As a leading auto and home insurer, Farmers Insurance Group holds an influential position in the insurance industry. Farmers provides policies to over 10 million households across the United States.
With such a large customer base, Farmers Insurance is closely monitored by insurance regulators. One of the ways regulators track insurance companies is by assigning a unique NAIC number
In this article I’ll explain what the Farmers Insurance NAIC number is, what purpose NAIC numbers serve and how consumers can leverage an insurer’s NAIC code.
What is the NAIC Number for Farmers Insurance Group?
The primary NAIC number for Farmers Insurance Group is 21628
This five-digit code is assigned by the National Association of Insurance Commissioners (NAIC) specifically to the Farmers Insurance Exchange. The Farmers Exchange is the central insurance subsidiary within Farmers Group.
However, because Farmers consists of multiple affiliated insurers, each company has its own NAIC number:
- Farmers Insurance Exchange – 21628
- 21st Century Insurance Company – 12963
- Foremost Insurance Company – 11185
- Bristol West Insurance Company – 38636
So the NAIC number on your specific Farmers policy depends on which group member underwrote the coverage. But Farmers Insurance Group as a whole is identified by NAIC 21628.
What is the Purpose of NAIC Numbers?
NAIC numbers serve several key purposes:
-
Unique Identifier – The NAIC number gives each insurance company a standardized, uniform form of identification that remains constant across different states.
-
Complaint Tracking – State insurance regulators log consumer complaints against companies by their NAIC number. This allows issues to be monitored across jurisdictions.
-
Financial Oversight – Insurers submit detailed financial filings under their NAIC number for solvency monitoring.
-
Consumer Lookup – Shoppers can verify that an insurer is legitimately registered by checking for an NAIC number.
-
Market Conduct Reviews – Regulators initiate examinations of company practices using the NAIC number for coordination.
So in short, NAIC numbers allow enhanced regulatory oversight of insurance companies like Farmers that operate regionally or nationally.
Where to Find Farmers Insurance Group’s NAIC Number
As a Farmers Insurance policyholder, you can find the NAIC number specific to your policy in a few places:
- Your insurance card or declarations page
- Farmers website – listed under “About Us” or “Contact Us”
- Calling Farmers customer service
- Official state website insurance lookup tool
Having this five-digit code can help you verify legitimate coverage and research any regulatory actions taken against Farmers Insurance Exchange or affiliates.
How Regulators Use NAIC Numbers to Monitor Insurers
While insurance is regulated at the state level, NAIC numbers facilitate coordination and information sharing between regulators across different jurisdictions. Examples include:
-
Licensing – Tracking insurer license authorizations by NAIC number.
-
Financial Analysis – Reviewing quarterly and annual statements filed under NAIC numbers to identify risks.
-
Complaints – Logging and analyzing consumer complaint patterns by NAIC number.
-
Enforcement – Noting regulatory orders or penalties against a company under its NAIC.
-
Market Conduct Exams – Initiating investigations of sales practices, underwriting, claims handling, etc. based on NAIC numbers.
So regulators essentially use NAIC numbers as a common language to oversee and discuss insurers like Farmers that operate in multiple states.
How Policyholders Can Leverage a Company’s NAIC Number
For insurance consumers, an insurer’s NAIC number empowers you to:
-
Verify an insurer is properly licensed in your state.
-
Look up complaint data based on NAIC number.
-
Confirm financial strength ratings, like AM Best, that derive from NAIC filings.
-
Avoid “ghost” insurers that lack a valid NAIC number.
-
File a complaint and provide regulators the NAIC number for tracking.
Let’s look at how we can use Farmers Insurance Exchange’s NAIC number 21628 specifically:
-
Search NAIC records to confirm Farmers Exchange is authorized to sell insurance.
-
Lookup complaint index data for Farmers Exchange by NAIC number.
-
Check AM Best rating of A (Excellent) based on Farmers’ NAIC financial submissions.
So while it may seem insignificant, an insurer’s five-digit NAIC number can provide policyholders with valuable information and peace of mind.
Is Farmers Insurance Financially Stable?
Analyzing the financial standing of insurers like Farmers is one way regulators utilize NAIC data. So how does Farmers Insurance Exchange (NAIC 21628) measure up?
-
A.M. Best Rating – A (Excellent)
-
NAIC Complaint Index – 0.65, lower than average
-
NAIC Solvency Monitoring – Passed 2022 review
This data indicates Farmers Exchange maintains strong financial health, generating profits to pay claims. The positive metrics can provide reassurance to policyholders.
Key Takeaways: Farmers Insurance Group’s NAIC Number
-
The primary NAIC number identifying Farmers Insurance Group is 21628, belonging specifically to the Farmers Insurance Exchange.
-
NAIC numbers allow enhanced regulatory oversight and coordination between jurisdictions.
-
Consumers can leverage an insurer’s NAIC number to verify licensure, research complaints, and confirm financial strength.
-
Farmers Insurance Exchange’s NAIC data shows strong financial standing and fewer-than-average consumer complaints relative to competitors.
So while it may seem insignificant, the NAIC number tells an important story. Understanding Farmers’ NAIC code provides valuable insight for both regulators and everyday policyholders.
Frequently Asked Questions
What is the NAIC number for Farmers Insurance?
The core NAIC number for Farmers Insurance Group is 21628, registered to the Farmers Insurance Exchange. Individual member companies have unique codes.
Where do I find the NAIC number for my Farmers policy?
Check your insurance paperwork, Farmers website, or call customer service to find the specific NAIC number for your policy.
Why do insurance companies have NAIC numbers?
State insurance regulators assign NAIC numbers for oversight tracking and coordination purposes across jurisdictions where an insurer operates.
How can I use Farmers Insurance’s NAIC number?
As a consumer, you can verify licensure, research complaints, check financial strength, avoid “ghost” insurers, and file complaints using the company’s NAIC number.
Is Farmers Insurance in good financial standing?
Yes. Farmers Insurance Exchange (NAIC 21628) maintains strong financial health based on solvency monitoring, profits, reserves, and expert ratings by agencies like A.M. Best.