Erie Insurance vs Farmers: Homeowners Insurance Coverage Comparison
A coverage-first, independent comparison of Erie Insurance and Farmers — based on public policy forms and carrier disclosures, not premiums or marketing. Coverage details vary by state and change frequently; confirm at bind.
Information reflects public sources as of January 2025.
At-a-glance comparison
| Coverage feature | Erie Insurance | Farmers |
|---|---|---|
| Carrier structure | Reciprocal | Reciprocal |
| Distribution | Independent agents | Captive agents |
| AM Best rating | A+ | A |
| States written | Erie writes in 12 states plus D.C., concentrated in the Mid-Atlantic and Midwest. | Farmers writes in most U.S. states; availability and product tier vary. |
| Policy form | Proprietary form | Proprietary form |
| Roof settlement (default) | Varies by state | Varies by state |
| Wind/hail deductible | Varies by state | Varies by state |
| Water backup | Available as endorsement | Varies by state/program |
| Ordinance or law | Included (standard) | Included (standard) |
| Service line | Available as endorsement | Available as endorsement |
| Equipment breakdown | Available as endorsement | Available as endorsement |
| Extended replacement cost | Included (standard) | Available as endorsement |
| Guaranteed replacement cost | Included (standard) | Available as endorsement |
| Online quote | ||
| Mobile claims app |
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Coverage breakdown
Policy form
Erie Insurance: Erie's standard homeowners product (ErieSecure Home) bundles guaranteed replacement cost on the dwelling in most states.
Farmers: Farmers offers tiered homeowners products (Standard, Enhanced, Premier) with different included coverages.
Why it matters: the policy form is the contract. Two carriers can both call a product "homeowners insurance" and have meaningfully different definitions of "covered peril," "actual cash value," and how losses are settled.
Roof settlement
Erie Insurance: Erie's standard product historically pays replacement cost for the dwelling, but specific roof endorsements and ACV schedules apply in some states. Confirm at bind.
Farmers: Roof settlement basis depends on product tier and state. The higher-tier products may include broader roof coverage. Confirm at bind.
Why it matters: on a 15-year-old asphalt roof, an ACV or schedule-by-age settlement can leave the homeowner with five-figure out-of-pocket costs after a hailstorm. Read more about RCV vs ACV.
Wind / hail deductible
Erie Insurance: Varies by state and program.
Farmers: Varies by state and program.
Why it matters: percentage deductibles (1%–5% of Coverage A) are common in hail- and hurricane-prone states. On a $500,000 dwelling, a 2% wind/hail deductible is $10,000 — the first $10,000 of any wind or hail loss.
Water backup
Erie Insurance: Available as endorsement
Farmers: Included in some higher-tier products; available as an endorsement on standard products.
Ordinance or law
Erie Insurance: Included (standard)
Farmers: Included (standard)
Erie Insurance vs Farmers: what the differences mean at claim time
Independent agent versus captive agent, with meaningfully different regional footprints.
Regional carriers vs national carriers
A regional carrier concentrates its book in a handful of states, which usually means adjusters who know local building codes and contractor pricing — and a book that's more exposed to a single catastrophic event in your region. National carriers spread that risk but hand your claim to whichever adjuster is available. In practice, the regional advantage shows up in claim handling and the national advantage shows up in availability and pricing stability after a bad storm year.
Agent-placed vs direct: what changes at claim time
A captive or independent agent is a human who can re-read your declarations page with you, push back on an adjuster's scope, and document a supplement. A direct-to-consumer purchase gives you a faster quote and usually a better app, but the first person who reads your policy back to you is the adjuster — and their job is to settle the claim, not to advocate for your endorsements. Neither model is wrong; they fail differently. If you already know exactly which endorsements you need, direct is efficient. If you don't, the agent is the endorsement.
If your roof is over 10 years old, read this row first
Roof settlement is the single line that most often decides whether a hail claim pays five figures or nothing. Carriers increasingly move older roofs to actual cash value or an age-based payment schedule at renewal, without changing the premium enough to notice. On a $22,000 roof at 15 years, an ACV settlement plus a 2% wind/hail deductible on a $400,000 dwelling can net a $0 check on a fully covered loss. Whichever carrier you choose here, the endorsement name on your declarations page matters more than the brand on it.
Which policy fits which homeowner
We don't rank carriers. The right choice depends on your home, your roof, your state, and the specific endorsements you add. A few coverage-driven considerations:
- If you have a roof over 10 years old, the roof settlement basis matters more than the premium difference.
- If you live in a hail- or hurricane-prone state, check the wind/hail deductible structure on both quotes.
- If your home was built before 1990, default 10% ordinance or law coverage is often insufficient — ask about higher limits.
- If you have a finished basement, sump pump, or septic, water backup coverage is worth pricing on both quotes.
See what either carrier would actually pay
The coverage differences above are abstract until you put real dollars against them. Three calculators that translate the policy form into out-of-pocket exposure on your home.
Prefer one number? Get your free Coverage Score — six dimensions, one grade, no email required.
Already with Erie Insurance or Farmers?
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Talk to an advisorFAQs
Is Erie Insurance or Farmers better for homeowners insurance?
Neither carrier is universally "better." The right policy depends on your home's age, your roof, your state, and the specific endorsements you add. Erie Insurance uses proprietary form; Farmers uses proprietary form. Compare them on roof settlement basis, wind/hail deductible, water backup, and ordinance or law — not just premium.
What's the main coverage difference between Erie Insurance and Farmers?
The biggest practical differences are usually (1) how roof losses are settled (replacement cost vs actual cash value vs payment schedule by age), (2) whether wind/hail uses a flat or percentage deductible, and (3) which endorsements are included by default vs sold as add-ons. Erie Insurance offers as an endorsement water backup; Farmers offers as an endorsement it.
Does Erie Insurance or Farmers cover roof replacement?
Both carriers cover roof damage from covered perils, but the settlement basis varies by state and program. Erie's standard product historically pays replacement cost for the dwelling, but specific roof endorsements and ACV schedules apply in some states. Confirm at bind. Roof settlement basis depends on product tier and state. The higher-tier products may include broader roof coverage. Confirm at bind.
Is Erie Insurance or Farmers cheaper?
We don't quote premiums on this page because they vary dramatically by state, home characteristics, prior claims, and credit. The more useful question is which policy actually pays out the way you expect after a claim — which is what coverage form differences determine.
Is Erie Insurance a good company?
Erie Insurance holds an AM Best rating of A+ and has a limited footprint. Financial strength matters, but coverage quality and claims experience matter more at claim time. Read the actual policy form and endorsement list before binding.
Sources & methodology
Coverage details above are drawn from the carriers' public-facing product disclosures and policy summaries. Policy forms, endorsements, and roof settlement schedules vary by state and change frequently. The summaries here are not policy advice and are not a substitute for reading the actual policy you are offered.
Erie Insurance Exchange and Farmers Insurance Exchange are trademarks of their respective owners. RateMyPolicy is not affiliated with, endorsed by, or sponsored by either carrier listed on this page. This page is for general informational purposes only and does not constitute insurance advice. Coverage terms are governed by the actual policy issued.