State Farm vs. Allstate

Allstate is good at paying claims, compared to the average insurance company, scoring 882 out of 1,000 for its claims process in J.D. Power's latest claims satisfaction study. Allstate also earned an A+ from AM Best, indicating it has the ability to pay out claims.

How Allstate's Claims Process Compares to Competitors

Source: J.D. Power Claims Satisfaction Study (2023) and AM Best

It usually takes about 30 days for an insurer to pay out a claim, but the time frame may vary depending on the circumstances. To ensure that your claim is handled as quickly as possible, be responsive and detailed when answering any questions your insurance company might have. If your claim is taking too long, you can contact your insurer directly or go to your state's insurance regulator for help.

To learn more about the claims process, check out WalletHub's guide to car insurance claims and full review of State Farm.

Allstate is so expensive because car insurance is expensive in general, due to rising costs for insurers. Allstate's premiums may also reflect how competitively Allstate agents are paid, but at $781 per year, the average Allstate car insurance policy is actually cheaper than coverage from most competitors. In fact, Allstate is one of the cheapest car insurance companies nationally.

Even though Allstate offers cheaper-than-average rates, its premiums can get expensive for drivers with certain characteristics. For example, teenagers pay...

Car Insurance Companies Cheaper Than Allstate

To cancel State Farm insurance, you must call 800-STATEFARM, mail a cancellation letter, or cancel at a local State Farm office. You will need to provide basic information about yourself, your State Farm policy number, and the date you would like your policy to end. State Farm may also ask for the details of your new car insurance policy to verify you won't driving without insurance.

How to Cancel State Farm Insurance Policies 

• Cancel...

Yes, Allstate has accident forgiveness as part of its optional Gold and Platinum auto insurance packages. Gold-level Allstate accident forgiveness applies to one at-fault accident per policy every three years, while Platinum-level accident forgiveness is not limited to a certain number of accidents.

How Allstate Accident Forgiveness Works

Allstate accident forgiveness allows customers to avoid any accident surcharges that would normally apply to their premium after filing a claim related to a collision....

Your State Farm rate could have gone up for many reasons, such as a recent claim or a new driver being added to the policy. Other factors that could cause State Farm to raise your rate include getting into an accident, being convicted of a moving violation, and adding coverage to your policy. State Farm may also raise your premiums for reasons that are beyond your control, such as recent natural disasters, increasing repair and...

Allstate insurance rates go up by an average of 64% after an accident. Drivers who have Allstate accident forgiveness will not see their car insurance rates go up at all after their first accident in 3 years, however. Even if the accident can't be forgiven, it will only affect your insurance rate for 3-5 years, depending on your state.

The exact amount that premiums go up after an accident depends on a few factors, including...

You can lower your State Farm car insurance costs by taking advantage of State Farm discounts, opting for a higher deductible, and reducing your coverage, among other things. State Farm considers a variety of factors when calculating your premium, though some – like your age and location – are out of your control. Fortunately, you can take steps to influence other factors in order to lower your rate.

How to Lower the Cost of...

State Farm, GEICO, and Progressive are better than Allstate, based on factors like average premiums, number of discounts available, and customer service record. GEICO is also one of six top-10 car insurance companies that are cheaper than Allstate, on average, along with State Farm, USAA and Progressive.

How Allstate Compares to Popular Alternatives