Millions of State Farm auto insurance customers are starting to receive money as the insurer rolls out a record $5 billion dividend to qualifying policyholders.
State Farm Mutual Automobile Insurance Company said payments began July 31 and will be distributed in waves to more than 49 million qualifying vehicles. The company says the one-time cash-back dividend is the largest in its more than 100-year history.
Who Qualifies for the Payment?
Customers who had a State Farm Mutual auto insurance policy in force at any point between January 1 and December 31, 2025, qualify for the dividend, according to the company.
The average payment is expected to be about $100 per vehicle. However, the actual amount varies based on a percentage of the premiums paid on qualifying policies in 2025.
Those percentages range from 4% to 10%, depending on the state.
State Farm said the dividend reflects stronger-than-expected underwriting performance in 2025, meaning the company’s claims costs were lower than anticipated when premiums were established.
How Customers Will Receive the Money
State Farm is sending payments in waves by state, and the process is expected to take several months because of the number of eligible customers.
Customers with an email address on file will receive an email from donotreply@e.sfdividend.com with instructions for accessing a payment portal. Eligible customers can choose to receive their payment digitally through Zelle, Venmo, or PayPal, or receive a paper check by mail.
Customers without an email address on file will automatically receive a check by mail.
State Farm said more than 7.2 million checks had been mailed as of the latest update, with another 3.8 million scheduled to be sent during the following week, CBS reported.
How To Check Your Payment
Customers can check their dividend information through State Farm’s dedicated payment portal, sfdividend.com.
The portal allows eligible customers to look up their payment using their Dividend ID and PIN or their name and policy number.
State Farm also lists a customer service number, 1-888-808-9532, for questions about the dividend.
Will the Dividend Affect Future Rates?
State Farm said the payment is retrospective and will not directly affect future auto insurance rates.
The company said future rates will continue to be based on expected costs, market trends and the need to match premiums with risk.
“As a mutual company with a customer-first focus, State Farm Mutual is able to provide value directly to our customers while maintaining financial strength to keep our promises in the future,” State Farm Mutual President and CEO Jon Farney said in announcing the dividend.
The company said the $5 billion dividend comes in addition to lower auto rates implemented this year.
Provided by Dallas Express
