State Farm

What State Farm does

State Farm is a US mutual insurance company founded in 1922 by George J. Mecherle in Bloomington, Illinois. As a policyholder-owned mutual rather than a publicly traded insurer, State Farm is owned by its members and returns excess premiums as dividends rather than to shareholders. The company operates as the largest private passenger auto insurer in the United States at 18.9% market share and the largest homeowners multiperil insurer at 18.2%, serving more than 96 million policies and accounts. Distribution is built on a network of approximately 19,000 independent contractor agents nationwide, supplemented by digital channels including the statefarm.com website and the State Farm Pocket Agent mobile app, plus banking products offered through a U.S. Bank alliance. Revenue is generated primarily through insurance premiums across auto, home, life, commercial, and small business lines, plus fee-based revenue from investment management (mutual funds, annuities) and advertising from brand partnerships including the NBA, Netflix, and Scripps Sports Network.

The technology platform combines usage-based insurance telematics through Drive Safe & Save, direct vehicle sensor integration via the Connected Analytic Services (CAS) partnership for 2020+ Toyota and Lexus vehicles, AI-powered claims automation through the Navi virtual assistant and Household Story customer intelligence tool under the Next Gen Good Neighbor initiative with OpenAI, and computer vision applied to drone-captured aerial imagery for property assessment. Over 100 unique AI-related patents were granted to State Farm in 2025, and the company has deployed roughly $420 million across 26 venture-backed insurance-technology investments since 2019. The company is currently navigating agent contract restructuring that mandates AI tool adoption, $7.6 billion in losses from the January 2025 Los Angeles wildfires, and active regulatory proceedings in California and Oklahoma over claims handling.

Name

State Farm

Legal name

State Farm Mutual Automobile Insurance Company

Website

https://statefarm.com

Company type

Private

Founded year

1922

Operating status

Operating

Headcount range

5,001–10,000 employees

Short description

State Farm is a US mutual insurance company founded in 1922, serving 96M+ policies through 19,000 agents and digital channels. It is the largest US auto and home insurer, offering personal, commercial, and financial services with growing AI and telematics capabilities.

Ownership category

akta.pro rank

Product category

Property and Casualty Insurance

akta.pro primary industry

Crop & Farm Property Insurance (FSAJACAK)

akta.pro secondary industry

Farm Risk Management & Insurance Advisory (AFACAJAD)

Keywords

• Auto insurance
• Homeowners insurance
• Life insurance
• Business insurance
• Financial services

Headquarters

HQ city

Bloomington

HQ country

United States

HQ region

North America

Offices4 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Operations, Personnel, Marketing or Sales, Technology or R&D, Infrastructure

Revenue model

1. Insurance Premiums: State Farm generates primary revenue through insurance premiums collected from policyholders across auto, home, life, and business insurance lines. As a mutual insurance company, excess premiums can be returned to policyholders as dividends.
2. Financial Services Products: Banking products offered through U.S. Bank alliance including checking, savings, CDs, credit cards, and loans generate referral and partnership revenue.
3. Investment Management: Mutual funds, annuities, and investment advisory services through State Farm Investment Management Corp. and State Farm VP Management Corp. generate fee-based revenue.
4. Advertising and Sponsorships: Brand partnerships and advertising integrations including NBA sponsorship, Netflix brand placements, and sports streaming partnerships generate advertising revenue.

Pricing tiers

Go-to-market motion2 records

Distribution channels4 records

Marketing channels11 records

Core offering

State Farm is a mutual insurance company that underwrites and distributes personal and commercial insurance products, including auto, homeowners, life, health, and small business coverage. It also offers banking products through a U.S. Bank alliance and investment/retirement products through State Farm Investment Management Corp. Insurance premiums collected from over 96 million policies and accounts form the core of the offering, distributed through approximately 19,000 independent contractor agents supported by digital tools and a mobile app.

Differentiator

Problem solved

Functional benefit

Brands

• Drive Safe & Save: Usage-based insurance program that rewards safe driving with discounts up to 30%
• Steer Clear
• Navi
• Household Story
• HiRoad

Products and services

• Auto Insurance Personal automobile insurance coverage providing liability, collision, and comprehensive protection for individual drivers. Includes Drive Safe & Save telematics-based discounts up to 30% and Steer Clear discounts up to 20% for young drivers.
• Homeowners Insurance Property insurance for homeowners covering dwelling, personal property, and liability. Includes bundling discounts up to $1,429 when combined with auto insurance and Ting fire safety device partnership.
• Renters Insurance Personal property and liability insurance for tenants, providing coverage for belongings and personal liability. Bundle savings with auto average $900.
• Life Insurance Personal life insurance coverage providing financial protection for policyholders' families in the event of death, offered through State Farm Life Insurance Company and State Farm Life and Accident Assurance Company.
• Health Insurance Personal health insurance coverage including Medicare supplement plans, providing health coverage for individuals.
• Disability Insurance Personal disability insurance providing income protection in case of disability.
• Pet Insurance Insurance coverage for pets covering veterinary expenses.
• Business Owners Policy (BOP) Combined commercial insurance package for small business owners covering property and liability exposures in a single policy.
• Commercial Auto Insurance Vehicle insurance for business-owned vehicles covering liability, collision, and commercial use exposures.
• Workers Compensation Insurance Coverage for employee injuries and workplace-related incidents, providing wage replacement and medical benefits.
• Contractors Insurance Specialized insurance coverage for contractors covering liability and property risks specific to construction and contracting businesses.
• Surety and Fidelity Bonds Bonds guaranteeing performance of contractual obligations and protection against losses from employee dishonesty.
• Farm and Ranch Insurance Specialized insurance for farm and ranch operations covering property, livestock, equipment, and liability.
• Commercial Umbrella Insurance Excess liability coverage providing additional protection above standard commercial policy limits.
• Drive Safe & Save Usage-based insurance program using telematics to monitor driving behavior and offer discounts up to 30% on auto insurance.
• Personal Banking Products Banking products including checking accounts, savings and money market accounts, CDs, credit cards, and personal loans distributed through U.S. Bank partnership.
• Business Banking Products Business banking products including checking, savings and money market accounts, payment solutions, business credit cards, cash management, and loans and lines of credit offered through U.S. Bank partnership.
• Investment Services and Mutual Funds Investment products including mutual funds, advisory services, brokerage accounts, and 529 education savings plans offered through State Farm Investment Management Corp.
• Annuities Annuity products including Guaranteed Income Now, Guaranteed Income Later, and Future Income Plus offered through State Farm VP Management Corp.
• Retirement Plans and IRAs Retirement planning products including Roth IRAs, Traditional IRAs, and business retirement accounts.
• Identity Theft Protection Personal identity restoration service providing protection and recovery assistance for identity theft incidents.
• Motorcycle Insurance Specialized insurance coverage for motorcycles.
• Boat Insurance Insurance coverage for boats and watercraft.
• ATV and Off-Road Vehicle Insurance Specialized insurance for ATVs and off-road vehicles.
• RV and Motorhome Insurance Insurance coverage for recreational vehicles and motorhomes.
• Condo Insurance Insurance coverage for condominium unit owners.
• Rental Property Insurance Insurance coverage for landlords and rental property owners.
• Personal Property (Personal Articles Policy) Specialized coverage for personal articles and high-value items such as jewelry, art, and collectibles.
• Manufactured Home Insurance Insurance coverage specifically designed for manufactured and mobile homes.
• Personal Liability (Umbrella Policy) Personal umbrella liability coverage providing additional liability protection beyond standard policy limits.
• Steer Clear Young driver discount program for drivers under 25 with safe driving records, offering discounts up to 20%.

Quantifiable outcome

• Largest auto insurer at 18.9% market share and largest home insurer with 18.2% market share in the United States
• +5 more outcomes

Named customers7 records

Segments3 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration1 record

AI capability8 records

Feature5 records

Partnerships

13 partnerships are on record, tiered core, flagship and minor.

• Connected Analytic Services, LLC (CAS)coreTechnology or Integration · 24 June 2026Collaboration with Toyota affiliate Connected Analytic Services to offer self-service auto claims for 2020 or newer Toyota and Lexus vehicles. Customers provide express consent to share telematics data including direction of travel, speed, point of impact, and loss location for more efficient claims processing.
• OpenAIcoreTechnology or Integration · 17 June 2026Strategic technology partnership for AI agent 'Navi' and 'Household Story' customer intelligence tools as part of State Farm's 'Next Gen Good Neighbor' initiative. OpenAI is named as a key technology partner for applying AI strategically across operations including claims processing and customer service.
• U.S. BankcoreChannel Partner/ Reseller/ DistributorBanking alliance providing checking, savings, CDs, credit cards, personal loans, and business banking products. State Farm agents can refer customers for banking services, and products are available online and through State Farm agents. Deposit products FDIC insured through U.S. Bank National Association.
• Scripps Sports NetworkflagshipGTM or Marketing PartnerFounding advertising partner for Scripps Sports Network launching March 24, 2026. Free ad-supported streaming television (FAST) channel featuring women's sports including PWHL, NWSL, WNBA, and Major League Volleyball with over 100 live events annually.
• NetflixflagshipGTM or Marketing PartnerBrand integration partnership with Jake from State Farm character appearing as a character in Kate Hudson's Netflix comedy series 'Running Point.' Tests viewer acceptance of branded characters in scripted entertainment with second season integration.
• Baller League USflagshipGTM or Marketing PartnerOfficial insurance sponsor of Baller League US with center circle logo placement and playoff title rights for inaugural 10-week season. League merges professional athletes with content creators, broadcast on CBS Sports and Golazo Network.
• American Red CrosscoreStrategic or Co-development PartnerDisaster relief and preparedness partnership since 2024. State Farm contributes over $3 million annually, provides vehicles and funding for disaster response, and participates in Sound the Alarm home fire prevention program reportedly saving 2,577 lives.
• Habitat for HumanitycoreStrategic or Co-development PartnerCommunity partnership supporting affordable housing. $50,000 donation to Greeley-Weld Habitat for Humanity at Hope Springs construction site. State Farm employees contribute volunteer labor to Habitat projects with Habitat describing State Farm as one of its most dedicated community partners.
• Ken Griffey Jr.minorGTM or Marketing PartnerNIL partnership with golf legend returning as presenting sponsor for season 2 of 'Caddie & The Kid' premium golf and travel series on YouTube's LOL Network.
• Caitlin ClarkminorGTM or Marketing PartnerNIL endorsement deal with WNBA star generating approximately $16 million in annual endorsements. Clark ranks sixth among highest-paid female athletes of 2025.
• Purdue University / Braden SmithminorGTM or Marketing PartnerNIL deal with Purdue guard Braden Smith after he set NCAA all-time career assists record. Part of State Farm's 'With the Assist' marketing campaign.
• AcastminorGTM or Marketing PartnerFirst integrated video advertising campaigns on Apple Podcasts as inaugural brand partner. Campaign spans 117 shows and 1,000+ video episodes across US, France, UK, Canada, and Australia with 60% additive daily growth in HLS reach.
• National Basketball Association (NBA)flagshipGTM or Marketing PartnerLong-standing NBA sponsorship since 2010. Jake from State Farm mascot appeared at 2025 NBA Draft at Barclays Center in Brooklyn, NY. Sponsorship provides visibility across telecasts, digital content, and interactive streams.

Scale indicators14 records

Expansion highlights5 records

Direct peers

• GEICO (Berkshire Hathaway): GEICO is a top-five US personal auto insurer that competes directly with State Farm in auto insurance through a direct-to-consumer model. Its Berkshire Hathaway ownership and digital-first approach represent a different but overlapping distribution strategy.
• Allstate: Allstate is a major US personal lines insurer offering auto, home, and life insurance through a captive and exclusive agent network directly comparable to State Farm's 19,000-agent model. Both companies compete in the same primary distribution channels and product categories.
• Farmers Insurance: Farmers Insurance is a top-ten US personal lines insurer offering auto, home, and life insurance through a captive agent network similar to State Farm's distribution model. Its name and agricultural origins directly mirror State Farm's heritage.
• USAA: USAA is a top-five US auto and home insurer serving military families, often cited for industry-leading customer satisfaction. It competes with State Farm in the same personal lines product categories with a member-owned model.
• Travelers: Travelers is a major US property and casualty insurer with strong auto and homeowners insurance offerings distributed through independent agents. It competes directly with State Farm in personal lines and small commercial insurance.
• American Family Insurance: American Family is a mutual-style US personal lines insurer offering auto, home, and life insurance through captive agents. It is a direct regional competitor in the Midwest and Western US where State Farm has strong presence.
• Progressive: Progressive is the closest direct competitor to State Farm in US personal auto insurance and overtook State Farm as the nation's largest auto insurer in 2026 (18.60% vs. 18.64% share). Both companies focus on auto insurance with direct and agent distribution and competing telematics programs (Snapshot vs. Drive Safe & Save).
• Nationwide: Nationwide is a major US mutual-style insurer offering auto, home, life, and small business insurance through captive agents, directly comparable to State Farm's product portfolio and mutual structure.
• Liberty Mutual: Liberty Mutual is one of the largest US property and casualty insurers, offering auto, home, and commercial lines through both direct and agent channels. It is a direct competitor in personal lines with overlapping geographic coverage.

Broad incumbents

• Chubb: Chubb is a large global P&C and life insurer with broader commercial and high-net-worth focus than State Farm, but with overlapping personal lines offerings. As a broader incumbent, it represents a peer in the same industry with different customer segmentation.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/StateFarm
• YouTubeyoutube.com/c/statefarm
• Facebookfacebook.com/statefarm
• LinkedInlinkedin.com/company/state_farm
• Instagraminstagram.com/statefarm
• TikToktiktok.com/@statefarm

Revenue estimate

Valuation estimate

Number of profiles

Profiles12 records

Subsidiaries9 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments13 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about State Farm