Farmers Discounts and Ways to Save
Farmers Insurance offers an extensive list of auto and home insurance discounts that can substantially reduce your premium when properly applied. Some discounts apply automatically based on your situation. Others require you to actively claim them or qualify based on specific criteria. Many customers receiving Farmers quotes are unaware of every discount available and end up paying more than necessary.
This guide walks through every major Farmers discount available, how to qualify, typical savings amounts, and the strategies that produce the largest combined savings.
Multi-Policy and Multi-Vehicle Discounts
Multi-Policy Bundling Discount
Bundling Farmers auto insurance with home, renters, condo, life, or other Farmers policies produces savings of up to 20% on auto and similar reductions on the home policy. This is one of the largest single discount opportunities at Farmers.
Multi-Vehicle Discount
Insuring two or more vehicles on a single Farmers policy produces savings of up to 20% per vehicle. This discount applies automatically when you add multiple vehicles to your policy.
Driver Behavior Discounts
Signal Telematics Program
Farmers’ usage-based program offers up to 25% in safe driver discounts. The smartphone-based program tracks driving behavior and provides ongoing premium reductions based on demonstrated safety.
Safe Driver Discount
Drivers without recent accidents or violations qualify for premium discounts beyond standard pricing.
Defensive Driving Course Discount
Completing an approved defensive driving course produces premium discounts in many states, particularly for drivers age 50 and older.
Mature Driver Discount
Drivers aged 55 and older who complete an approved mature driver course can qualify for additional discounts beyond standard senior pricing.
Vehicle and Equipment Discounts
Anti-Theft Device Discount
Vehicles with factory-installed anti-theft devices, alarm systems, or aftermarket tracking devices qualify for comprehensive coverage discounts.
Anti-Lock Brakes Discount
Vehicles with factory-installed anti-lock braking systems qualify for liability premium discounts.
Passive Restraint Discount
Vehicles with airbags, automatic seatbelts, or other passive restraint systems may qualify for medical payments coverage discounts.
New Vehicle Discount
Newly purchased vehicles less than three years old often qualify for premium discounts.
Account and Payment Discounts
Pay-in-Full Discount
Paying your full six-month or annual premium in a single payment rather than monthly installments saves on installment fees and produces additional discounts.
EFT Discount
Setting up automatic premium payments through electronic funds transfer typically qualifies for premium savings.
Paperless Discount
Choosing electronic billing rather than paper bills typically qualifies for a small discount.
Continuous Insurance Discount
Customers who maintain continuous insurance coverage without lapses qualify for additional discounts at Farmers.
Customer Profile Discounts
Homeowner Discount
Homeowners receive a discount even without bundling, simply by virtue of being a property owner. This recognizes lower risk profiles associated with property ownership.
Good Student Discount
Full-time students under 25 with a B average or better can save up to 15%.
Driver Education Discount
Drivers under 21 who completed an approved driver education course qualify for additional discounts.
Affinity Discount
Members of certain professional organizations, alumni associations, or employer groups may qualify for affinity-based discounts. Common qualifying groups include:
- Engineers and accountants
- Teachers and educators
- Healthcare professionals
- Specific employer groups
- Alumni associations
Military Discount
Active military, veterans, and military families may qualify for special discounts in some markets.
Coverage Choice Discounts
Higher Deductible Discount
Choosing a higher deductible reduces your premium. Common deductible options range from $250 to $5,000.
Declining Deductibles
Farmers’ Declining Deductibles feature reduces your collision deductible by $50 each claim-free year up to a $250 maximum, providing accumulating savings over time.
Limited Use Discount
Vehicles driven less than typical commuter mileage may qualify for low-mileage discounts.
Home Safety Discounts
Protective Device Discount
Homes with smoke alarms, fire extinguishers, deadbolt locks, security systems, and other safety features qualify for homeowners premium discounts.
Home Security System Discount
Homes with monitored security systems qualify for additional discounts beyond basic safety equipment.
Smart Home Discount
Homes with connected smart devices like water leak detectors, smart thermostats, and security systems may qualify for additional discounts.
New Home Discount
Newly constructed homes (typically built within the last 10 years) often qualify for premium discounts.
Newly Purchased Home Discount
Recently-purchased homes (typically within the last year) may qualify for additional discounts.
Hail Resistant Roof Discount
Homes with impact-resistant roofing materials in hail-prone areas qualify for substantial homeowners discounts.
Non-Smoker Discount
Households where no one smokes may qualify for premium discounts due to reduced fire risk.
How Much Can You Save With Farmers Discounts?
| Discount Combination | Typical Combined Savings |
|---|---|
| Single discount only | 5% to 10% |
| Multi-vehicle + safe driver | 15% to 25% |
| Multi-vehicle + safe driver + Signal | 25% to 35% |
| Bundled with home + safe driver + Signal | 30% to 45% |
| Maximum stacked discounts | 40% to 55% |
The largest savings come from stacking multiple discounts. Single discounts produce modest savings, but combining several can substantially reduce your overall premium.
How to Make Sure You Get Every Discount
Work With Your Local Agent
Local agents can identify discount opportunities specific to your situation that may not be obvious during online shopping. The Farmers Friendly Review specifically helps identify available discounts during annual policy reviews.
Apply Online for Maximum Discount Visibility
The online quote process at Farmers.com asks about most discount-eligible characteristics. Answer all questions accurately to receive applicable discounts.
Provide Documentation Promptly
Discounts requiring documentation (good student, driver education, military, professional affiliation, etc.) need verification. Provide requested documentation quickly to avoid losing the discount.
Review at Each Renewal
Discount eligibility can change over time. Annual reviews ensure you continue receiving applicable discounts and identify new opportunities as your situation evolves.
Use Signal if You Drive Safely
If you drive safely, Signal can produce up to 25% in additional discounts. The mobile-app-only enrollment is simple and the program is voluntary.
Take Full Advantage of the Farmers Friendly Review
This annual review with your agent specifically helps identify discounts and coverage adjustments. Schedule and use this review every year.
Farmers Discounts vs. Other Major Insurers
| Discount Type | Farmers | State Farm | GEICO | Allstate |
|---|---|---|---|---|
| Multi-vehicle | Up to 20% | Up to 20% | Up to 25% | Up to 20% |
| Multi-policy | Up to 20% | Up to 25% | Up to 10% | Up to 25% |
| Telematics max | 25% | 30% | 25% | 40% |
| Good student | Up to 15% | Up to 25% | Up to 15% | Up to 20% |
| Loyalty | Strong | Strong | Limited | Strong |
| Declining deductibles | $50/year max $250 | Not offered | Not offered | $100/year max $500 |
Farmers’ discount structure is competitive with other major insurers. Allstate offers larger telematics maximum and deductible reduction. State Farm offers larger multi-policy bundling. Farmers offers comparable competitive discounts across most categories with some specialty advantages through its subsidiary network.
Frequently Asked Questions
What is the biggest Farmers discount?
Multi-policy bundling and Signal telematics offer the largest single discount potential at up to 20% and 25% respectively. Combining multiple discounts produces the largest overall savings, often reaching 35% to 45% in total reductions.
How do I find out what Farmers discounts I qualify for?
Contact your local Farmers agent directly and ask them to review every available discount for your situation. The Farmers Friendly Review specifically focuses on identifying discount opportunities. The online quote process also asks about most discount-eligible characteristics.
Does Farmers offer a military discount?
Farmers offers military-related discounts in some states. Active military, veterans, and military families should ask specifically about military discounts during the quote process.
Can I lose Farmers discounts?
Yes. Some discounts require ongoing eligibility. Filing claims, getting tickets, having students drop below GPA thresholds, or removing safety equipment can affect discount status.
Are Farmers bundling discounts worth it?
Almost always yes for households with multiple insurance needs. The combined savings from bundling typically exceed any savings you could achieve by buying each policy separately. Single-carrier bundling also simplifies management.
How does Declining Deductibles save me money?
The feature is automatic and reduces your collision deductible by $50 each claim-free year up to a $250 maximum. Over five claim-free years, you accumulate $250 in deductible reduction that applies when claims do eventually occur.
What is the Farmers Friendly Review?
The Farmers Friendly Review is an annual policy review with your agent that helps ensure your coverage matches your current needs and identifies any new discounts you may qualify for. The review specifically focuses on optimization opportunities.
The Bottom Line
Farmers offers a comprehensive discount program that can substantially reduce premiums when properly applied. The largest savings opportunities involve combining multi-policy bundling, Signal participation, and the company’s automatic features like Declining Deductibles.
For typical drivers, stacking discounts can produce 30% to 45% in total savings. The Farmers Friendly Review provides annual professional optimization that helps ensure you maintain all available discounts as your situation evolves.
For broader perspective on insurance pricing factors, our guide on how car insurance premiums are calculated walks through the broader pricing landscape.
The team at Matrix Insurance can help you compare Farmers discounts against other carriers’ programs to ensure you are getting the best overall value. Use our Car Insurance Calculator for a starting estimate, or reach out to our team directly for a personalized review.
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