Allstate vs State Farm

Verdict

Allstate and State Farm are the two largest agent-sold home insurers in the country, and at the counter they feel alike: a local agent who represents only that company. State Farm is much larger, ranked #1 by 2025 homeowners premiums ($35.27 billion, 18.67% of the national market, per NAIC data) against Allstate's #2 ($17.77 billion, 9.40%). The structural difference is ownership. State Farm is a mutual owned by its policyholders. Allstate is a publicly traded stock company (NYSE: ALL) answering to shareholders.

Where each writes new policies is the next check. Both have been closed to new California homeowners business, Allstate since 2022 and State Farm General since May 27, 2023. Each has a filing to reopen in part (Allstate on August 31, 2026; State Farm on September 16, 2026, for homes with IBHS Wildfire Prepared Home designations), but the California Department of Insurance said in a September 18, 2026 alert that neither was yet open. Florida splits them differently. State Farm ranked 4th in the state in 2025, and its Florida company is rated A- (Excellent) by AM Best. Allstate homes there are written by Castle Key, which AM Best rated B (Fair) in September 2026.

At the group level both carry A+ (Superior) from AM Best. Allstate's was affirmed September 2, 2026. State Farm's was cut from A++ on November 14, 2025, after five straight years of underwriting losses, and State Farm General in California sits at B (Fair). On the policy, Allstate's House & Home form uses a roof payment schedule in many states, so wind and hail damage to an older roof is paid by age and material. State Farm writes on its own forms, not ISO's HO 00 03, so have the agent show how your quote settles a roof loss. Neither was among the top three homeowners insurers in J.D. Power's 2026 study.

Choose Allstate if

• You want loyalty features: Claim RateGuard (a claim alone won't raise your premium), a 5% Claim-Free Bonus at renewal, and Deductible Rewards that shave up to $500 off the deductible.
• You live outside California and Florida and want an exclusive agent backed by an A+ group, with National General available through independent agents if you would rather have an agent who shops several carriers.
• You rent out your home occasionally and want HostAdvantage home sharing coverage.
• You prefer contractor help through Allstate's Good Hands Repair Network, which carries a lifetime guarantee on the repairs.

Choose State Farm if

• You live in Florida and want the State Farm Florida company (A-, Excellent) rather than Castle Key (B, Fair).
• You want the sheer scale of the country's largest home insurer and a mutual with no shareholders.
• Inflation coverage built into the dwelling limit matters, along with sewer or drain backup, earthquake and a personal articles policy as add-ons.
• You can earn its mitigation credits: Class 4 impact-resistant roofing (26 states), wind mitigation, or wildfire mitigation in California, Colorado and Oregon.

Key differences

Before you decide

Get quotes for identical Coverage A, deductibles and endorsements, and ask each agent whether new business is open at your address. Read the roof settlement terms line by line; the Roof payment schedules and ACV roof endorsements guide explains what a schedule does to a hail claim. Because both agents sell one brand, price comparison takes more effort, as captive agents, independent agents and direct insurers explains, and how to compare homeowners insurance quotes shows how to line the quotes up.