How Does the Farmers Signal App Work?

Farmers Signal app is a telematics program that allows Travelers customers to earn a discount based on data collected on their driving habits. Safer drivers earn higher discounts and the discount is applied when you renew your policy. Younger drivers can earn an additional discount and drivers with good scores are automatically entered into a sweepstake for some exciting prizes.

In this Farmers Signal app review, you‘ll learn how the program works and whether it’s the right fit for you.

What Is the Farmers Signal App?

Signal is a mobile telematics app from Farmers Insurance that tracks your driving habits. Those who drive safely and courteously are awarded a discount on their insurance premium. The better you drive, the higher your discount. The Signal app may also include CrashAssist, a system that can detect if and when you’re in a motor vehicle accident. This feature offers some handy features when you’re in an accident:

• Contact emergency services and have them sent to your location
• Request roadside assistance or report a claim
• Get tips about what to consider at a crash scene
• Share your location with contacts

Farmers incentivizes participation in the Signal app program in two ways. First, drivers who score at least 80% on their driving skills get entered into a sweepstake for a chance to win up to $100 in gift certificates. Second, young drivers ages 15 to 24 years old earn an extra discount. Younger drivers are more predisposed to accidents and the Signal app encourages safe driving.

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How Does the Farmers Signal App Work?

The Farmers Signal app monitors your driving behavior and calculates a discount to put towards your car insurance. The setup process is simple:

1. Call 1-800-709-7821 or your Farmers agent and ask to enroll.
2. Download the iOS or Android app from the link Farmers texts you.
3. Get behind the wheel and start tracking your driving data.

Once the app is active, it will look at several factors for every trip, including mileage, excessive speeding and abrupt braking. You will also receive hints on how to improve your driving; thus improving your discount.

Once you or a participating household member has completed 10 trips, an initial discount will be provided. 

If you maintain safe driving habits on subsequent drives, your discount should improve. Keep in mind that the discount is not immediate and will take effect when you renew your insurance policy.

Farmers states that receiving the maximum discount will require 100% participation among all household drivers. If there are drivers in the household who are not participating, have them enroll in the Farmers Signal app program so you can save more on your auto insurance. You can add members of your household to the Signal plan whenever you’d like, provided they are Farmers customers by calling your Farmers agent or dialing 1-800-709-7821. They will follow the same process for enrolling and must activate their Signal account through the app.

The discount you earn is based on the driving habits of everyone. Therefore, you should ensure that no one in your house is drifting on the streets ala Fast & Furious. For family members who haven’t activated the Signal app, you can send a reminder to family members by opening the Signal app and going to “More.” Tap on “All Household Drivers” and click the “Remind” button.

You can easily drop out of the Signal program by calling customer support or by deleting the app from your phone. Your Signal discount will be removed from your policy when you renew.

What Does It Monitor?

Signal monitors the following factors to calculate your discount.

• Focused driving: Exactly what it sounds like, this metric measures instances that pull your focus away from driving, such as using your smartphone. The Farmers signal map can detect when you unlock your mobile device, touch the screen while the vehicle is in motion, when you make phone calls or respond to texts, change songs, clear notifications and adjust your navigation. Fortunately, Signal can distinguish between hand-held and hands-free calls (i.e. Bluetooth) — taking any calls will still lower your score but hand-held calls will dock more points. Automatic text responses will not impact your discount.

• Hard brake events: This metric judges abrupt braking, which usually follows speeding, tailgating and other quick driving actions. Abrupt braking will decrease your score and lower the discount you earn.

• Excessive speed: Obeying the speed limits and avoiding speeding will improve your score. The Farmers Signal app does have thresholds built in, allowing you to go faster if you so choose. Keep in mind, though, the lower the posted speed limit, the smaller the threshold. This means you should drive 25 mph if the sign says 25.

• Time of day: Signal users are encouraged to avoid peak times such as early morning, rush hour and late at night. Rush hour traffic usually runs from 7 a.m. to 10 a.m. and again from 4 p.m. to 7 p.m. Drivers who work late can still enroll in Signal but optimize their performance in other metrics to hopefully secure a good discount.

• Total mileage: Higher annual mileage will usually result in a lower discount because more time spent on the road means more opportunities for getting into a car accident. Due to this, Signal could be a good option for remote workers, stay-at-home parents and other low-mileage drivers. If you’re a daily commuter, you can consider transportation alternatives, like public transit or even bicycling to work.

The personal information collected by the Farmers Signal app is not sold, shared or rented. However, the Farmers Signal app will have advertisements by third parties. If you tap on these advertisements, your information can then be used and falls under the privacy policies of the alternate vendor.

How Much Can You Save With the Farmers Signal App?

Farmers customers can save between 15% to 30% by participating in the Signal program. The discount amount will vary by person, as the Signal app monitors each user's driving habits. Factors like when you drive, how far you drive, how fast you drive and how hard you brake all factor into your discount. Once the program ends and you’re up for renewal, your earned discount is applied to your policy.

It’s worth noting that other insurance companies have reported higher telematics discounts, such as Nationwide and Allstate. Those savings will still depend on how safely you drive — there’s no guarantee you will earn the highest possible discount.

Farmers Signal App: Pros & Cons

The Farmers Signal app has many great things going for it, as well as some drawbacks.

Pros	Cons
No extra device needed The safest drivers can save up to 30% Receive tips on how to improve your driving score Additional discount available for young drivers ages 15 to 24 years old Does not use cellphone data when collecting driving information Comes with free CrashAssist	Programs with other insurers may offer a higher discount App may mislabel you as a driver when you’re a passenger Even hands-free phone calls are penalized Signal app may fail to log a trip, necessitating a call to customer support Discount applied at policy renewal instead of immediately CrashAssist is not available for all auto insurance policies

Is the Farmers Signal App Worth It?

The Farmers Signal app is worth it for Farmers policyholders who want another way to save on their auto insurance. On top of potentially saving money on your auto policy, you can receive tips on how to drive more safely.

Farmers Signal is risk-free since poor driving habits observed will not increase your insurance premium, unlike other telematics programs.

Because Signal will look at the time of day you drive as a factor when calculating discounts, people who work late or graveyard shifts may shy away from enrolling in the program. If this is you, consider the fact that the Farmers Signal app uses several other factors when determining your discount. You can still save money by driving the speed limit, not braking hard or swerving in and out of traffic, driving less and not using your cell phone while behind the wheel.

Who Is the Farmers Signal App Best For?

Whether using the Farmers Signal app is right for you is going to depend on your driving habits.

Those who practice defensive driving techniques can maximize their savings in this telematics program. Defensive drivers are those who don’t speed, weave in and out of traffic, brake-check other cars and obey traffic laws.

Remote workers and college students who take online courses will have inherent advantages. Those who work and study from home generally drive less. Moreover, they may be safe docked points due to driving during peak traffic hours.

The Signal app is also ideal for people who don’t use their phones while driving. If you struggle with keeping your hands off your phone while driving, you will likely struggle with optimizing your driving score.

Don’t let these conditions scare you away from looking into the Signal program, however. Even if you’re disadvantaged in one metric, you may still earn a considerable discount if you go above and beyond in other categories.

Farmers Signal App vs. Other Telematics Programs

For those who don’t have Farmers insurance, there are other telematics options available. Below is a table showing the differences between Signal and similar programs.

Telematics Program	Discount	Can Bad Driving Increase Your Premium?
Nationwide SmartRide	Up to 40%	No
Allstate Drivewise	Drivers have reported discounts of up to 40%	N/A
State Farm Drive Safe & Save	30% or higher	Premium may be adjusted based on driving behavior
Farmers Signal	15% - 30%	No
Liberty Mutual RightTrack	Up to 30%	Premium may be adjusted based on driving behavior
Travelers IntelliDrive	Up to 30%	Premium may be adjusted based on driving behavior
USAA SafePilot	Up to 30%	No

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Key Takeaways Signal is a mobile telematics app from Farmers Insurance that tracks your driving habits and rewards good drivers with a discount. The Signal discount is applied at the time of renewal, not immediately. CrashAssist comes free with the Signal app but is not available for all auto insurance policies. Drivers can save up to 30% on their auto insurance by using the Farmers Signal app. The Signal app uses a small amount of battery power while it collects your driving data.

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