state farm yakima is a major insurance and financial services conglomerate headquartered in the United States. State Farm Mutual Automobile Insurance Corporation, a mutual insurance company headquartered in Bloomington, Illinois, is the group’s parent company. State Farm is best known for its property and casualty (P&C) insurance, especially in the personal lines segment. State Farm branches and affiliates sell life and health insurance, annuities, mutual funds, and financial products in addition to property and casualty insurance.
- Developing into a ‘normal ‘ neighbor
State Farm’s slogan, “Good Neighbor,” might be familiar to consumers. Mecherle, a former farmer and insurance salesman, formed a single-line auto insurance company aimed primarily at the farming community in 1922. Later, as the firm’s client base grew, it began to sell other product lines, such as homeowners’ and life insurance and banking, and other financial services. The slogan “Like a good neighbor, State Farm is there” has been used by the insurance giant since 1971.
- A proponent of vehicle safety
State Farm has been a public advocate for road safety for many years. The organization was instrumental in the passage of several seatbelt laws in the United States, and it continues to campaign for seatbelt and teen driver protection. It’s also a key player in the battle against distracted driving (an issue that has reached epidemic proportions in the United States), with policy rewards centered on safe driving habits.
- Costs are being driven down by mitigation.
State Farm’s safe driving policies and messaging seem to be having an impact. In 2019, the insurer reported premium increases for personal auto insurance in several states, including Arizona, Louisiana, and South Carolina. This is a noteworthy accomplishment for the insurer. The auto insurance industry in the United States faces many problems related to increased loss incidence and severity, primarily due to distracted driving.
Although rates for individual motorists differ depending on policy terms, coverage options, and risk profiles, millions of State Farm auto insurance policyholders had seen rate decreases in 2019. “We’re always assessing how we can better represent our customers and are very pleased to be able to deliver these rate decreases,” said Becky Blevins, State Farm vice president – department. Improving expenditures and losses, among other things, were important factors in our decision to change the rate.”
- Taking the war to the insurence industry
Like all major insurance companies, State Farm Yakima has invested in innovation and technology to thrive in today’s digital marketplace. The company agrees that technology can empower its agents, but it opposes the widely held belief that technology would undermine existing insurers and the conventional agent/broker distribution channel.
In 2018, State Farm released an advertisement mocking AI-powered insurgents like Lemonade. The State Farm agent was mocking a robot insurance agent who tried to imitate human emotion. “The budget insurance companies are creating these cheap, knockoff robots to compete with us,” Nunez’s character said in the ad. These bots lack the empathy of a genuine State Farm agent.”
Despite its lighthearted sound, State Farm received some criticism after the commercial was released. In a feature for Forbes magazine, author and futurist Chunka Mui wrote that insurence is about more than talking robots and that “State Farm executives need to get beyond the mocking and think deeply about how new technologies could threaten their strategic assumptions.”