Farmers Insurance Review
How We Reviewed Farmers Insurance Business Insurance
10 hours of research
5 features assessed
4 industry ratings analyzed
Farmers Insurance Business Insurance Review
With eight coverage types and over a dozen industry-specific packages, Farmers Insurance provides customizable and comprehensive insurance for nearly any size business. Claim filing is easy, thanks to simple online tools and 24/7 support teams that are just a phone call away.
Farmers does lack industry-specific packages for other commercial clients like those in health and medical fields (dentists, chiropractors, pharmacy, etc.) and other goods and services (photographers, florists, toy stores, etc.). It’s a limitation that’s hard to ignore, especially since these are common options in big-name competitors like Allstate. However, if your business falls outside of these categories, it’s still worth gathering a quote from Farmers — its policies cover everything from commercial real estate to hospitality to food trucks.
You’re likely familiar with Farmers’ slogan from its commercials — “We know a thing or two because we’ve seen a thing or two.” Farmers promises a breadth of knowledge, good coverage, and personalized service, with “90 years of putting customers first.”
Is it true?
Whether you’re running a restaurant or a large-scale manufacturing entity, you will have plenty to work with when insuring with Farmers. It offers eight basic coverage types, plus over a dozen industry-specific packages. This makes it easy to customize your policy to your exact needs and speaks to Farmers’ promise of having “seen a thing or two.”
That said, Farmers falls short of its claim in a few notable areas. Although its coverage lineup is impressive, it fails to provide options for specific industries like health and medical fields and those working in certain goods and services. Its claim of “personalized service” is also spotty: In a J.D. Power 2018 U.S. Small Commercial Insurance Study, Farmers earned three out of five stars for overall customer satisfaction, falling below the industry average and well behind industry giants like Nationwide, Allstate, and State Farm. For a company that claims to have 90 years of experience putting customers first, these numbers are surprising; the study evaluates interaction, policy offerings, price, billing and payment, and claims, with a special focus on “personal touches and attention.”
Still, Farmers’ service has some redeeming qualities, with a 24/7 claims support network and a fleet of Mobile Claims Center buses. The buses are equipped to handle immediate claims service and provide hot meals and sundry toiletries for those impacted by large-scale disasters. If customer service is of top priority to you, or if you’re in one of the industries not covered by Farmers, you may want to steer clear; however, its bevy of customizable coverage options makes it a strong contender for anyone else searching for the best business insurance.
Business owners looking for customizable insurance policies
Those who prioritize top-notch customer service
|Price||Quotes differ from person to person|
|In business since||1928|
|Standout features||Eight basic coverage types (Property, Liability, Crime, Auto, Workers’ Compensation, Umbrella, Life, Loss Control)
13 industry-specific packages
24/7 claims support
Online quote process
In-person agents across the country
|A.M. Best financial strength rating||A- ("Excellent")|
|A.M. Best issuer credit rating||A- ("Excellent")|
|Moody's rating||A2 ("Strong")|
Customizable coverage options
Whatever operational risks your business faces, Farmers almost surely has coverage for you. First, choose from basic coverage options for general liability, business property, business vehicles, and workers' compensation. Then select the add-on coverage you need to protect your business from the special risks that exist in your industry. Farmers Insurance makes it easy to identify the standard coverage options common to different businesses by offering package policies for businesses in more than a dozen different industries: restaurants, retail stores, factories, offices, and many more.
Solid online tools and resources
Farmers’ online tools make it easy to handle your policy payments and initiate a policy claim. Creating an account allows you to set up an automatic payment schedule or to make individual premium payments, and the business claims tool enables you to conveniently report a loss covered under your policy at any time, day or night. And if you still have questions about the insurance process? Farmers’ resource center offers frequently asked questions and an insurance glossary.
Farmers Insurance business policies are written and sold exclusively in locally owned Farmers agencies across the country. When you go to a Farmers Insurance agent, you’ll get expert advice from someone who knows the available policy options inside and out. What’s more, since Farmers delivers both business and personal insurance policies, your local Farmers agent is capable of fulfilling virtually all of your insurance needs.
Lackluster customer satisfaction
In the aforementioned 2018 J.D. Power U.S. Small Commercial Insurance Study, Farmers scored below the industry average in customer satisfaction and well behind big-name competitors. While it did not score the lowest, we expected more from a provider that boasts decades of experience putting the customer first. Of course, your individual experience depends on the local Farmers agents you work with, but you may have to jump through a few more hoops when it comes to claims processing and billing.
Lacks a few common industries
While Farmers’ 13 industry-specific coverage options is an impressive number, it falls short of Nationwide’s 22 and Allstate’s whopping 36. Notably missing from Farmers' repertoire are coverage options for photographers, health and medical professions, barbershops, mail services, copy services, and legal services. If your commercial interests don’t fall in line with Farmers’s offerings, you might need to look elsewhere.
Farmers Insurance vs. Nationwide
Nationwide’s list of industry-specific packages outweighs that of Farmers, with options for veterinarians, photo studios, farms, and more. It also earned the top spot for customer satisfaction in J.D. Power’s 2018 U.S. Small Commercial Insurance Study, the only company to earn a perfect five out five score. Farmers’ only notable advantage over Nationwide is its Loss Control Insurance, which can help identify hazards and implement prevention measures. Nationwide’s Builder’s Risk Insurance is similar, but it focuses entirely on construction. If you’re looking for coverage for a riskier workplace, Farmers is likely a better choice.
Farmers Insurance vs. Allstate
Allstate tops the charts in terms of coverage options, offering over 30 industry-specific packages to choose from. However, despite this large number, it drops the ball in coverage options that might appeal to larger, wholesale industries. For these industries, Farmers is likely the better choice; it offers a wholesale business insurance package with many impressive features, including product recall expense coverage.
Farmers Insurance vs. Progressive
Progressive offers far fewer packages for specific industries, with its main focus being on general liability and commercial auto insurance. In the commercial auto insurance sector, however, it shines, with 24 commercial auto coverage options. If your business relies heavily on vehicle use — cargo transport, tow service, etc. — then Progressive is likely your best option. Otherwise, Farmers offers more coverage options for brick-and-mortar business endeavors than Progressive currently advertises.
Farmers Business Insurance FAQ
What is Loss Control?
Farmers business insurance offers a coverage option called Loss Control. This coverage is designed to help assess hazards in the workplace and provide recommendations on safety and loss prevention. Safety training materials are also provided for your employees, all in an effort to establish best practices and avoid future problems.
When should you consider workers’ compensation for your Farmers Business Insurance?
Deciding on workers’ compensation depends on the state in which you are doing business and the workers’ compensation laws therein. Depending on the state and the number of workers you have, this coverage may not be required. However, the more your business grows, the more the risk for liability will, as well.
Do I need a specific kind of business insurance policy?
Regardless of whether you’re selling gourmet chocolates or toys, Farmers business insurance for retail stores can help with property, liability, and crime insurance. You can also speak with a Farmers agent to find out how you can tailor your coverage to meet your specific needs.
What does Farmers Business Umbrella Insurance entail?
Umbrella coverage offers an additional layer of liability coverage that begins at the limit of an underlying liability policy. Purchased in $1 million increments, it can cover up to $10 million worth of protection.