What is covered under state farm homeowners insurance

Bottom line: Well-established insurer with a lengthy list of coverage options.

Table of Contents Show

State Farm home insurance pros and cons
How State Farm home insurance rates
State availability
State Farm home insurance coverage
State Farm home insurance rates
Consumer complaints
State Farm home insurance consumer experience
Other home insurance companies to consider
What are 2 things not covered in homeowners insurance?
What 4 things are covered with homeowners insurance?
What are the 6 categories covered by homeowners insurance?
What 3 things does homeowners insurance cover?

Complaints: Fewer than expected.

Discounts: Average set of discounts.

Coverage options: More than average.

Founded in 1922, State Farm is now the largest homeowners insurance company in the U.S. The insurance giant also sells other policies, including renters, car, life and umbrella insurance, online and through a network of more than 19,000 agents nationwide.

How we rate homeowners insurance companies

Our star ratings are based on consumer complaint data from the National Association of Insurance Commissioners; financial strength grades from AM Best; coverage and discounts available; and the overall consumer experience. See our criteria for evaluating home insurance companies.

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State Farm home insurance pros and cons

Pros

Cons

User-friendly website.

Lack of discounts compared to other insurers.

Agents offer personalized service.

Low customer complaint ratio.

How State Farm home insurance rates

State Farm homeowners insurance earned 4 stars out of 5 for overall performance. NerdWallet’s ratings are determined by our editorial team. The scoring formula takes into account coverage and discounts, ease of filing a claim, website transparency, financial strength, complaint data from the National Association of Insurance Commissioners and more.

State availability

State Farm sells homeowners insurance to new policyholders in Washington, D.C., and every state except Massachusetts and Rhode Island.

State Farm home insurance coverage

You can customize your homeowners policy with numerous add-ons, but below are the types of coverage that generally come standard:

Type of coverage

What it does

Dwelling

Pays to repair or rebuild the structure of your home.

Other structures

Covers damage to unattached structures such as a shed or fence.

Personal property

Pays to repair or replace personal belongings such as furniture or clothing.

Loss of use

Pays for hotel stays, restaurant meals or other expenses if you have to live elsewhere while your home undergoes covered repairs.

Personal liability

Covers legal expenses and damages if you're responsible for injuries to other people or their property.

Medical payments

Covers injuries to guests in your home, regardless of fault.

In addition to this standard coverage, State Farm offers a number of add-ons for its homeowners policies.

The “increased dwelling limit” automatically extends your replacement coverage up to 20%, as long as you’ve insured your home at least up to its estimated replacement cost. You won’t pay anything to add this to your policy.

Say State Farm estimates that your home will cost $200,000 to rebuild, so that’s how much dwelling coverage you’ve selected on your policy. If a disaster strikes your area and construction costs go up accordingly, State Farm will automatically pay up to 20% more — or a total of $240,000 — to rebuild your home.

Other add-ons that come with an extra charge include :

Backup of sewer or drain coverage.
Identity fraud, cyberattacks and cyber extortion coverage.
Earthquake coverage.
Liability coverage for those providing in-home child or adult care, and for those working as nurses.
Coverage for structures located outside the premises of your home.
Home rental coverage for homes that are rented out more than 30 nights a year.
Liability coverage for libel, slander or other personal injury claims.
Service line coverage for damaged underground utility lines.
Coverage to replace a damaged water heater, air conditioner or heating unit with a more energy-efficient model.
Coverage for theft, vandalism or broken glass if your home is left vacant more than 30 days.
Reimbursement for certain costs related to building codes or zoning laws.
Various coverage for homes under construction, including theft of building materials and liability in a temporary home.
Coverage for the breakdown of home systems, such as furnaces and air conditioning units.
Incidental business coverage for people who work from home.
Coverage for your portion of a loss that affects all members of a homeowners association.
Liability coverage for damage to other people’s property due to a waterbed.

Before opting in to any of these coverage options, be sure to read the fine print or ask your agent to talk you through any limitations and exclusions.

State Farm home insurance rates

NerdWallet compared State Farm’s average annual rates for homeowners insurance to those of four major competitors in ZIP codes across the U.S. State Farm was the cheapest option in our mini analysis, with an average annual rate of $1,529 — $255 less than the national average of $1,784 per year. Below are average rates for a few other major U.S. insurers.

Company

Average annual rate

State Farm

$1,529.

Allstate

$1,632.

Farmers

$2,066.

Nationwide

$2,207.

USAA*

$1,724.

*USAA homeowners insurance is available only to active-duty military members, veterans and their families.

Our sample rates were calculated for 40-year-old homeowners with a $1,000 deductible, $300,000 in dwelling coverage and $300,000 in liability insurance. Your own rates will be different.

Discounts

State Farm has a limited lineup of homeowners discounts, and they vary by state. Depending on where you live, you might be able to apply these discounts to your policy:

Multiple line discount for bundling policies from State Farm.
Protective device discount for installing home monitoring systems, such as burglar or smoke alarms.
Discount if your roof is made of specific impact-resistant materials, like Class 4 shingles.

Consumer complaints

State Farm had fewer than the expected number of complaints to state regulators relative to its size for home insurance, according to three years’ worth of data from the National Association of Insurance Commissioners.

State Farm home insurance consumer experience

Website: State Farm’s website is intuitive and user-friendly, allowing you to get a quote or file a claim online right from the homepage. You can also track your State Farm homeowners claim online. The company’s “find an agent” tool is equally easy to use if you need to talk through an issue with a live person.

One nice feature is the ability to quickly access certain tasks — including paying your bill, enrolling in autopay and getting your ID cards — without having to log in with a password.

There’s plenty of useful information for homeowners on the State Farm site, though it sometimes takes a little scrolling to find. Keep an eye out for the Simple Insights section of the site for in-depth tips.

App: The State Farm mobile app lets you view policy information, file a claim and make payments in a variety of ways, including with Apple or Android Pay. If you use State Farm’s banking or investing services, you can also access those on the app.

Claims: You can file a claim online, on the mobile app, by calling 800-SF-CLAIM or by contacting your agent. Once the claim is in progress, you can track it online or in the app. Payment may come via direct deposit or check.

Customer service: Got questions? You can reach out to a local agent, fill out an email form, use the company’s chatbot or call 800-782-8332.

Other home insurance companies to consider

If State Farm isn’t quite the right fit, look at these similar homeowners insurance companies:

Frequently asked questions

What other insurance does State Farm offer?

State Farm sells a wide range of coverage options, including car, umbrella, life, renters, boat, business and other insurance. The company also offers checking, savings and CD accounts, traditional and Roth individual retirement accounts, credit cards, home loans, annuities and other financial products.

Does State Farm insure homes with pit bulls?

State Farm does not have restrictions on which dog breeds it will insure. Instead, it looks at each individual dog’s bite history to determine coverage. Learn more about dog bites and homeowners insurance.

Does State Farm insure mobile homes?

Yes, State Farm offers manufactured home insurance that covers the building structure, your belongings and personal liability. To learn more about your options, see NerdWallet’s guide to mobile home insurance.

Does State Farm home insurance cover mold?

State Farm homeowners policies generally do not cover mold-related damage or losses, except in those states where some limited mold coverage is required.

What are 2 things not covered in homeowners insurance?

Termites and insect damage, bird or rodent damage, rust, rot, mold, and general wear and tear are not covered. Damage caused by smog or smoke from industrial or agricultural operations is also not covered. If something is poorly made or has a hidden defect, this is generally excluded and won't be covered.

What 4 things are covered with homeowners insurance?

A standard policy includes four key types of coverage: dwelling, other structures, personal property and liability. If your home is damaged by a covered event, like strong winds, dwelling coverage can help pay to repair it.

What are the 6 categories covered by homeowners insurance?

Generally, a homeowners insurance policy includes at least six different coverage parts. The names of the parts may vary by insurance company, but they typically are referred to as Dwelling, Other Structures, Personal Property, Loss of Use, Personal Liability and Medical Payments coverages.

What 3 things does homeowners insurance cover?

Key Takeaways. Homeowners insurance policies generally cover destruction and damage to a residence's interior and exterior, the loss or theft of possessions, and personal liability for harm to others. Three basic levels of coverage exist: actual cash value, replacement cost, and extended replacement cost/value.