Compare Travelers vs. State Farm: Quotes, Discounts (2023)

Travelers vs. State Farm: A Summary

When comparing car insurance policies from Travelers and State Farm, the two providers come pretty close to one another. While Travelers has higher insurance rates across the board, the insurer offers a wide range of coverage options that may appeal to certain drivers over State Farm’s insurance products.

Insurify Composite Score

The Insurify Composite Score (ICS) is a proprietary rating calculated by a team of data scientists at Insurify, weighing multiple factors that reflect the quality, reliability, and health of an insurance company.

Inputs to the score include financial strength ratings from A.M. Best, Standard & Poor’s, Moody’s, and Fitch; J.D. Power ratings; Consumer Reports customer satisfaction surveys and customer complaints; mobile app reviews; and user-generated company reviews.

Travelers

Travelers has paved the way for accident insurance in America since its 1864 founding. Continuing its series of industry firsts, the insurance provider went on to issue America’s first-ever car insurance policy in 1897.

The company has since expanded to provide 13 insurance coverage options for individuals, including boat and yacht insurance, jewelry and valuables coverage, wedding and event insurance, and travel insurance on top of the classic car, life, home, and renters insurance coverages. This wide range of coverage options is perfect for customers seeking to insure various belongings or bundle multiple policies.

Travelers currently holds 2.76 percent of the auto insurance market share, making it the eighth-largest auto insurance company in the U.S.

The company offers car insurance policies ranging from bare-bones coverage to umbrella insurance, and you can purchase additional coverage for roadside assistance, accident forgiveness, and new car replacement (in case you total your new car within the first five years). Just keep in mind that Travelers is known for its range of insurance products, not for cheap premiums.

State Farm

Founded in 1922, State Farm has been the number one largest auto insurance company in the U.S. for 80 years and currently holds 16.73 percent of the auto insurance market share. State Farm’s reach doesn’t stop at auto coverage. The company also insures motorcycles, boats, and off-road vehicles on top of its extensive library of home insurance, life insurance, and even banking and finance sectors.

The company boasts higher customer satisfaction rankings than competitors like GEICO, Allstate, and Progressive. And with over 18,000 agents across the United States, State Farm offers customers plenty of local agents to choose from and call for help.

State Farm offers similarly customizable coverage options to Travelers. Additional coverage options include liability protection, rental and travel expenses coverage, emergency road service, and more.

The company’s main drawback is its lack of gap insurance. While it does offer Payoff Protector, which helps cover the difference between your new car’s cost and your insurance payout similarly to gap insurance, this program is only available to customers who have car loans through State Farm Bank.

Travelers vs. State Farm: External Ratings

The Best Car Insurance Companies in 2022

Travelers landed itself on our top 10 best auto insurance companies, and it’s clear to see why. The company offers customizable coverage at affordable rates and has a vast network of international insurance experts to assist customers in any place at any time. Still, when it comes to car insurance rates, State Farm has Travelers beat, with an average monthly cost of only $52.

Compare Travelers vs. State Farm: Which Is Cheaper?

Our calculations are in, and we found State Farm to be the cheaper insurance provider compared to Travelers. Both companies offer affordable rates, but State Farm’s average rates tend to fall below the national average, while Travelers’ tend to be higher. Still, you should get quotes from both companies since you could qualify for one company’s discounts over the other.

The Cheapest Car Insurance Companies in 2022

Travelers landed a fourth-place spot in our top 10 cheapest car insurance company list. But don’t count State Farm out just yet. State Farm is the best insurer for drivers with speeding tickets, accidents, and DUIs. Travelers might be a better option for teenage drivers, as the company offers various discounts for students.

Compare Travelers vs. State Farm Car Insurance by Age

Age is one of the main contributing factors to your auto insurance premiums. Insurers use age as a general indicator of driving experience and safe driving know-how. According to the Insurance Information Institute, 7.8 percent of all drivers involved in fatal car crashes in 2019 were teenagers. So it’s clear to see why your insurer wants to protect your assets and theirs.

But young drivers aren’t the only risky customers in the eyes of your insurance company. While teen drivers typically cause more accidents than older drivers, the Centers for Disease Control and Prevention state drivers aged 70 and older have a higher likelihood of dying in crashes. You can typically expect to see an increase in your auto insurance premiums once you enter your 70s.

Compare Travelers vs. State Farm Car Insurance by Gender

In most states, auto insurers offer cheaper premiums to women than men. According to the IIHS, men are more likely to engage in risky driving behaviors than women. Because of this, male auto policyholders can expect to pay slightly higher premiums on average than female drivers.

Still, these differences tend to be minimal, so you don’t need to worry too much about your gender affecting your premiums. States that do not allow auto insurance rates to be based on gender include California, Hawaii, Massachusetts, Michigan, Montana, North Carolina, and Pennsylvania.

Which is cheapest for men?

State Farm offers cheaper premiums for men than Travelers. But Travelers’ average insurance quote for men is still on par with the national average.

Which is cheapest for women?

Women will also find generally cheaper auto insurance rates with State Farm. Travelers’ rates for women are slightly higher than the national average but are still within an affordable price range.

Compare Travelers vs. State Farm Car Insurance by Mileage

According to the National Association of Insurance Commissioners, drivers with higher mileage can expect to pay higher premiums. Our review of car insurance quotes from State Farm and Travelers found minimal differences in the average rates for drivers with high and low mileage, with each differing by a matter of cents.

Which is cheapest for drivers with high mileage?

Travelers’ insurance premiums for customers with high mileage are slightly above the national average and nearly $20 more expensive monthly than State Farm’s. State Farm continues to impress with rates that are much lower than the national average.

Which is cheapest for drivers with low mileage?

Travelers’ rates drop only slightly for drivers with low mileage but continue to trend higher than the national average. Unexpectedly, State Farm’s average premiums increased slightly for drivers with lower mileage.

Compare Travelers vs. State Farm Car Insurance by Credit Score

You might want to check your credit score before your auto insurance hunt because this three-digit number is going to have a big impact on your car insurance rates. Drivers with better credit scores generally secure much cheaper premiums than those with poor credit for both State Farm and Travelers.

Which is cheapest for good credit?

Travelers came in under the national average with its premiums for drivers with good credit. But if you have good to excellent credit, you’re going to get the most bang for your buck with a State Farm auto policy.

Which is cheapest for bad credit?

Both State Farm and Travelers are charging rates above the national average for drivers with bad credit. State Farm’s average premium is over two and a half times higher for drivers with poor credit compared to those with good credit.

Compare Travelers vs. State Farm Car Insurance by Driving Record

Your driving record has the biggest impact on your car insurance rates. For insurers, your driving history is a clear indicator of your risk level, and the more violations you have, the riskier you are to insure.

We took a deep dive into State Farm’s and Travelers’ average monthly insurance rates for drivers with clean records, tickets, accidents, and DUIs. Not only is State Farm cheaper than Travelers across the board, the insurer also undercuts the national average rates in all four categories.

Which is cheapest for good drivers?

Good drivers (those with a clean driving record) will find affordable monthly premiums with both Travelers and State Farm. You’re likely to pay much lower premiums with State Farm, which continues to offer rates below Travelers and the national average.

Which is cheapest after a speeding ticket?

State Farm only increases its monthly rates by $9 for drivers with a speeding ticket and is much cheaper for such drivers than most insurance companies, including Travelers, which increases its rate by $40.

Which is cheapest after an accident?

After an accident, there is a very high probability of your car insurance rates rising up. Both Travelers and State Farm have average quotes below the national average for drivers after an accident, but State Farm is about $30 cheaper than Travelers.

Which is cheapest after a DUI?

Travelers is only slightly more expensive than the national average rate for drivers post-DUI. But drivers who have a DUI will still find cheaper auto insurance costs with State Farm.

Travelers vs. State Farm Car Insurance: What discounts does each offer?

*Discounts may differ in your state.

Our Methodology and How We Compared Travelers and State Farm

The car insurance quotes provided in Insurify’s insurance company comparison guides are based on the analysis of over 50 thousand insurance quotes from 500 ZIP codes nationwide. Insurify’s data science team performs a comprehensive analysis of factors car insurance providers weigh to calculate rates, including driver demographics, driving record, credit score, desired coverage level, and more to give representative samples.

Insurify’s analysis also incorporates the Insurify Composite Score (ICS) assigned to each insurance provider. The ICS is a proprietary rating calculated by weighing multiple factors that reflect the quality, reliability, and health of an insurance company.

Ratings used to calculate the ICS include Financial Strength Ratings from A.M. Best, Standard & Poor’s, Moody’s, and Fitch; J.D. Power ratings; Consumer Reports customer satisfaction surveys and customer complaints; mobile app reviews; and user-generated company reviews.

With the above insights and ranking methods, Insurify is able to offer car insurance shoppers a window into how insurance providers compare to one another in terms of both cost and quality.