Insurance is like an umbrella that provides protection and security from the different problems that can occur in life. It is an essential step in the financial planning of an individual and his family. Two renowned companies are known for their financial services are Farm Bureau and Allstate.
Farm Bureau vs Allstate
The main difference between Farm Bureau and Allstate is that Farm Bureau was founded in the year 1911 while Allstate was founded in the year 1931. The founder of Farm Bureau is John Barron while the founder of Allstate is General Robert E. Wood.
The headquarters of the Farm Bureau is in Washington. The main purpose of the establishment of the Farm Bureau was to build agricultural awareness and shape the legislation which can benefit the larger as well as the smaller farms.
On the other hand, the headquarters of Allstate is in Northfield Township in Illinois. The main purpose of the establishment of Allstate was to provide financial products and services which could protect the customers against uncertainties of life.
Comparison Table Between Farm Bureau and Allstate
| Parameters of Comparison | Farm Bureau | Allstate |
| Year of foundation | 1911 | 1931 |
| Headquarters | Washington, DC | Northfield Township in Illinois |
| CEO | Daniel D. Pitcher | Thomas Jay Wilson |
| Main aim | The main aim of the Farm Bureau is to build agriculture awareness and shape the legislation so that it can benefit the larger as well as the smaller farms | The main aim of Allstate is to provide financial products and services to provide protection to customers against the uncertainties of life and prepare them for future |
| Products | Financial services, casualty insurance, and property insurance services | Health insurance, auto insurance, business insurance, homeowners insurance, and other financial services |
What is Farm Bureau?
The full name of Farm Bureau insurance is the American Farm Bureau federation or AFBF. It is an insurance company which is based in the United States and represents the industry of American agriculture. The headquarter of the Farm Bureau is in Washington DC. The insurance company has an affiliation in over 50 states. The insurance company is a lobbying organization.
The founder of Farm Bureau is John Barron. The main focus of the insurance company is in the agriculture sector. It mainly serves the United States. The establishment of the insurance company was in the year 1911. The establishment of the insurance company aimed to shape the legislation so that it can benefit the larger as well as the smaller farms.
The company has various policies that can benefit for-profit activities like the federal subsidies in crop insurance. The statewide formation of the Farm Bureau was in the year 1950 by the farmers’ meeting which was held in Saline County in Missouri. The insurance company offers vehicle insurance and fire insurance to the farmers for their farms which have a self-insurance capability as well as negotiating power.
The lobbying presence of the Farm Bureau was mainly to favor the large farms. The company retains about 22 registered lobbyists. The insurance company also supported the bill called the Fighting Hunger Incentive Act of 2014 which amended the federal tax laws for permanent extension and expansion of certain expired provisions. This provided an enhanced tax deduction for donation in the food inventory of charitable organizations.
What is Allstate?
Allstate Corporation is an American-based insurance company. The headquarters of the company is in Northfield Township in Illinois. It is a public type of insurance company. It was founded on 17th April 1931. During its foundation, it was a part of Sears, Roebuck, and Co. The CEO of Allstate is Thomas Jay Wilson. The insurance company also has operations of personal lines insurance in Canada.
The parent company of Allstate was Sears till the year 1995. The company has also ranked 79th in the Fortune 500 list which wrote about the largest united States Corporations in 2019 by the total revenue generated. The name Allstate was given by sears through a national contest held for deciding the new brand of car tires in 1925.
The creation of the logo of Allstate was done by Theodor Conterio in the year 1950. The advertising strategy of Allstate adopted a slogan which was known as “You are in Good Hands”. The creation of the slogan was done by a sales executive of the company. Since then the company refers itself as Good Hands People. The TV advertisements also featured cupped hand gestures.
The company had spokesman Dennis Haysbert in the year 2003 for its TV commercials. The main idea was to convey the message that the insurance company was superior to its competitors. Allstate provides various products like asset protection, wealth transfer, auto insurance, homeowners insurance, commercial inland marine, mobile home, comprehensive personal liability, flood protection loan protection, business succession planning products, variable universal life, supplemental health, acid management and accumulation, and other life and health insurance.
Main Differences Between Farm Bureau and Allstate
- The premium rate of the Farm Bureau is lower than the premium rates of Allstate.
- Farm Bureau does not provide any additional discount while Allstate provides an additional discount in farm vehicles, utility vehicles, and for seniors or newly retired personnel.
- The AM Best rating given to Farm Bureau is A+ while the AM Best rating given to Allstate is A++.
- The founder of Farm Bureau is John Barron while the founder of Allstate is General Robert E. Wood.
- The slogan of Farm Bureau is “Protecting Family Farms Through Stepped-up Basis” while the slogan of Allstate is “You are in Good Hands”.
Conclusion
Insurance plays a pivotal role in the life of every individual. It provides financial security and protects the individual and his family. It reduces stress And from various future expenses. The loss from any unforeseen tragedies can be minimized with the help of insurance. Insurance can be of various types like a motor vehicle, home, health, travel, and various other services.
Farm Bureau and Allstate are two popular insurance companies. Both the companies provide various products and services to the customers. Every insurance company has its terms and conditions. Every customer should read all the rules and regulations before investing in any policy.
References
- https://digitalcommons.law.uidaho.edu/cgi/viewcontent.cgi?article=1119&context=idaho_supreme_court_record_briefs
- https://heinonline.org/hol-cgi-bin/get_pdf.cgi?handle=hein.journals/mercer54§ion=28