State Farm Insurance is possible one of the most familiar insurance companies in the American market famous for the offer of a great multi-line product offering and status for solidity. It was established in 1922 and today is the largest insurance company in the United States.
All these have contributed to its success and launch as one of the leading companies in the industry through the provision of services that covers almost all need of its clients, products that are aimed at satisfying the specific need of the customers and embrace the need of innovation.
History and Evolution
State Farm and which has its base in Bloomington, Illinois was founded in 1922 by George J. Mechelle, give up work of farmer and who intended an insurance company which was highly open to the customers as well as more real than the expected insurance companies of the time. The company at a certain instance limit itself to offer automobile insurance products to farmers with a cross and grant method in a bid to justify that farmers rare claim for their policies.
The company has expand its actions and services in the postwar years and became State Farm Insurance and Financial Service. The company offer basic insurance and homeowners and renters, auto and life insurance products in addition to auto insurance. Its growth was characterize by the gaining of local offices and an army of managers fully commit to serving people in those regions.
Products and Services
The chief organic product offer by State Farm is insurance services cover the most of the fundamental insurance needs of individuals and groups who need coverage. The company’s primary offerings include:
- Auto Insurance: State Farm has been offer auto insurance services through which people can insure their automobiles such as cars, motorcycle, and fun vehicles among others. Customers are free to select any level of coverage, name, liability, collision, comprehensive, as well as uninsured and underinsured motorist coverage.
- Homeowners Insurance: It offers homeowners insurance which have enough money coverage to a homeowner in the event of loss and damage of his home and its contents. Protection of personal property and liability are also provide by State Farm but as an additional coverage.
- Life Insurance: The company offers term life insurance and whole life insurance and general life insurance policies. These plans are future to offer a financial protection to the policy holders families in the event that the holder dies.
- Health Insurance: Compare to the principal participants in this industry and State Farm is not a very active offer of health insurance but they do provide some health insurance policy. This involves such special coverage as may assist in paying for expenses not covered by the policy.
- Business Insurance: commercial insurance products are availed for the small and the medium sized business entities by State Farm. These are covering property and liability, workers return, and other needs of the business among them.
Business Model and Operations
State farm serves its customers through a strange system of operations that includes a vast number of independent agents and a relative central corporation. The company agents assist in the delivery of customize services and the general management of customer relations. They are the ones who assist their clients in such matters as selection of the insurance products to buy and filing of claims and availing of various services.
Market Position and Competition
With about 100 million policies in force and the State Farm is the leader of insurance companies in the USA. A wealth of interior relationship data enables it to offer a wide product line and have a powerful brand familiar on the global market and Many agents help it to control. In the reports and surveys and the company takes a leading position that proves that it is one of the most consistent in the industry.
State Farm is join by several other insurance earners such as Geico, Allstate, Progressive and Nationwide among others. All these business have their individualities and positions in the market, which makes the competition in the sphere of insurance quite intense.
Community Relation and Corporate Responsibility
The company corporate social responsibility aims at helping State Farm to rise its social role and influence in the society. Owing to its social responsibility and it offers its support to different charitable governments and community enterprises mainly in the domains of education, safety, and in the result of disaster events.
Its philanthropic activities include support of organizations and causes addressing safety of the society, support during emergencies and improvements of learning institutions.
Conclusion
State Farm today has become the biggest insurance company in the U. S. market Certain and the company is an example of how the focus on customers’ needs and advanced technologies, and active community participation pay off. The evolution of the company from the year 1922 up to the present position was marked by the corporate offering of various insurance solutions and the effective application of technology.