State Farm Insurance Reviews: What BBB Says About This Provider

When shopping for car insurance, it’s crucial to research companies thoroughly before choosing a provider. One great resource for unbiased reviews is the Better Business Bureau (BBB). Here, we’ll explore State Farm’s BBB profile, analyzing complaint data, customer reviews, and other key details to help you make an informed decision.

State Farm’s BBB Rating: C

State Farm currently holds an overall C rating with the BBB This mediocre score stems from

• High complaint volume relative to the company’s size

• Failure to resolve complaints in a timely manner

• Misleading sales and advertising practices

According to the BBB, ratings help consumers gauge a business’s trustworthiness and customer service track record. State Farm’s middling C grade indicates room for improvement.

BBB Complaint Data for State Farm

• 4,293 complaints filed in the last 3 years

• 1,893 complaints filed in the previous 12 months

• Most common complaints involve claim denial, unsatisfactory settlement offers, and billing/collection issues

• On average, State Farm responds to about 53% of complaints

• Just over half of complaints are resolved by the company

State Farm’s complaint volume is quite high for an insurance provider of its size. The number of grievances filed yearly also continues to rise.

An Analysis of State Farm’s BBB Customer Reviews

• 1,512 customer reviews in total

• Overall customer review rating of 1.21 out of 5 stars

• 78% of reviews rate State Farm just 1 star (lowest)

• Only 6% of customers give 3 stars or more

• Most complaints cite claim denial, lack of responsiveness, poor customer service

Clearly, the vast majority of State Farm policyholders who submit BBB reviews are extremely dissatisfied. Negative feedback predominates across review categories.

Common Pros and Cons in State Farm Reviews

Pros

• Competitive rate quotes

• Good selection of discounts

• Numerous local agent offices

Cons

• Denying valid claims over technicalities

• Lowball settlement offers that don’t cover repair costs

• Difficulty reaching adjusters and long response times

• Rude, unhelpful customer service staff

While State Farm offers affordable premiums upfront, many customers feel claims handling does not live up to expectations.

BBB Alerts for State Farm Insurance

The BBB maintains an alerts page highlighting concerning practices by businesses. State Farm current has one active alert regarding advertising issues:

• June 2022 alert regarding potentially misleading ads for State Farm Bank products

• Failure to clearly disclose associated costs, risks, and other important information

• Risk of customers misunderstanding terms due to omitted details

This warning indicates State Farm’s promotions do not always provide complete transparency.

Additional Context from the BBB State Farm Review Page

• In business for 102 years, since 1922

• Headquarters in Bloomington, IL

• Over 4,400 agents nationwide

• Writes auto, home, life, health, banking, and commercial policies

• Not BBB accredited

State Farm’s considerable experience and large national presence are positives. However, lack of BBB accreditation further contributes to their mediocre C rating.

Weighing the Pros and Cons of State Farm

Potential advantages of choosing State Farm include:

• National presence and long track record

• Competitive pricing and discounts

• In-person support from local agents

Potential drawbacks include:

• High volume of customer complaints

• Very low BBB customer review rating

• Allegations of claim denial and unsatisfactory claims resolution

To make the best choice, consumers must carefully balance State Farm’s strengths against concerning negatives like their poor BBB record.

Bottom Line: Thoroughly Research Before Buying Insurance

A company’s BBB profile provides invaluable insights you won’t find in advertisements or promotional materials. While State Farm offers affordable rates upfront, their service shortfalls highlighted at BBB raise red flags.

Our advice is to read State Farm’s full BBB record and weigh it against other providers with better ratings and complaint handling. An insurer’s responsiveness and fairness after an accident is just as crucial as monthly premium costs. By making an informed purchase decision, you’re more likely to have a smooth claims process and fulfilling customer experience.