State Farm vs. Texas Farm Bureau: Which Company is the Best Fit for You?

Quick Facts

• In general, Texas Farm Bureau offers cheaper rates than State Farm
• State Farm tends to be a much less expensive option for policyholders who live in rural neighborhoods
• Texas Farm Bureau offers more affordable premiums for policyholders who drive fewer than 12,000 miles yearly

State Farm or Texas Farm Bureau: Which Company has the Cheapest Car Insurance?

So, you're thinking about switching to a new insurance policy. With so many ads from all sorts of companies offering hefty savings, you're probably wondering exactly how much you might be able to save.

You might have narrowed it down to State Farm or Texas Farm Bureau as potential options, but between the two, which company has more affordable rates for car insurance?

Looking at the national average rates for both carriers, State Farm has average rates that are around 12% a month more expensive than those from Texas Farm Bureau.

However, that doesn't necessarily mean Texas Farm Bureau will be the less expensive option for every single driver. Auto insurance companies use a variety of complex algorithms to determine premiums, so depending on how clean your driving record is or how old you are (among many other factors), you could see wildly different prices from the ones above.

Wanting to know if State Farm or Texas Farm Bureau is really the right carrier for you? Keep on reading to see how average rates can change based on all of the factors we've mentioned above.

State Farm vs. Texas Farm Bureau: Average Car Insurance Rates by State

State Farm and Texas Farm Bureau only compete against each other in Texas, where State Farm offers the cheaper average prices. State Farm drivers tend to pay about $16 per month less on average compared to drivers who use Texas Farm Bureau for their car insurance.

But there's more to calculating auto insurance premiums than just where you call home. Read on to learn more.

Which is the Best Company For Young Drivers?

Teen drivers will almost always have the most expensive insurance prices of any group on the road. The reason is that teen drivers are statistically much more likely to get into accidents since they have less experience on the roads.

That being said, that doesn't mean that teen drivers have to just accept sky-high car insurance rates. Just look at the table above -- where 18-year-old drivers who have Texas Farm Bureau for their insurance pay over 35% less than those who use State Farm. It's worth noting that State Farm offers auto insurance in 51 different states compared to Texas Farm Bureau's one, which can skew the average premiums a bit, but the difference here is still considerable.

Even so, both carriers will offer you dramatically lower prices by the time drivers turn 25. For example, average premiums for State Farm policyholders lower about $200 and Texas Farm Bureau's rates decrease around $90 over that time.

Which is the Best Company for Retired Drivers?

Once you approach retirement age, you'll normally enjoy the most affordable insurance prices you'll ever see. You've been on the road for years, and all that experience pays off when it comes to your monthly premiums for car insurance.

But who has the best rates for retired drivers between State Farm and Texas Farm Bureau? Texas Farm Bureau gets the slight edge here, with average prices coming in at about $102 per month compared to State Farm's $111.

Which is the Best Company for Married Drivers?

You may not be aware, but auto insurance rates tend to be more affordable for married drivers than they are for single drivers. That's because policies for married couples typically cover more than one vehicle, which a lot of companies will give you a discount for.

For those who are single, the difference in average premiums between these two carriers is significant, with Texas Farm Bureau rates coming in at around 10% less than State Farm's. For married policyholders, the advantage is clear again - Texas Farm Bureau has the edge when it comes to average premiums.

State Farm or Texas Farm Bureau: Average Rates by Gender

Men are statistically more likely than women to get into collisions and file an insurance claim, which means they'll usually end up paying more for insurance than women.

With State Farm, women generally pay more than $10 a month less than men, and about $17 less with Texas Farm Bureau.

Looking at overall affordability, Texas Farm Bureau comes out as the lowest option for both genders, with average prices $16 less for men and $21 cheaper for women.

State Farm vs. Texas Farm Bureau: Compare State Minimum vs. Full Coverage Rates

*State minimum value indicates liability-only policies at each state's minimum bodily injury and property damage (BI/PD) limits

**Full coverage indicates state minimum BI/PD limits with collision and comprehensive coverages added to policy.

Auto insurance can be a complicated subject for most people. Everyone needs car insurance, but there are so many different coverages and limits that it can be hard to find the right policy for you.

But most policies end up falling into two different types of coverage -- liability coverage (which provides property damage and bodily injury coverage for other drivers and their passengers if you cause a collision) and full coverage (which includes two additional coverages -- collision and comprehensive -- alongside liability coverage).

Looking specifically at state minimum limits for liability insurance, Texas Farm Bureau has the edge, with average monthly rates coming in at $87. If you want a full coverage policy with the same state minimum limits, Texas Farm Bureau again has the edge, with policies averaging around $192 per month to State Farm's $216.

Is State Farm or Texas Farm Bureau Better for Drivers with Spotty Records?

It's no secret -- drivers with good records end up getting the best deals on their insurance. But that's not to say you can't save money if you don't have the best driving record, either.

You'll probably end up paying more with accidents and speeding tickets on your record, but which of these two companies offers the most affordable prices to drivers with spotty records?

Which Company is Best for Drivers with Speeding Tickets?

Policyholders with Texas Farm Bureau auto insurance policies don't report seeing their premiums increase after getting a ticket, but State Farm policyholders can expect to see their monthly bill increase by.

However, Texas Farm Bureau has cheaper prices for drivers in both categories, offering premiums that are $63 and $84 more affordable, respectively, compared to State Farm.

Which Company is Best for Drivers After an Accident?

State Farm drivers who get in an accident can expect to see their rates increase by just under 20%, while those who have insurance through Texas Farm Bureau will see about a 40% increase.

At the end of the day, the less expensive premiums come from Texas Farm Bureau, with average prices coming in at $114 compared to State Farm's $163.

Which Company is Best for Drivers with a DUI?

If you get a DUI charge, you can expect some pretty significant increases in your monthly car insurance bill -- typically a lot more than a collision or speeding ticket. Texas Farm Bureau drivers usually see a 76% climb in their insurance rates after a DUI charge, while State Farm will usually increase prices by around 25%.

State Farm has the overall cheapest rates for drivers with a DUI on their records at $179 a month, but it's worth noting that State Farm's average rates come from 51 states compared to just one for Texas Farm Bureau, so the data may be skewed slightly.

How does Credit Score Impact State Farm and Texas Farm Bureau Rates?

Often times, your credit score can be used as one of the variables to calculate your monthly car insurance premiums. This isn't true for everyone (for example, California and Hawaii are two states that ban the practice entirely), but it will come into play for quite a few policyholders.

Auto insurance carriers argue that those with good credit scores are more likely to pay their bills on time every month, which lowers the risk involved on their end, while the opposite is true for those with bad credit.

So, which company offers the best rates for drivers with poor, average, or good credit?

Which Company is Best for Drivers with Good Credit?

If you have a great credit score, Texas Farm Bureau will generally reward you the most for an "excellent" credit score. For policyholders with "excellent" credit scores, Texas Farm Bureau comes in nearly 24% cheaper. Drivers with "good" credit scores normally save about 3% with State Farm compared to average premiums from Texas Farm Bureau.

Which Company is Best for Drivers with Bad Credit?

Texas Farm Bureau typically offers lower prices than State Farm when it comes to drivers with bad credit. Drivers with "fair" credit pay around 1% a month less with Texas Farm Bureau compared to State Farm, and those with "poor" scores typically save an average of about 19% monthly.

Is State Farm or Texas Farm Bureau Better for Drivers who Work from Home or Have Short Commutes?

Did you know that the amount of time you spend in your car have a pretty big impact on your monthly rates? Usually, those who drive fewer miles will end up with less expensive prices since there's less of a chance of causing an accident and filing an insurance claim.

As you can see in the table above, annual mileage doesn't have much of an impact on how much Texas Farm Bureau charges. However, there's a small difference in monthly premiums for State Farm, with policyholders who drive the least paying around $13 less each month compared to those who drive 12,000 miles every year. Still, for drivers in both categories, Texas Farm Bureau is the cheaper carrier.

State Farm or Texas Farm Bureau: Compare Rates for Urban, Suburban, and Rural Drivers

Where you call home can play a sizable role in how much you pay for car insurance. Normally, those who live in rural areas will pay less than drivers in urban areas due to the small number of cars that are on the roads where they live.

Looking at these companies side-by-side, Texas Farm Bureau tends to offer the lowest option for drivers in urban and suburban areas, while State Farm wins in rural areas.

Those in rural areas can expect to save about 4% with State Farm compared to Texas Farm Bureau. People who live in suburban areas pay around 20% less with Texas Farm Bureau compared to State Farm. For policyholders in urban ZIP codes, Texas Farm Bureau Insurance's average prices are about 15% less than State Farm.

State Farm vs. Texas Farm Bureau Discounts

You want to save as much money as you can, right? The best way to do that is by utilizing as many auto insurance discounts as possible.

But where do you even start? With what seems like a million different discounts out there, it may be hard to find all the ones you can take advantage of.

Luckily, we did the hard work for you and compared all of the different discounts offered by State Farm and Texas Farm Bureau so that you can see which carrier can save you the most money each month.

State Farm blows Texas Farm Bureau away when it comes to the sheer amount of discounts available, offering 23 different discounts to Texas Farm Bureau's six.

A couple of those are overlapping for things like discounts for getting driver training, discounts for insuring multiple cars with the same company, and passive restraint discounts. State Farm also offers discounts for ABS, annual mileage, anti-theft, and more.

On the other hand, Texas Farm Bureau has a proprietary discount of their own -- a academic discounts.

Final Thoughts: Is State Farm or Texas Farm Bureau Best for You?

So, we've broken down the average rates for many of the factors insurance carriers look at, and walked through the different discounts each company offers, too. That's all well and good, but at the end of the day, which insurance carrier is the best company for you and your specific needs?

Texas Farm Bureau might be best for you if....

• You will be the only person on the car insurance policy.
• You're looking for the best premiums on liability only coverage.
• You want to save money while purchasing insurance for a teenager.

State Farm might be best for you if...

• Your driving record includes a DUI charge.
• You care about discounts (State Farm offers the most).
• Your neighborhood is in a rural area.

Hopefully, this guide has ben a valuable resource as you compare State Farm and Texas Farm Bureau and that you can now make a more informed decision when it comes to your auto insurance.

But, at the end of the day, there's only one way to know for sure that you're getting the best possible deal on insurance -- comparing quotes from a handful of companies, not just State Farm and Texas Farm Bureau. Luckily, sites like Compare.com do all the hard work for you. Simply enter your ZIP codes below and get free quotes from dozens of top auto insurance carriers in your area, all in just a few minutes.

State Farm vs. Texas Farm Bureau FAQs

Is State Farm or Texas Farm Bureau cheaper?

Texas Farm Bureau is the more affordable of the two companies when looking at national average prices, with policies averaging $139 per month with Texas Farm Bureau and $158 for State Farm. That being said, that doesn't mean Texas Farm Bureau will be the most affordable company for each policyholder, since there are a variety of different variables that come into play when it comes to your car insurance cost.

Who is better, State Farm or Texas Farm Bureau?

Unfortunately, the real answer is "it depends.". No one carrier is "better" for everyone -- it all boils down to your unique auto insurance profile. For example, Texas Farm Bureau is cheaper for drivers with excellent credit, while State Farm offers more affordable premiums for drivers with a recent DUI.

Why do State Farm and Texas Farm Bureau offer me different rates?

Insurance carriers use several different factors when determining the rates they charge. Things such as where your home is, gender, where you park your vehicle, age, and sometimes even things like your credit score can all be used. Both State Farm and Texas Farm Bureau calculate prices differently, so it's likely they'll offer different premiums. The best way to determine which company is the lowest for you is by comparing personalized quotes from several different companies.

How do I know if State Farm or Texas Farm Bureau is right for me?

The only way to find the car insurance carrier that's right for you is by getting quotes from several carriers and finding the one best suited for your individual budget. Luckily, sites like Compare.com make it easy for you to do just that. Just enter your area information and you'll get quotes from dozens of your local top insurance companies for free. With those, you can guarantee you're getting the best price. And maybe you'll find that the best company for you isn't State Farm or Texas Farm Bureau at all, but another you hadn't even thought of!

Methodology

All of the data referenced in this article has been gathered in collaboration with Quadrant Information Services. We analyzed more than 2.5 million rows of carrier-reported data to calculate the average rates referenced above. All rates are based on an insurance profile of a single-vehicle policy for a driver that owns a 2016 Honda Accord. For more information on how we calculate rates, please reference our data methodology.