State Farm is one of the largest life insurance providers in the U.S., with a powerhouse financial rating and a stellar record of pleasing customers

The company may have special appeal for insurance shoppers looking for whole life policies that pay dividends or for hard-to-find return-of-premium term insurance.

However, State Farm’s pricing for term policies is disappointing, ranking among the worst of the companies we researched. And while the company offers a decent range of policy types

A++ financial stability rating: State Farm received the highest grade possible that the ratings agency AM Best  gives for financial strength.

An A++ indicates that State Farm has a “superior” ability to meet its ongoing financial obligations. Fewer than 10% of the 91 companies we reviewed received this rating.

Outstanding customer satisfaction: State Farm ranked #1 out of 21 companies in a 2021 J.D. Power customer satisfaction survey.

It also had a low number of customer complaints for a company of its size, according to the National Association of Insurance Commissioners (NAIC).

Whole life policies are eligible for dividends: As a mutual insurance company, State Farm may pay dividends to whole life policyholders (no dividends were announced for 2022).

Offers return-of-premium (ROP) term insurance: ROP policies refund some or all of your premiums if you outlive the policy.

They’re more expensive than regular term coverage and can be hard to find. Less than 15% of the companies we reviewed offer ROP insurance.

Bundling can save you money: You may be able to lower your premiums by purchasing a State Farm life insurance policy with a State Farm auto policy.

Poor price for term insurance: State Farm ranked in the priciest 15% of the companies we gathered term quotes for.

No free living benefits: Living benefits, also known as accelerated death benefit riders, let you access part of your death benefit early under certain conditions.

The only one that State Farm offers is a long-term care rider, and you’ll need to pay extra for that. Other top companies offer more accelerated death benefit riders