State Farm sending $5 billion dividend to customers: Here's who qualifies, how to check

State Farms is paying a historic $5 billion cash-divident to millions of its auto-insurance customers across the United States (U.S.). The eligible customers are expected to receive hundreds of dollars depending on the amount they paid in premiums last year.

The massive one-time payout marks the biggest dividend in the company’s 100-year history. It is being distributed across more than 49 million State Farm Mutual auto vehicles and the payment is expected to take several months to complete.

Every State Farm customer has not automatically qualified for the money.

Who qualifies for the State Farm dividend?

Customers having a personal auto insurance policy with State Farm Mutual that was active at some point during 2025 have qualified to receive a dividend of at least $10.

The amount each customer receives depends on the premium they paid for a qualifying policy in 2025. State Farm says the dividend will be between 4% and 10% of the qualifying premium, with the exact percentage varying by state.

This means someone who paid $2,000 in qualifying premiums could receive roughly $80 to $200, depending on their state's applicable rate.

Customers who insured multiple vehicles could also receive separate payments for each qualifying vehicle.

How to check if you qualify

State Farm says eligible customers do not need to submit a claim to receive the dividend.

The company is contacting qualifying policyholders by email or letter, so customers should check both their inbox and mailbox for a notification.

Customers can also log into their State Farm account through the company's website or mobile app to check their dividend information.

The payment can be sent as a paper check or electronically, depending on the customer's arrangements. State Farm has also said that receiving the dividend will not affect future auto insurance premiums.

State Farm Mutual is a mutual insurance company, meaning it is owned by its policyholders rather than outside shareholders.

The company said the massive payout was made possible by its financial strength and stronger-than-expected underwriting performance in 2025.

State Farm President and CEO Jon Farney said the company's structure allows it to return value directly to customers while maintaining its financial strength.

The insurer has already begun distributing the payments, but because the money is being sent to millions of customers across the country, some eligible policyholders may have to wait several months before receiving theirs.