GEICO vs. State Farm

We recently named State Farm the best overall car insurance provider for price and coverage in our 2025 list of the best insurance companies. Meanwhile, GEICO won for the cheapest widely available auto insurance. While GEICO often comes out ahead on price, State Farm still offers affordable coverage with a better customer experience, on average.

GEICO vs. State Farm: Pros and Cons of Each

GEICO Is Better For:

• Those who prioritize cost above all else
• Drivers who are looking for accident forgiveness coverage
• Military-affiliated drivers, due to specific discounts
• Renters

State Farm Is Better For:

• Policyholders who prioritize customer service
• Those with a DUI on their record
• Drivers who want gap coverage and are open to financing their vehicle through State Farm Bank
• Homeowners

When you look at cost across several coverage and driver categories, GEICO comes out ahead of State Farm most of the time. However, State Farm offers lower average rates for 25-year-old drivers and those with a DUI on their record. The companies have about the same rates for drivers with a speeding ticket.

Remember that your quoted premiums may differ, since these are average rates. We always recommend that you compare quotes from more than one company before purchasing a policy.

You can rest assured that both GEICO and State Farm offer all of the standard coverage options you would expect from a major insurer, including liability, comprehensive, collision, medical payments, personal injury protection, and uninsured/underinsured motorist coverage.

However, they lack certain add-ons, which, depending on your needs, may affect your decision. Most notably, State Farm does not offer accident forgiveness or gap coverage. However, State Farm does offer a similar coverage type, called Payoff Protector, if you get your vehicle loan through State Farm Bank.

Here is the list of the main add-on coverage types offered by both companies:

*Vehicle loans from State Farm Bank include Payoff Protector coverage, which is similar.

It’s also important to note that the available coverage options may vary by state, so it’s always a good idea to double-check your quote or consult an agent to make sure you’re getting the coverage you need.

If you’re a homeowner who’s looking to bundle auto and home insurance, State Farm may be the better option, since it underwrites its own home insurance policies. In contrast, GEICO works with third-party insurers to provide homeowners insurance.

You’ll be able to take advantage of various auto insurance discounts with either State Farm or GEICO, but the exact discounts available depend on the company. That said, both offer common discounts, including bundling, multicar, and good-driver discounts. They also have savings opportunities for teens and young drivers.

One of the main differentiators in this category is GEICO’s military-specific discounts. It offers a general discount of up to 15 percent for service members, which includes those on active duty, those who are retired from the military, or members of the National Guard or Reserves. In addition, it has an “emergency deployment discount,” which applies to those who have deployed to an imminent danger pay area designated by the U.S. Department of Defense and whose vehicles are stored under one of GEICO’s approved storage protection plans.

The last military discount GEICO offers is for members of certain military-affiliated organizations, including the Association of the United States Army, the Armed Forces Benefit Association, and the Navy League of the United States. If any of these discounts apply to you, you may find better rates from GEICO.

In general, State Farm beats GEICO for customer service. Here’s how the two companies compare in various customer experience areas.

Claims Satisfaction

In the first study we looked at, the J.D. Power 2024 U.S. Auto Claims Satisfaction Study, State Farm scored higher than GEICO, with a score of 710 to GEICO’s 692.³ This score landed State Farm a sixth-place spot, while GEICO placed 14th. These scores indicate that, compared with GEICO, customers are generally happier with aspects of State Farm’s claims process, like the speed of payment and repair, fairness, and ease of service.

GEICO ranked slightly higher than State Farm on the CRASH Network 2025 Insurer Report Card, which tracks auto shops’ experiences when managing claims with insurers. However, both received a grade of C-, and it’s also worth mentioning that none of the 10 largest insurers scored higher than a C+.⁴

Customer Service

In J.D. Power’s 2024 U.S. Auto Insurance Study, which ranks insurers based on overall customer satisfaction, State Farm came out ahead of GEICO in every region, some more significantly than others.

Here is a breakdown of each company’s score (out of 1,000) by region:

GEICO and State Farm had comparable complaint indexes as of 2023, according to the National Association of Insurance Commissioners (NAIC), a group that logs customer complaints against insurers. GEICO’s was slightly better, at 1.83,⁵ compared with State Farm’s 1.96,⁶ but both companies received more complaints than average. A score of 1 equates to the expected number of complaints for a company in the market.

Shopping

According to J.D. Power’s U.S. Insurance Shopping Study, customers are more satisfied overall with State Farm’s shopping process than with GEICO’s. It received a score of 695 out of 1,000, while GEICO’s score was 656 out of 1,000.⁷ This is interesting, because State Farm does not allow online quotes and purchasing, but GEICO does.

This may indicate that customers prefer the tailored approach of having to finalize their policy with an agent. J.D. Power’s study also evaluates factors such as the policy offerings, price, quote process and distribution channel, so the rankings also suggest that customers are satisfied with other aspects of the company, such as the pricing and availability of agents.

Both GEICO and State Farm have online platforms and mobile apps, through which policyholders can access policy information, file claims, get roadside assistance and more. Here’s a breakdown of each app:

State Farm earned a higher score than GEICO in the service category of J.D. Power’s 2024 U.S. Insurance Digital Experience Study, ranking sixth out of 16 national insurers, compared with 11th for GEICO.⁸

However, GEICO beat State Farm in the shopping category, ranking eighth out of 23 insurers evaluated in this category. State Farm ranked 25th, which may reflect the company’s lack of an online purchasing process.

State Farm and GEICO are two of the biggest names in insurance and offer various insurance products beyond auto insurance. They are reputable companies with very strong AM Best ratings, meaning they can be counted on to pay out claims. Given that they sell multiple types of insurance, they’re also great choices for bundling more than one type of policy and taking advantage of the associated discounts.

State Farm may be a better choice for you if you are willing to pay a bit more in exchange for a better customer service experience, as the company ranks higher for customer service in most industry studies. GEICO routinely offers some of the lowest rates, so if cost is your top priority, GEICO may be a better fit.

However, you should always get quotes from at least three companies before deciding which one to go with, since rates can vary greatly based on many factors. For example, State Farm has lower average rates for drivers with a DUI on their record.

Finally, if you are a member of the military community, you may appreciate GEICO’s military-specific discounts. And if you’re looking for accident forgiveness coverage, you’ll have to go with GEICO, because State Farm doesn’t offer it.

At AutoInsurance.com, we assess auto insurers based on four essential criteria:

• Price (40%): We evaluate average premiums for full and minimum coverage, using a standard driving profile of a good driver with good credit. Additionally, we examine rates for other profiles, including drivers with violations or lower credit scores, while factoring in available discounts. Our full-coverage analysis is based on these limits:
  • Bodily injury liability: $100,000 per person/$300,000 per accident
  • Property damage liability: $50,000 per accident
  • Uninsured and underinsured motorist bodily injury: $50,000 per person/$100,000 per accident
  • Comprehensive and collision: $500 deductible
• Claims handling (25%): A reliable claims process is crucial, and it should be swift, transparent and efficient. It should include clear communication, fair damage evaluation, and prompt resolution or payment. We use resources like the CRASH Network Insurer Report Card, J.D. Power’s Auto Claims Satisfaction Study, and financial strength ratings from AM Best and S&P. We also incorporate customer feedback whenever possible.
• Customer experience (25%): We analyze the overall ease of the customer experience, from obtaining a quote and purchasing a policy to making updates or accessing policy documents. This includes evaluating the quality of online tools, agent interactions, and the usability of the insurer’s website and mobile app. Our insights are drawn from J.D. Power studies, the NAIC Complaint Index, BBB ratings, and app store reviews.
• Coverage options (10%): We review each provider’s range of coverage and give preference to companies that offer options that exceed state minimum requirements, such as accident forgiveness, gap insurance and rideshare coverage.

Read more about our ratings and methodology.