State Farm® Mutual Saves Customers $4.6 Billion in Auto Rate Reductions

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Millions of drivers across 40 states have saved on their auto insurance premiums thanks to State Farm Mutual Automobile Insurance Company’s commitment to putting customers first. Over the past year, State Farm Mutual has reduced auto rates by an average of roughly 10 percent, resulting in approximately $4.6 billion in annual premium savings for customers.

This significant rate reduction stems from State Farm Mutual’s strong underwriting performance and positive trends in the auto industry throughout 2025. Declining auto repair costs and fewer collisions have contributed to rate reductions for customers, making quality coverage more affordable.
 

Cash Back Dividend for Mutual Customers

In addition to lower rates, qualifying State Farm Mutual auto customers will receive a one-time cash back dividend this summer totaling $5 billion. More than 49 million vehicles insured by State Farm Mutual are eligible for this dividend, with the average payment estimated at $100 per vehicle, varying by state and premiums paid. This dividend reflects State Farm’s dedication to putting customers first and easing insurance costs amid changing market conditions.
 

Putting Customers at the Center of Insurance Solutions

With a broad suite of products available through 19,000 local agents and online, State Farm is uniquely positioned to meet diverse insurance needs across communities. As the nation’s leading auto and homeowner insurer, State Farm continues to innovate and provide personalized solutions that help people fit their budgets while protecting what matters most.
 

Empowering Customers to Manage Costs

State Farm offers several tools and programs designed to help customers take control of their insurance costs:

• Personalize Your Protection: Easy-to-use online calculators and tools help customers choose coverage tailored to their specific needs and achieve the best combination of price and service.
   
• Local Agent Support: Tailored advice from neighborhood agents helps customers get the right protection with personalized home, auto and life coverage.
   
• Drive Safe & Save®: Customers can manage their auto insurance premium through safe driving habits, earn savings of up to 30% through the program, and access mobile accident assistance features on the State Farm app.
   
• Additional Discounts: Savings opportunities abound through available discounts for enhanced vehicle safety features, teen drivers, policy bundling, and more.
   

Investing in Stronger, Safer Communities

Beyond lower rates, State Farm is deeply committed to community safety and resilience. For over 100 years, the Company has championed safe driving and fortified building through innovative programs and partnerships with leading organizations such as the Insurance Institute for Highway Safety (IIHS), Highway Loss Data Institute (HLDI), Insurance Institute for Business & Home Safety (IBHS), and the Federal Alliance for Safe Homes (FLASH).

Initiatives like From Car Seat to Driver’s Seat™ and Distracted Driving prevention campaigns continue to make roads safer for everyone. These efforts underscore State Farm’s role not just as an insurer, but as a partner in building stronger communities.

For more information on savings programs like Drive Safe & Save, Steer Clear, and bundling discounts, please review program terms and conditions. To learn about State Farm’s safety partnerships and community investments, visit the Safer Communities page.

State Farm remains dedicated to helping customers protect what matters most—providing insurance solutions that fit their needs and budgets today and into the future.