State Farm vs Mutual of Omaha: Medigap Plans Compared

State farm vs mutual of omaha medigap is one of the most common comparisons among Medicare beneficiaries shopping for supplement coverage. Both companies carry A+ (Superior) ratings from AM Best. Both focus heavily on Medigap rather than Medicare Advantage.

However, they differ sharply in plan selection, pricing strategy, available discounts, and extra benefits. State Farm appeals to buyers who want rock-bottom rate increases over time. Mutual of Omaha attracts those who want broader availability and household discounts. This guide breaks down the state farm vs mutual of omaha medigap debate using current financial ratings, complaint data, and plan details so you can choose with confidence.

State Farm Vs Mutual Of Omaha Medigap: Quick Comparison

The table above highlights the core state farm vs mutual of omaha medigap differences. State Farm offers more plan letters but fewer extra perks. Mutual of Omaha covers more states and adds high-deductible options. Neither company sells Medicare Advantage or Part D plans in 2026.

For most shoppers, the decision comes down to priorities. State Farm wins on complaint ratios and rate stability. Mutual of Omaha wins on availability, discounts, and supplemental benefits. Both earn the same AM Best grade. Both use attained-age pricing. The details below will help you decide which fits your situation.

Medicare Plan Options: State Farm vs Mutual Of Omaha

When comparing state farm vs mutual of omaha medigap plan lineups, the differences are subtle but meaningful. State Farm offers seven standardized plan letters: A, B, C, D, F, G, and N. This gives buyers more mid-tier options like Plan B and Plan D. However, Plans C and F remain limited to those who qualified for Medicare before January 1, 2020. You can verify current eligibility rules at medicare.gov’s Medigap page.

Mutual of Omaha takes a different approach. They offer Plans A, F, G, and N plus high-deductible versions of Plans F and G. The high-deductible options carry a $2,950 annual deductible in 2026. In exchange, monthly premiums drop significantly. This appeals to healthy beneficiaries who rarely use medical services. Mutual of Omaha skips Plans B, C, and D entirely.

Neither company offers Medicare Advantage or standalone Part D plans. Mutual of Omaha briefly partnered with Wellcare for co-branded Medicare Advantage PPOs. That partnership ended in 2025. If you need prescription drug coverage, you must enroll in a separate Part D plan from another carrier. The CMS enrollment portal lists all available Part D options in your area.

Rates and Enrollment: State Farm vs Mutual Of Omaha

Pricing is where the state farm vs mutual of omaha medigap comparison gets interesting. Both companies use attained-age rating. This means your premium starts based on your current age. It increases each year as you get older. On top of age-based increases, both apply annual rate adjustments for medical inflation.

State Farm stands out for rate stability. According to multiple insurance review sources, State Farm has the lowest year-over-year rate increases among major Medigap carriers. In contrast, some competitors raised Plan G premiums by 12% to 26% in early 2026. State Farm’s increases have been notably more modest. Over a 10-year or 20-year horizon, this difference compounds significantly.

Mutual of Omaha typically offers competitive introductory rates. Their household discount of up to 12% can further reduce premiums. This discount applies to policyholders sharing a residence with someone over age 60. In some states, the other person does not even need a Mutual of Omaha policy.

State Farm offers no household discount at all. For enrollment, State Farm requires agent involvement to finalize applications. Mutual of Omaha allows full online enrollment, phone applications, or independent agent assistance. Many retirees reviewing their state farm vs mutual of omaha medigap options also take time to compare home insurance rates at Home Insure Guide since homeowners coverage needs often change in retirement.

Additional Benefits Compared

Standard Medigap plans do not include dental, vision, or hearing benefits. However, some carriers add extra perks. This is another area where the state farm vs mutual of omaha medigap comparison diverges sharply. State Farm offers no additional benefits whatsoever. Their Medigap plans cover exactly what the standardized letters require and nothing more.

Mutual of Omaha bundles several extra benefits with their Medigap policies. They offer discounted hearing tests and hearing aids through partner providers. Vision savings come through the EyeMed network. Wellness discounts provide up to 30% off chiropractic care, acupuncture, and massage therapy. Their Mutually Well fitness program costs an extra $25 per month and provides gym access. It is not SilverSneakers, but it serves a similar purpose.

If extra benefits matter to you, Mutual of Omaha clearly leads this category. On the other hand, if you only care about core Medigap coverage at the lowest long-term cost, State Farm’s no-frills approach may actually save you money. Many Medicare beneficiaries also carry a life insurance policy to protect their family. You can compare life insurance rates at Life Insure Guide to see how those premiums fit alongside your Medigap budget.

Financial Strength and Stability

Both companies earn an A+ (Superior) rating from AM Best. However, the recent history differs. State Farm was downgraded from A++ to A+ in November 2025. The downgrade followed five consecutive years of underwriting losses in auto and homeowners lines. Weather-related catastrophe losses contributed heavily. Despite this, A+ remains the second-highest AM Best rating. State Farm’s financial position is still very strong.

Mutual of Omaha’s A+ rating was affirmed as recently as April 2026 with a stable outlook. They also hold an A+ from S&P Global and an A1 from Moody’s. For a state farm vs mutual of omaha medigap comparison, both companies easily clear the financial stability threshold. Neither is at any meaningful risk of failing to pay claims.

Complaint ratios tell another important story. State Farm’s NAIC complaint ratio sits at approximately 0.51. This means beneficiaries file 49% fewer complaints than expected for a company of its size. Mutual of Omaha’s ratio is approximately 0.61, which is 39% below the industry average. Both are excellent. In most cases, either company will deliver a smooth claims experience. State Farm holds a slight edge in customer satisfaction based on these numbers. Mutual of Omaha compensates with sheer scale. As the second-largest Medigap carrier in the country, they cover roughly 1.3 million beneficiaries. State Farm covers approximately 100,000.

Which Medicare Carrier Should You Choose?

Choose State Farm if:

• You prioritize the lowest possible long-term rate increases over decades of coverage.
• You want the fewest customer complaints of almost any Medigap insurer.
• You prefer working with a dedicated captive agent from a brand you already trust.
• You want mid-tier plan options like Plan B or Plan D that Mutual of Omaha does not offer.

Choose Mutual of Omaha if:

• You want a household discount of up to 12% to reduce your monthly premium.
• You value extra benefits like hearing discounts, vision savings, and wellness programs.
• You prefer high-deductible plan options to keep premiums as low as possible.
• You live in a state where State Farm does not sell Medigap, such as Connecticut, New Jersey, or New York.

The state farm vs mutual of omaha medigap decision ultimately depends on what you value most. For long-term rate stability and minimal complaints, State Farm is hard to beat. For broader availability, household savings, and supplemental benefits, Mutual of Omaha delivers more value. Both companies are financially rock-solid with A+ ratings.

Typically, beneficiaries who plan to keep their Medigap policy for 15 or 20 years should weigh State Farm’s superior rate stability heavily. On the other hand, couples enrolling together should seriously consider Mutual of Omaha’s 12% household discount. For example, that discount alone could save a household hundreds of dollars per year. Either way, the state farm vs mutual of omaha medigap comparison produces two strong choices. Your best next step is to request quotes from both carriers for your specific age, zip code, and desired plan letter.

Frequently Asked Questions

Does State Farm or Mutual of Omaha offer better Medigap rates?

It depends on your situation. State Farm typically has lower year-over-year rate increases than most competitors. However, Mutual of Omaha offers a household discount of up to 12% that State Farm does not match. For couples, Mutual of Omaha often costs less overall.

Is state farm vs mutual of omaha medigap Plan G the same coverage?

Yes. All Medigap Plan G policies are standardized by the federal government. The benefits are identical regardless of which company issues the policy. In most cases, the only differences are premium cost, rate increase history, and customer service quality.

Can I switch from State Farm Medigap to Mutual of Omaha later?

You can switch at any time. However, outside your initial Medigap Open Enrollment Period, the new carrier may require medical underwriting. For example, you could be denied coverage or charged higher rates based on health conditions. Typically, it is best to choose carefully during your first enrollment window.

Do either State Farm or Mutual of Omaha offer Medicare Advantage plans?

No. As of 2026, neither company offers Medicare Advantage plans. Both focus exclusively on Medigap supplement coverage. If you want Medicare Advantage, you will need to look at carriers like UnitedHealthcare, Humana, or Aetna through the Medicare Plan Finder at medicare.gov.

Compare More Medicare Insurance Companies

Looking for more Medicare carrier reviews, plan comparisons, and enrollment guides? Browse our complete library of Medicare resources.

Official Sources & Resources

For verified information on Medicare plans, ratings, and enrollment:

• Medicare.gov (Official): medicare.gov
• CMS.gov (Centers for Medicare & Medicaid): cms.gov
• AM Best (Financial Strength Ratings): ambest.com
• NAIC (Complaint Ratios): naic.org
• State Health Insurance Assistance Program (SHIP): shiphelp.org
• Kaiser Family Foundation (KFF): kff.org

Content last reviewed April 2026. If you notice any outdated information, please contact us.

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