State Farm Is Paying Out $5 Billion in Dividends — Here’s Who Gets a Check

If you had a State Farm auto insurance policy in 2025, you might want to check your email. The company recently announced that it has started sending out $5 billion in dividend payments, the largest cash-back payout in its 100-plus-year history. Millions of customers already have money on the way.

According to a recent news release, State Farm Mutual Automobile Insurance Company began issuing the payments on July 31. As of mid-August, more than 7.2 million checks had gone out, a company spokesperson told CBS News.

The payout applies to policyholders on more than 49 million insured vehicles nationwide.

Who qualifies

To get a payment, customers needed an auto policy in force at any point between Jan. 1 and Dec. 31, 2025. Customers’ dividend payments are based on a percentage of the premium paid for each qualifying policy in that period. Percentages range from 4% to 10%, varying by state.

The average payout is about $100 per vehicle.

Jon Farney, president and CEO at State Farm Mutual, says the payments are part of the company’s commitment to customers in the news release:

“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. That translated this year to lower auto rates and cash back in the form of a $5 billion policyholder dividend.”

How you’ll get paid

Customers with an email address on file with State Farm will get a message with instructions to log into a payment portal. There, they can choose a digital payment through Zelle, Venmo or PayPal, or opt for a mailed check. Anyone without an email on file will automatically receive a check.

State Farm is warning customers to watch for scams tied to the rollout. The company won’t ask for a fee to release the payment, and it won’t ask for passwords tied to email, banking or digital wallet accounts.

When to expect it

Payments are going out in waves by state, and State Farm says the full distribution will take several months given the number of policies involved. The dividend is a one-time payment and won’t affect future auto rates, which are set separately based on projected costs.

Customers with questions about timing or eligibility can check the portal at sfdividend.com or call 1-888-808-9532.

Save more on car insurance

A dividend payment on your car policy may be a nice surprise, but you could be saving much more on your auto insurance — up to $1,100 per year. Insurers count on you being too busy to shop around. But Insurify has fixed that.

Unlike other sites that sell your data, Insurify lets you compare real-time quotes side by side without the spam. It’s fast, secure and rated 4.7 stars on Trustpilot.
Join over 10 million drivers who have stopped overpaying. It takes minutes to check, and it costs you nothing.

See if you’re overpaying — it’s free and takes just 5 minutes.