Farmers Homeowners Insurance Review of 2023
- Available in 42 states
- Quote access: Online & by phone
Homeowners insurance is crucial for safeguarding your home and belongings. Although it may not be legally mandatory, your lender will require it to protect their interest in your home. Having sufficient coverage to rebuild your home, replace your possessions, and provide liability coverage should be a priority for every homeowner.
At PropertyNest, we understand that choosing the right homeowners insurance policy can be overwhelming. It's vital to consider various factors, including the financial security and reliability of the insurance company. Farmers Insurance has a long-standing reputation for providing excellent customer service and protecting consumers.
Our comprehensive review of Farmers homeowners insurance includes a detailed company history, an overview of its standard coverage, a comparison with other companies, and the benefits and drawbacks of selecting Farmers as your insurance provider. Trust us to help you make an informed decision and secure your peace of mind.
Farmers Homeowners Insurance Pros & Cons
- Farmers Insurance offers three tiers of coverage with additional coverage for high-value homes.
- The company has received top ratings for customer service and beats out many of its competitors with a lower-than-average volume of customer complaints.
- Companies such as AM Best have given Farmers Insurance high ratings for its financial strength and stability.
- The Farmers app is well-reviewed and may be used to file and track claims.
- There are many endorsements that you can add to personalize your coverage.
- There are five discounts to help you reduce the cost of homeowners insurance.
- Farmers Insurance offers both flood and earthquake insurance as add-ons.
- Farmers Insurance is not licensed in all 50 states.
- The average cost of homeowners insurance with Farmers is higher than the national average.
- Telephone support is on Central Time and not available 24 hours per day.
Farmers Insurance Financial & Customer Service Ratings
Looking at an insurance company’s financial and customer service ratings from independent resources can help you evaluate a company and decide whether to trust them with protecting your home.
At PropertyNest, we take ratings into consideration when reviewing insurance carriers because they are a useful barometer of the company’s stability, financial strength, claims-paying ability, and customer support.
High financial ratings indicate that the company can pay claims quickly and is unlikely to run into financial trouble and be unable to support policyholders.
Customer service ratings are equally as useful because they provide a window into what homeowners will experience if they need to file a claim.
Farmers Insurance has excellent financial and customer service ratings, with top ratings for financial strength and stability.
We should also note that Farmers Insurance has received a lower-than-average volume of customer complaints related to homeowners insurance.
Ratings are not the only thing to consider, but they are one way to evaluate an insurance company and avoid potential problems with claims payments or customer service.
|J.D. Power (out of 1,000)||792|
|A.M. Best - Financial Strength Rating||A|
|NAIC Complaint Index||0.56|
Farmers Insurance was founded by two friends, John C. Tyler and Thomas E. Leavey, back in 1927 after the two men met in California and discovered a shared belief that rural farmers, who had better driving records than city dwellers, deserved to pay lower rates for car insurance.
They borrowed money to get started, and by 1928, they had opened the doors to Farmers Automobile Inter-Insurance Exchange and, shortly thereafter, issued their first policy.
In 1988, Farmers was acquired by BATUS, Inc. Since that time, they have acquired other companies, including Foremost Corporation of America, 21st Century Insurance, and MetLife Auto & Home.
Through it all, the company has weathered financial hardships brought on by high-claim events such as the 1989 San Francisco earthquake and the 1991 Oakland fire.
One of the things that sets Farmers Insurance apart from other companies is their dedication to customer support; in 2005, after Hurricane Rita hit Beaumont Texas, Farmers sent more than 300 adjusters to assess the damage while providing generators and $100,000 for an emergency operations center.
Farmers Homeowners Insurance Overview
It’s not a legal requirement to buy homeowners insurance in any state, but insurance is a requirement of all lenders because it protects your home and the lender’s collateral.
Homeowners insurance policies provide homeowners with protection against an array of covered events that have the potential to damage or even destroy their home and personal belongings.
We recommend purchasing enough coverage to pay to rebuild your home from the ground up and to replace all personal belongings, plus additional coverage for personal liability and guest medical expenses.
Farmers Policies & Coverage
The standard homeowners insurance policy from Farmers Insurance includes the following basic coverages.
- Dwelling coverage provides protection for the structure of your house, including the foundation, roof, and windows, from damage caused by any covered event.
- Other structures coverage provides coverage for structures other than your home, such as fences, detached garages, sheds, or any other outbuildings on your property.
- Personal property coverage is what protects the personal belongings of anyone living in your home, including furniture, electronics, and clothing by providing money for you to replace them.
- Personal liability coverage shields you if someone is injured or their belongings are damaged while on your property and will pay for some of your legal expenses, as well.
- Guest medical coverage will pay for a portion of the medical bills if one of your guests is injured in your home.
- Additional living expenses coverage will pay for you and other residents of your home to live elsewhere if your home should become uninhabitable due to a covered event.
The above coverages are part of the standard policy, but Farmers offers an assortment of add-on coverages that you can take advantage of to customize your coverage and provide additional protection.
- Earthquake coverage will protect you against damage caused by an earthquake, and it’s a good idea to add it if you live in an area where earthquakes occur regularly.
- Flood insurance is available through the National Flood Insurance Program (NFIP) but may be purchased through Farmers and added to your homeowners insurance policy.
- A personal articles floater is necessary if you have valuable items such as artwork, jewelry, electronics, or furs that may exceed the limits of the standard homeowners insurance policy.
- Contents replacement cost coverage will increase the coverage for your personal belongings so that you can replace them at current prices.
- Umbrella coverage acts as a supplement to your liability coverage if a loss exceeds your liability limit.
- Identity theft protection pays for losses related to identity theft, and Farmers will allow you to add up to $28,500 in expenses and up to $1,500 in indemnity coverage, plus providing assistance with reporting ID theft and replacing lost documents.
Remember that each of the above add-ons will add to your total homeowners insurance premium and may put your total cost above the national average.
We strongly recommend purchasing flood insurance if your home is near the water and earthquake insurance if you live near a fault line.
The best way to choose add-ons and estimate your costs is to talk to a registered Farmers Insurance agent in your area.
Farmers Insurance Coverage Limits
The policy limits for homeowners insurance coverage are determined by using the replacement value of your home as a starting point.
Farmers Insurance doesn’t have a stated policy maximum to cap the limits of homeowners insurance, but they do offer three-tiered policies that allow homeowners to get the coverage they need.
- The Standard policy is the most basic type of coverage and is ideal for starter homes and new homeowners.
- The Enhanced policy is the mid-level policy and comes with additional coverage levels and higher limits than the Standard policy.
- The Premier policy is the highest tier and offers more coverage and protection than the other options, plus guaranteed replacement cost coverage in some situations. We should note that California residents can’t buy the Premier policy but have the Farmers Next Generation package as an alternative.
Talking to a Farmers agent can help you determine the right policy for your needs.
Farmers Insurance Discounts for Homeowners
Farmers Insurance provides a total of five discounts on homeowners insurance, and two are so easy to qualify for that most Americans will be able to take advantage of them.
- Security. If your home has an installed fire alarm or a security system that communicates directly with local authorities, you can get a discount on your homeowners insurance.
- Policy bundling. If you buy two or more insurance policies from Farmers, you can get a discount to help you save.
- Claims-free. Farmers will give you a discount if you have not filed a homeowners insurance claim for at least three years.
- No smoking. You’ll get a special discount if you and everybody else in your home is a non-smoker.
- Green construction. Farmers Insurance offers discounts for homes that are Energy Star, EPA, or LEED-certified.
Most homeowners should be able to qualify for the security and policy bundling discounts, which will allow for significant savings.
Many factors can impact the rates of homeowners insurance, including the location of your home, its size and value–and the cost to rebuild it–and the value of your personal belongings.
Farmers Insurance has a reputation for providing quality coverage, but the average cost of a homeowners insurance policy with Farmers is high compared to some other carriers.
The overall average cost of a Farmers homeowners insurance policy is about $2,000 per year, which works out to $165 per month; the cost may be higher or lower depending on which coverage you choose and where you live.
In most cases, the national average cost of homeowners insurance is between $1,500 and $1,800 per year, putting Farmers slightly above average.
One of the areas where Farmers Insurance excels is in the ease of filing a claim, something that can be done on their website or by using their mobile app, as well as by telephone.
Farmers has a dedicated toll free number to allow policyholders to file their claims by phone: 1-800-435-7764.
You’ll get the quickest response if you take the time to gather important information before filing your claim.
- Your policy number
- The date and time of the incident
- The nature of property affected by the event
- The location of the incident
- The cause of any damage
- Details regarding any injuries
- Your contact information
Once you have submitted a claim, you’ll get a claim number that can be used to track its progress on the website or using the mobile app, which you can do 24 hours a day.
If you used an agent to buy your policy, keep in mind you can also contact your agent for assistance regarding a claim.
Customer Service Options & Availability
It’s extremely important to buy your homeowners insurance from a company that prioritizes customer support and makes it easy to get help with your policy or with a claim.
Farmers Insurance has four customer support channels that policyholders can take advantage of.
Farmers Insurance has a toll-free customer support phone line that policyholders can help to get assistance.
You can call between 7:00 AM and 11:00 PM CST Monday through Friday or between 8:00 AM and 8:00 PM CST on weekends; make sure to note the time zone if you’re in another area of the country.
We should note they also have a dedicated line for Spanish-speaking policyholders, and customers who are hearing impaired can dial 711 to reach the Federal Telecommunications Relay Service.
Farmers Insurance has a well-designed website with a general FAQ and a separate section specifically for questions about homeowners insurance.
There are other written resources as well, including tips on protecting your home and information about their Policy Perks plan, which provides rewards for policyholders.
Farmers Insurance does not have a live chat option, but we’ll update this post if that changes.
Farmers Insurance has a free mobile app for policyholders, and you can download it from their website or find it in the Apple or Google Play store.
You can get support within the app and have the option to access the resource page or call tech support.
Farmers Insurance has more than 48,000 registered agents who can help consumers find the right coverage and buy a policy.
If you prefer to work with an agent, you can find one near you on the Farmers website, and agents are also available to provide customer support.
How Does Farmers Compare with Other Homeowners Insurance Companies?
Reading a review of a single insurance company can make it hard to accurately evaluate your options because you can’t see how they compare to other companies.
Here is our breakdown of how Farmers Insurance compares to two of its top competitors, Amica and Allstate.
Farmers vs. Amica Mutual
- Available in 48 states & Washington, D.C.
- Quote access: Online & by phone
Amica and Farmers are both well-respected companies with good ratings; Amica has slightly higher financial ratings than Farmers, while Farmers has a lower volume of customer complaints than Amica.
As we noted above, Farmers offers three tiers of coverage for homeowners insurance (Standard, Enhanced, and Premier), while Amica offers two (Standard Choice and Platinum Choice.)
Both companies offer the same standard coverages, including dwelling, other structures, alternative living expenses, personal liability, and guest medical coverage.
Amica does slightly better than Farmers in the cost department, with a monthly average of $140 compared to $165 for Farmers; they also pay dividends to policyholders.
Amica also offers more discounts than Farmers, with a total of eight, including discounts for electronic payments, claims free, and for buying a new or remodeled home.
Farmers homeowners insurance is available in 42 states, while Amica is available in all 50 states, which may make it the better choice for people who move frequently.
Both companies have useful websites and mobile apps, but we’ll give Amica a slight edge because they also have a live chat option on their website in addition to phone and mobile support.
|J.D. Power (out of 1,000)||849|
|A.M. Best - Financial Strength Rating||A+|
|NAIC Complaint Index||0.32|
Farmers vs. Allstate
- Available in 50 states & Washington, D.C.
- Quote access: Online & by phone
Allstate is one of the largest property insurers in the United States and has a solid reputation for providing reliable coverage.
Both companies have strong financial ratings, although Allstate has a slight edge over Farmers; but Farmers makes up for it with a significantly lower volume of customer complaints compared to Allstate.
Allstate offers a total of eight homeowners insurance discounts compared to Farmers Insurance’s five, and they include a welcome discount for new customers and a discount for first-time buyers.
Allstate offers many of the same customer support options as Farmers, with a toll-free customer support line, online resources, and a free mobile app; they do offer 24/7 phone support, while Farmers does not.
Both companies offer a wide array of add-on coverages to personalize your policy, but we give Farmers the edge because of their tiered policy system that comes with additional coverages for high-value homes.
We like that Allstate will work with their policyholders to facilitate flood claims through the National Flood Insurance Program; however, flood insurance must be purchased separately, while Farmers offers the option to buy it as an add-on.
Farmers Insurance has the advantage because Allstate’s average cost is $180 per month, higher than the national average and the average premium for Farmers.
Finally, both companies work with agents, and we would give Farmers the edge because it has more agents and because it’s still possible to get a quote online; with Allstate, you can start a quote online but need to contact an agent to finalize your quote and buy a policy.
Read a full Allstate homeowners insurance review.
|J.D. Power (out of 1,000)||815|
|A.M. Best - Financial Strength Rating||A+|
|NAIC Complaint Index||2.05|
Summary & Conclusion
Overall, our review of Farmers homeowners insurance leads us to conclude that they are a solid company with excellent customer service and reliable claims payments.
The two biggest issues with Farmers Insurance are that homeowners insurance costs are higher than the national average and that phone support is unavailable 24 hours a day.
We like Farmers for its wide array of add-on coverages, which include flood insurance, earthquake insurance, and replacement cost coverage for personal belongings.
We appreciate that Farmers Insurance offers five discounts and that one provides a break for homeowners who buy green homes or renovate their homes with green materials.
The Farmers mobile app is excellent, easy to use, and functional, allowing policyholders to change their coverage, file a claim, or track a claim’s progress.
Overall, we find Farmers Insurance to be a solid choice for homeowners in the 41 states that coverage is available, and an excellent choice for owners of high-cost homes who want to customize coverage.
We always recommend obtaining at least three quotes from three different carriers to ensure that you find the right coverage at an affordable price.