State Farm offers life insurance through multiple product lines
Yes, State Farm sells life insurance. The company offers term life insurance, whole life insurance, and universal life insurance. You can buy these policies directly from a State Farm agent or through their website. State Farm is one of the largest life insurance providers in the United States, so their products are widely available and their underwriting process is straightforward for most applicants.
State Farm also sells variable universal life insurance, which ties the cash value to investment performance. The specific products available to you depend on your state, age, and health status. Not every product is sold in every state, so you will need to check with your local agent or the State Farm website to see what options exist where you live.
Key Takeaways
- State Farm sells term, whole, universal, and variable universal life insurance through agents and online.
- Term life insurance from State Farm covers you for a set period (typically 10, 20, or 30 years) and is usually the cheapest option.
- Whole life and universal life policies build cash value over time but cost significantly more than term policies with the same death benefit.
- You can get a quote online or through an agent, and State Farm will ask about your health, smoking status, and medical history before issuing a policy.
How State Farm's term life insurance works
State Farm's term life insurance covers you for a fixed number of years — typically 10, 20, or 30 years. If you die during that term, State Farm pays your beneficiary the death benefit you chose. If the term ends and you are still alive, the coverage stops and you receive nothing back. Term policies have no cash value and do not build savings.
Term life is the least expensive type of life insurance State Farm offers. A healthy 35-year-old buying a 20-year term policy with a $500,000 death benefit will pay far less per month than someone buying a whole life policy with the same death benefit. State Farm allows you to renew or convert some term policies to permanent coverage when the term expires, though the rates will be higher at that point.
Whole life and universal life policies from State Farm
State Farm's whole life insurance covers you for your entire life as long as you pay the premiums. Part of each premium goes toward a cash value account that grows over time, tax-deferred. You can borrow against this cash value or withdraw it, though doing so reduces the death benefit your beneficiary receives. Whole life premiums are fixed and do not change.
Universal life insurance from State Farm works similarly — it covers you for life and builds cash value — but the premiums are flexible and the cash value growth is tied to current interest rates rather than a fixed rate. This makes universal life cheaper than whole life initially, but the cost can rise if interest rates drop. Variable universal life ties the cash value to investment accounts you choose, which means the value can grow faster but can also decline if investments perform poorly.
Both whole life and universal life cost substantially more than term insurance. A 35-year-old buying whole life with a $500,000 death benefit might pay $300 to $500 per month, compared to $30 to $50 per month for a 20-year term policy. The trade-off is that you build savings and have coverage that does not expire.
How to get a State Farm life insurance quote
You can request a quote from State Farm online through their website or by calling an agent. The online process is faster — you answer questions about your age, health, smoking status, and the death benefit amount you want, and you receive an estimate within minutes. This estimate is not a binding offer and does not require a medical exam.
To move forward with a policy, State Farm will order your medical records and may require a phone interview or in-person exam depending on the death benefit amount and your age. Policies under $500,000 often skip the exam entirely. The underwriting process typically takes one to three weeks. Once approved, you can start coverage immediately by paying your first premium.
What State Farm asks about during underwriting
State Farm's underwriters will review your medical history, current health conditions, medications, and any surgeries or hospitalizations in the past several years. They will ask whether you smoke or use tobacco products — smokers pay significantly higher premiums. They will also ask about your occupation, whether you have a dangerous hobby, and your driving record.
If you have a serious health condition like cancer, heart disease, or diabetes, State Farm may decline your application, offer coverage at a higher rate, or exclude certain causes of death from the policy. If you were recently diagnosed with something, waiting a few months before applying sometimes results in better rates, though this depends on the condition. You can always reapply later if you are initially declined.
State Farm life insurance versus other insurers
State Farm's rates are competitive but not always the cheapest. Term life insurance rates vary based on your health, age, and the death benefit amount, so comparing quotes from multiple insurers makes sense. Companies like Term4Sale, PolicyGenius, and individual insurers like Banner Life, Transamerica, and Protective Life often have lower rates for healthy applicants in their 30s and 40s.
State Farm's advantage is that you can buy through an existing agent if you already have auto or home insurance with them, and you may receive a discount for bundling policies. State Farm also has strong financial ratings from agencies like A.M. Best and Moody's, which means the company is unlikely to fail to pay a claim. If you value simplicity and already work with a State Farm agent, their rates may be worth the trade-off against shopping around.
Can you change or cancel a State Farm life insurance policy
You can cancel a State Farm life insurance policy at any time by contacting your agent or calling the company. There is no penalty for canceling, and you will not receive a refund of premiums you have already paid. If you have a whole life or universal life policy with cash value, you can surrender the policy and receive the cash value minus any outstanding loans against it.
You can also change your death benefit amount or convert a term policy to permanent coverage, though conversion usually happens only when your term is about to expire. If you want to lower your premiums, you can reduce the death benefit, but you cannot lower the premium on a whole life policy without reducing the benefit or the coverage period. Some policies allow you to add riders — like a waiver of premium if you become disabled — which increase the cost but add protection.
Frequently Asked Questions
Does State Farm require a medical exam for life insurance?
It depends on the death benefit amount and your age. Policies under $500,000 often do not require an exam. Larger policies or applicants over 60 usually do. State Farm will tell you upfront whether an exam is needed. If one is required, a nurse will visit your home or office to take blood pressure, blood, and urine samples.
How long does it take to get approved for State Farm life insurance?
The underwriting process typically takes one to three weeks from the time you submit your application. If State Farm needs additional medical records or has questions about your health history, it may take longer. Once approved and you pay your first premium, coverage usually starts immediately.
Can I get State Farm life insurance if I have a pre-existing condition?
State Farm may still issue a policy, but the premium will be higher than for someone without the condition. Some conditions result in a decline. If you are declined, you can reapply later, especially if your condition has improved or been stable for several years. Asking your doctor whether your condition is stable can help you decide whether to apply now or wait.
What happens to my State Farm life insurance if I stop paying premiums?
Your coverage will lapse after a grace period, usually 30 days. After that, if you die, State Farm will not pay the death benefit. If you have a whole life or universal life policy with cash value, you may be able to use that value to pay premiums automatically, which keeps the policy in force longer.
Is State Farm life insurance more expensive than term life from other companies?
State Farm's rates are competitive but vary by individual. Comparing quotes from at least two or three other insurers is worth doing, especially if you are young and healthy. Rates depend heavily on your age, health, smoking status, and death benefit amount, so what is cheapest for one person may not be cheapest for another.