Which Discounts Does Farmers Offer for Auto Insurance?
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Farmers Insurance is the 7th largest auto insurance company in the United States and has come a long way since its founding in 1928.
As its name suggests, the company was originally founded to serve the farming and ranching market. With revenues of over $12 billion annually, it’s expanded to much more than that.
As one of the top insurance companies in the country, Farmers offers many discounts that help it attract new customers and help keep their auto premiums down.
Many of these discounts aren’t unique to Farmers, but there are some unique discounts, especially ones that are limited to certain states. Also, this isn’t a complete list of discounts, but rather an overview of some of the most commonly used ones.
It’s important to know which discounts you’re eligible for and how much you could save. The availability and exact amount of these discounts can vary depending on each state since each state has its own insurance laws and requirements.
Overview of Farmers’ Auto Insurance Discounts
Multi-Policy Discount: Farmers gives a good discount for having more than one insurance policy with them. The traditional pairing is homeowners or renter’s insurance with auto insurance. This combination provides around a 15% discount on both policies. You can also get a discount for pairing your auto with a life insurance policy or an umbrella policy. Roadside assistance coverage is also available as an add-on to drivers that have existing comprehensive and collision policies with Farmers.
Multi-Vehicle Discount: This provides a discount for having more than one vehicle on your auto policy. The discount amount varies but is usually between 10-15%. This can be especially important for new couples as they combine their policies.
Good Driver Discount: Farmers looks back at the last 3 years of your driving history for this discount. If there have been no accidents or violations, they offer up to a 20% discount on your policy. Farmers also has a tracking app called Signal that you can install on your phone to monitor your driving habits. Safe drivers can enjoy substantially lower insurance rates by enrolling in Signal.
Good Student Discount: If you have a student on your policy between the ages of 16-24 who has at least a B average (at least a 3.0 GPA), then they’ll be eligible for this discount. If the student doesn’t have a cumulative B average, achieving a B average in the current or most recent term will suffice. Farmers’ good student discount is 10%.
Distant Student Discount: If you have a student on your policy that does not have a car with them in school and they are located over 100 miles away, you can be eligible to receive up to a 14% discount. The purpose of this is to reflect the student’s limited access to an insured vehicle.
Car Safety Features Discount: Farmers offers a discount for each vehicle that has certain safety features. Some of the most common safety features are anti-lock brakes and passenger airbags, as well as active or passive alarm systems. The discount amount is usually between 5-10% on each eligible vehicle.
Alternative Fuel Discount: If you drive an eco-friendly vehicle, you could receive this discount worth up to 10%. Eligible fuel-types include electric, gas hybrids, methane, and natural gas. This is a good discount for environmentally conscious drivers.
Affinity Group Discounts: Farmers offers up to a 5% discount for members of certain organizations. Some of these groups include police, firefighters, nurses, and doctors. There are many other professions included, as well as graduates of certain universities or fraternal organizations. Simply put, if you belong to any type of professional or social group, you could save money on your car insurance.
Payment Discounts (Full Pay & EFT): If you can muster up the cash to pay for your entire policy in one payment, you could save hundreds of dollars in your premium. Farmers offers substantial discounts for opting to pay for the whole policy in one payment, as well as a lesser discount for having automatic payments deducted from your checking account each month.
Defensive Driver Discount (especially for Seniors): Anyone who takes a state-approved defensive driving course is eligible for an extra discount on their auto insurance. Drivers over the age of 65 (some states 55) who successfully complete one of these courses are eligible for an extra discount. You must be able to provide a certificate of completion, but seniors are eligible for an extra discount.
Advanced Quote Discount: If you stay on top of your insurance policies, and switch to Farmers with at least 7 seven days between when you get a quote and when your new policy starts, you can receive up to a 10% discount, with the normal amount being between 3-5%. Keep in mind that this discount will fall off of your premium, meaning that the discount amount will be slowly taken off your policy over the course of 5 years (this is true with all insurance companies).
Paperless Discount: For people who like to cut back on paper or prefer to access all of their documents electronically, Farmers offers the ability to receive all documents via email. This is usually no more than a 3% discount.
Final Word on Farmers Insurance Discounts
In addition to the above discounts, there are some extra discounts offered by Farmers Insurance in select states only. Some of these include a loyalty discount for being with Farmers for at least 3 years in California, a special Retirement Community discount in Arizona, and an active-duty military discount for Louisiana drivers.
Farmers offers a large number of discounts that can really lower your auto premiums. To get a complete list of discounts and to see if you are eligible, speak with your local Farmers agent.