State Farm just announced it made $24 Billion dollars last year and is going to pay $5 Billion in dividends. Most in history! State Farm is a Mutual Company and should never ever ever never make that much money. They have the best actuaries and investment people and know exactly what they are doing. That means they have been robbing people blind. Remember that the next time they tell you to do more with less or we don't have any money in the budget for staffing. I can only imagine what kind of bonuses the Executives are going get. Just like the rest of Corporate America destroying this nation. Sc-m of the earth trash!
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All I've heard over the last 10+ years, if we can just get more of this "group" then all will be better. Well we know have a TON more of this/that "group" and things are definitely not better. I've seen prost---tion rings at State Farm, employees dr-g overdose at their desk, employees having s-x in conference rooms, the parking garages smells like weed, physical altercations, and we've had people come into the buildings and commit su----e. Most of the employees look like they need to shower, or wear pajamas to work. I love the purple hair, nose rings, ear gauges, neck and face tattoos. Classy! 40% of employees have been here 2 years or less and 80% have been here 5 years or less. No one has a clue what they are doing, most tenured employees are embarrassed to tell anyone in public where they work. Most of the "groups" don't understand they are the new disposable lemming workforce that is gullible and brought in to be discarded at the drop of the dime. See on a larger scale.....the trillions and trillion of dollars of debt are going to be left for the 2040-2050 crowd to repay! LOL joke is on them and their kids and they are just too stupid yet to realize they brought about their own demise!!! Hilarious!
Why is everyone on here so bitter? OMG, I guess as a Fox News ignoring, self proclaimed 2040/DEI hire that helps you all keep your jobs and your pensions, I should be concerned about your delusions, but I love it here! Find some joy! Because... ewwww LOL. Yall are cringe! Just retire and stop being illiterate little haters and keyboard bullies, because you would NEVER say any of this to our faces.
@m1 You sound like a miserable loser, why don't you go ahead and retire today? Just leave your pension too since you hate it so much.
Some of what you say is accurate but you only paint half the picture. Those 10+ million policies were purchased by artificially lowering the rates creating false growth. AKA buying the business. It is the only way that SF can grown. Scam! Yes you are correct $15 billion of the $25 billion was investment income. That did come from overcharging customers and yes better than expected CAT year. It was also done by completely providing a total and complete sh-t hole of a claim organization. SF claims workforce is so incompetent and business model is so delusional it is under paying claims by the billions each year. 42% of all State Farm employees have been here 2 years or less and 80% including leaders have been here 5 years or less. They took the company from 71,000 employees to 54,000 thousand employees between 2017 to 2021. They eliminated 40% of the staffing in claims (continue the burn and churn) and MT took the largest cash bonuses of any CEO in the US. Yes in perspective it is a small amount but it was still manipulated, stealing and abuse of power. To your point, we have added 10+ million policies, but have a totally useless inexperienced DEI/2040 workforce and still are not back to 2017 staffing levels. All the tech we get is horrible and does not automate and just increases the steps and are mainly just more sophisticated data entry tools. U/W is making some progress with automation. We are not investing in the business or people regardless of what they say. All insurance carriers face the same market risks and for that matter so does every other business and household. Some are better at navigating it than others. Overall, it then becomes a moot point because Progressive/Geico has the same investment risks as SF and advantages of being a stock company and can raise capital/securities. Our expense ratio is around 32%. Roughly...11% goes to Agency compensation, 9% to Marking/Acquisition, 7% to LAE (Loss Adjustment) 4% to General Expense (Buildings/Employee compensation) and 1% to taxes and fees! Again this place is a scam and yes some people do understand the economics of it all! Do not forget in 2019 State Farm had the highest first year quit ratio in the United States. That officially made it the worst company in America to work for! Not much has changed! Sh-t hole!
The people replying in this thread do not understand in the slightest what they are talking about.
State Farm did not “make 25 billion.” State Farm’s group net worth increased in value by this much. 15 billion was the stock portfolio, not as a result of premiums or overcharging. The market has also tanked in the last two weeks and SF has probably lost several billions; it goes up and down.
SF has also grown over 10 million policies since Covid, rapid growth has requires a much larger Grouth Net Worth to maintain adequate financial ratios and capital surplus to support the outstanding risk. It’s why SF had the financial wherewithal to pay out 8 billion in cash payments for the LA Fires.
SF has also filed rate decreases in 40 states to the tune of 4.6 billion in 2026. This could be a bad CAT year and the market could finally contract and SF could lose 8-10 billion in a single year like in 2022. The good years help protect the company from the bad years.
No one on this site understands finance and accounting, but every acts like they do and has opinions about everything.
Yes, when they are out buying horrible business, create fake growth, and we have huge losses, they cut staffing and EIP/MIP. They also gave MT $20 & $24 million dollar bonuses while losing $35 billion.
Yes, when we make record profits, they still cut staffing and cut EIP/MIP. Get the do more with less speech. We never win!
When we don't do well it's our fault and we suffer. When we do well, they don't share in the success/profits and we still get the shaft! Yes still complaining!
So, we were angry about losses for years, and now we’re angry about making a profit, recovering some losses, and refunding the customers. Got it.
IT has the tenure and they are fat and lazy. Pension elimination, rto, and pto bank payout will cull that heard. If not involuntary is a lever than can be pulled in October.
Morale there is declining fast and people aren’t working due to fear of what is next.
No it started in 2021! Yes the farm would do it and yes it would be cr-ppy! They could care less about you and would specifically do it to be cr-ppy and try to run people off!
@zt Pretty sure it was more like the start of 2017 when the pension was no longer offered to new hires. It would look pretty bad to have sc--wed pension vested employees out of a competetive 401k plan/match all those years only to get rid of the pension when the agreement was that the pension meant lower 401k contribution matching from the company. I suppose anything is possible, but do you really know? Why are people talking out their a-s on here about the pension like they know what is going on with it?
2026 is the last year of the pension. 42% of employees at State Farm have been here 2 years of less. Around 80% have been here 5 years or less. Once the U/W purge is finished the pension is done. New hires did not get a pension starting 01/01/21 and most companies only keep dual retirement plans 5 years as they know the demographics of the workforce. Also they are probably coming after your PTO banks. All part of their delusional cost cutting and churn and burn business model. SF is a total and complete sh-t hole!
dividend plus my pension...life is good
Yummy. My pension loves this. Stay strong and profitable. I need my check for at least 20 more years.
Go ask the 600,000 or so that chose State Farm and the almost 6 million that chose Progressive this year......
@m1 I’m just trying to understand… you’ve canceled how many times now? Is this a revolving door situation lol?
State Farm took its net worth from $145 billion to $160 billion in 1 year! They did that by collecting an excess in premiums, making investment returns, then returning a small portion of the money they stole from policyholders. It's easy to make huge profits when you don't spend money on proper staffing, training and the lemmings you hire are too stupid to know how to pay claims. SF Executives install many layers of separation to distance themselves from any accountability and blame everything on mentally incompetent DEI/2040 hires. The keep the burn and churn staffing models, are basically staffing 90% of customer facing roles with the one demographic and again constant "waves" of hiring. They day this place shuts the doors the world will be a better place. These people are sc-m and trash of the earth!
@m1 my wife just received the bill for her 6 month car insurance payment. $187, down from $210 6 months ago. Mine was $180 the last time I paid, but I have drive safe and save discount.
Under $400/year total for 2 cars. And it appears we will also get a rebate this year.
We also have a 1 million dollar umbrella policy (which means we also need to have much higher coverage on car insurance) and homeowners insurance with them.
I called and cancelled all of my State Farm policies yesterday! I went with Progressive, like they said in the Executive Financial call, people are voting for Progressive. I did and saved about $1200 a year on 3 cars! Homeowners was about $700 cheaper..... Plus now I can actually make changes on-line and don't have to mess with a stupid agent always trying to sell me life insurance. I hate State Farm, I will retire next year and this place has turned into a ghetto. Tired of the weed smell in the elevators, neck tattoos, unbathed employees, and endless supply of checks the box DEI hires. Sc-m!
@dd your sophomoric and incorrect characterization of dividends and float, is humorous.
A dividend is a return of premium. While most came from investment earning it also means that rates were too high. Rates caused defectors in droves. Harder to get back. A mutual company making 25 billion has certain optics. Like a tax return where you had too mich in wotholding and gave a the govt a no interest loan. Its called float in insurance.
They colluded with Hagarty to triple classic and antique vehicle premiums they do not have to service. Then, they give a dinky pittance to the PH. Thats how they make their 24 billion. It's ok because the customer has the checkbook and is free to do the same back.
RTO -return to office is coming. I haven’t been back once since we were sent home and will not be back.
They moved us from south to corporate and there isn’t a culture IT in that building
State Farm spent $200 million on raises this year. They shared .83% of the profit with employees for raises! Also if they made $24 billion and have around 60,000 employees that is almost $400,000 profit per employee. People will still get sc--wed on their MIP and EIP. They held policyholders dollars for a year, that wasn't needed, the Executives will skim off their $30 million dollar bonuses and send policyholders check for a couple hundred dollars each.... SF is trash!
What an admirable company. The only one giving back to policyholders in the nation.
Will MIP be over 100% though? That’s the real question
They should do the $1000 employee bonus again, like when the corporate tax cut bill was signed into law in 2017.