the deciding factor.
- Shoppers evaluating telematics — both programs can raise rates; the DriveEasy-vs-Snapshot analogue here is Snapshot's larger ceiling and transparent surcharge probability vs Drive Safe & Save's mechanistic mileage-triggered increase.
- Multi-vehicle households where either carrier's multi-car discount could be the swing variable at identical coverage.
- Shoppers in NY, where Snapshot's sign-up discount is unavailable AND Drive Safe & Save is capped at 30% — compare the actual state addenda before enrolling in either.
Get real quotes from Progressive and State Farm on your own profile.
Compare car insurance quotesCommon questions
Who has more market share, Progressive or State Farm?
NAIC 2025 full-year direct-premiums-earned show State Farm at 18.64% and Progressive at 18.60% — essentially tied. On a trailing-twelve-month basis ending March 31, 2026, S&P Global Market Intelligence estimated Progressive briefly passed State Farm in private direct premiums written for the first time. Neither carrier has a dominant lead.
Snapshot vs Drive Safe & Save: which is riskier?
Both can raise premium. Snapshot's published ceiling is larger ($328 avg at program completion), and Progressive publicly discloses that about 2 in 10 drivers get an increase. Drive Safe & Save's surcharge mechanic is more mechanistic — State Farm notes that if annual mileage exceeds 7,500 miles, premium may increase, and re-adjusts premium at each renewal using the prior 12 months. If your driving is consistently safe and your mileage is low to moderate, Snapshot's upside is larger; if your mileage runs high, Drive Safe & Save's mileage-triggered surcharge is a specific exposure to plan for.
Does Progressive offer gap insurance?
Yes, as Loan/Lease Payoff — up to 25% of the vehicle's actual cash value. State Farm's auto page states that gap insurance is not part of its coverage menu. If gap matters to you, Progressive is the structural fit.
Did State Farm really lose its A++ rating?
Yes. On November 14, 2025 AM Best downgraded State Farm from A++ (Superior) to A+ (Superior) and from "aa+" ICR to "aa" ICR, with outlook revised to stable from negative. AM Best cited adverse underwriting in auto and homeowners. State Farm's FSR is now the same letter as Progressive's.
Can I shop Progressive through an agent?
Yes. Progressive supports a substantial independent-agent channel in parallel with its direct channels (web, app, phone). State Farm is exclusive-agent-first — the agent you work with is a State Farm employee, not an independent broker.
Should I quote both?
If you are open to either an agent-channel or a direct/hybrid experience, yes. The channel fit tends to dominate; coverage-breadth differences (gap, Deductible Savings Bank, custom parts) are the second-order consideration that may make Progressive the right fit even for an agent-preferring household.
Sources & methodology
- TIER 1ProgressiveAM Best: AM Best Affirms Credit Ratings of The Progressive Corporation and Its Subsidiaries (May 1, 2026 affirmation) (AM Best)
- TIER 1ProgressiveProgressive: Snapshot program page (behaviors tracked, published averages, state availability) (Progressive)
- TIER 1ProgressiveProgressive: Auto insurance discounts page (Progressive)
- TIER 1ProgressiveProgressive: Auto insurance coverages page (Progressive)
- TIER 3ProgressiveNerdWallet: Progressive Car Insurance Review (September 2026 modeled rates) (NerdWallet)
- TIER 3ProgressiveValuePenguin: Progressive Insurance Review (modeled full-coverage rate) (ValuePenguin)
- TIER 1ProgressiveInsurance Information Institute: Facts + Statistics: Auto Insurance (NAIC private-passenger market share, most recent year) (Insurance Information Institute)
- TIER 3SharedAgency Checklists: NAIC 2025 Market Share, Top 25 Private Passenger Auto Insurers (secondary reporting of NAIC 2025 direct-premiums-earned data) (Agency Checklists)
- TIER 2SharedS&P Global Market Intelligence: Progressive now No. 1 US private auto insurer for full 12 months, estimates show (May 2026, trailing 12 months ending March 31 2026) (S&P Global Market Intelligence)
- TIER 1ProgressiveThe Progressive Corporation: Form 10-K, fiscal year 2025 (SEC EDGAR) (U.S. Securities and Exchange Commission)
- TIER 2ProgressiveCarrier Management: Why Progressive's Customer Scores Lag State Farm, GEICO (secondary reporting on 2025 J.D. Power U.S. Auto Insurance Study) (Carrier Management)
- TIER 2SharedJ.D. Power: 2025 U.S. Auto Claims Satisfaction Study (press release) (J.D. Power)
- TIER 2ProgressiveJ.D. Power: 2025 U.S. Insurance Digital Experience Study (press release) (J.D. Power)
- TIER 1SharedNational Association of Insurance Commissioners: Consumer Information Source (complaint index lookup by insurer) (NAIC)
- TIER 1State FarmAM Best: Downgrades Credit Ratings of State Farm Mutual Automobile Insurance Company and Affiliates (November 14, 2025) (AM Best)
- TIER 1State FarmState Farm: Car insurance overview (coverage types; statement that gap insurance is not offered) (State Farm)
- TIER 1State FarmState Farm: Car insurance discounts page (Drive Safe & Save, Steer Clear, Good Student, Passive Restraint, others) (State Farm)
- TIER 1State FarmState Farm: Drive Safe & Save page (enrollment mechanics, tracked behaviors, discount and surcharge mechanics, state carve-outs) (State Farm)
- TIER 1State FarmState Farm: About Us (mutual company structure; ~19,000 agents) (State Farm)
- TIER 3State FarmNerdWallet: State Farm Car Insurance Review (September 2026 modeled rates) (NerdWallet)
- TIER 3State FarmValuePenguin: State Farm Insurance Review (modeled full-coverage rate) (ValuePenguin)
- TIER 2State FarmJ.D. Power: 2025 U.S. Auto Insurance Study (regional press release) (J.D. Power)
- TIER 3State FarmInsurance.com: J.D. Power's best and worst auto insurance companies for 2025 (secondary reporting of the 2025 Auto Insurance Study regional scores) (Insurance.com)
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.