State Farm’s underinsured motorist coverage protects customers from paying for damage to their vehicle or their own medical bills after an accident caused by a driver without adequate liability coverage. Underinsured and uninsured motorist coverage from State Farm will also pay when another driver has no insurance.
State Farm Uninsured & Underinsured Motorist Coverage Pays For:
Damage to your car from a not-at-fault accident.
Medical expenses, including pain and suffering, for you and your passengers.
Lost wages, for you and your passengers.
If you’re in an accident and you find that the at-fault driver doesn’t have adequate insurance, but you have State Farm’s underinsured motorist coverage, you can make a claim online or by calling 800-SF-CLAIM (800-732-5246). Once State Farm verifies the details of your claim, it will pay for damages beyond what the at-fault driver’s policy is able to cover, up to your policy’s limits.
Whether or not a driver needs State Farm’s underinsured and uninsured motorist coverage depends on several factors, including their state’s laws and their ability to otherwise handle repairs and medical bills after an accident caused by a driver who doesn’t have enough insurance. It’s best to speak with your local State Farm agent to determine if uninsured and underinsured motorist coverage is right for your personal situation.
You can get the State Farm Steer Clear discount by completing the company’s safe driver discount program in six months, and then continuing to meet your state’s eligibility requirements. State Farm’s Steer Clear discount encourages young people to be safer drivers, and it can save them up to 15% on their premium.… read full answer
However, the discount isn’t available in California, Hawaii, Massachusetts, North Carolina or Rhode Island. There are a few minimum requirements that participants who live in eligible states must meet, too.
State Farm Steer Clear Discount Requirements
Be under 25 years old (in most states)
Have fewer than three years of driving experience
Have a valid driver's license or learner’s permit
Have no at-fault accidents or tickets in the past three years
Take 10 practice driving trips, totaling at least five hours
How To Get The State Farm Steer Clear Discount
Contact State Farm to make sure a driver on your auto insurance policy meets the eligibility requirements.
Download the Steer Clear app for iOS or Android (text STEER to 78836 to receive a link). You don’t need a mobile device to participate, however, as State Farm offers the training modules on its website.
Use the Steer Clear app or State Farm websiteto complete the five training courses, which cover topics like distracted driving and special driving situations. This includes watching videos and taking quizzes about safe driving.
Log your driving hours over the course of at least 10 practice trips, which must include at least five hours of driving time, using the Steer Clear mobile app or the trip log sheet provided by State Farm. If you use the Steer Clear app, it will track your driving habits, such as your speed, turning times, braking, and other maneuvers. It will then give you a score and feedback after each trip.
Sign the Statement of Qualification, which asserts that eligible drivers have completed the initial requirements for the Steer Clear Safe Driver Discount and that they understand they will lose the discount if they are involved in an at-fault accident or get a moving violation.
Finish all the program requirements within six months. If you complete the program using the app, you will receive a certificate of completion through the app, which you should send to State Farm, along with your digital trip log and Statement of Qualification. If you don’t use the app to complete the program, send your trip log and Statement of Qualification to your local State Farm agent.
Confirm the State Farm Steer Clear discount is being applied to your premium by checking your bill or contacting a State Farm representative.
If you continue to meet your state’s eligibility requirements, you’ll continue to get your Steer Clear Safe Driver Discount. The discount is generally available only to drivers younger than 25 years old, but older drivers who have fewer than three years of active driving experience can qualify in some states. For more information, check out WalletHub's guide on State Farm discounts.
Yes. State Farm insurance rates are competitive. State Farm ranks 3 overall in WalletHub’s national cheap car insurance study. The average cost of a full-coverage State Farm car insurance policy is $341 per month. You can also find sample rates for six different driver profiles below.
Overall, State Farm's auto insurance rates tend to be lower than those charged by most other major insurers, including Nationwide, Allstate, and Travelers.
State Farm is a strong contender for customers who still want the personalized attention of an individual agent. State Farm has one of the best reputations in the auto insurance industry, with excellent customer service and claims support.
State Farm’s car insurance rates are based on your driving record and experience, along with a variety of other factors like the type of car you drive, your zip code, insurance history, and more. Your coverage and deductible choices impact the final quote, too, as do your eligibility for discounts.
Our sample quotes are representative of State Farm’s insurance prices, but individual results will vary. For example, these quotes do not take into account any State Farm discounts, which can lower premiums significantly. To learn more about how we obtained these sample quotes, check out the methodology section of our complete State Farm car insurance review.
Ultimately, knowing that State Farm is among the cheapest major auto insurance companies is only a starting point as you shop for coverage. The best car insurance for your needs must not only fit into your budget, but also provide quality coverage and excellent customer service, too.
No, you should not reject uninsured motorist coverage unless you have collision insurance and enough medical coverage to pay for your expenses after an accident caused by an uninsured driver. Drivers can reject uninsured motorist coverage in states where it is optional but still has to be offered by insurance companies. For instance, drivers in California, Florida, and Texas can legally reject uninsured motorist coverage. In 21 other states, including New York and Illinois, uninsured motorist coverage is required, so drivers cannot reject it. … read full answer
Uninsured motorist (UM) coverage is still a good investment even if it’s not mandatory in your state. The price of UM varies based on each driver’s risk factors, but it averages around $50-$75 annually. Given that an estimated 1 in 8 drivers in the U.S. is uninsured, this coverage is an inexpensive way to protect yourself financially.
Uninsured motorist insurance is divided into two categories, bodily injury and property damage. Both kinds of UM insurance are designed to replace the liability coverage that an at-fault driver should have purchased. Covered drivers can file a claim with their own policy if they are in a crash caused by someone without liability insurance. Depending on the state and the policy, drivers might also purchase underinsured motorist (UIM) coverage, which can be used when the at-fault driver’s liability insurance is insufficient.
What Happens If You Reject Uninsured Motorist Coverage?
If you reject uninsured motorist coverage, you will need to use another type of coverage or pay out of pocket in the event that you are hit by an uninsured driver. If you already have collision insurance and medical coverage of some sort, rejecting uninsured motorist coverage might be a good way to lower your premium. Otherwise, paying for uninsured motorist coverage is generally an inexpensive way to add extra protection.
However, keep in mind that the average uninsured motorist bodily injury claim was $32,337 in 2016, the latest year with data. So a few thousand dollars of PIP will not cover you for a serious accident with an uninsured driver. Similarly, UMBI requires you to pay fewer out-of-pocket expenses than general health insurance when you need to pay for medical bills after a qualifying accident.
Uninsured Motorist Property Damage Coverage
Uninsured motorist property damage (UMPD) coverage is only available in some states. UMPD is less important than the bodily injury variation for most drivers, since it overlaps entirely with collision insurance.
The main advantage that UMPD has over collision insurance is that it usually has lower premiums, since it covers fewer situations. UMPD could also be a worthwhile purchase if you don’t want your collision premium to increase in the event of a claim after an accident with an uninsured driver.
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