SBA 7(a) loan outcomes · FY2010–FY2019 cohort · Statuses as of June 30, 2026 · Last updated August 17, 2026

State Farm Insurance Franchise Failure Rate: 3.9% SBA Loan Defaults (2010–2019 Federal Data)

3.9%
charge-off rate on 51 SBA 7(a) loans to State Farm Insurance franchisees, FY2010–2019
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019 — State Farm Insurance against its industry and all franchises
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: State Farm Insurance 3.9%; Insurance Agencies and Brokerages 5.1%; All franchises 10.2%State Farm Insurance 3.9%; Insurance Agencies and Brokerages 5.1%; All franchises 10.2%0%2%4%6%8%10%State Farm Insurance3.9%Insurance Agencies andBrokerages5.1%All franchises10.2%
Charge-off rate, SBA 7(a) loans approved FY2010–FY2019: State Farm Insurance 3.9%; Insurance Agencies and Brokerages 5.1%; All franchises 10.2%State Farm Insurance 3.9%; Insurance Agencies and Brokerages 5.1%; All franchises 10.2%0%2%4%6%8%10%State Farm Insurance3.9%Insurance Agencies and Brokerages5.1%All franchises10.2%

Source: U.S. SBA FOIA dataset, statuses as of June 30, 2026. Figures also in the comparison table below.

About 1 in 26 State Farm Insurance SBA borrowers failed to repay — below the Insurance Agencies and Brokerages average of 5.1%.

Between 2010 and 2019, 51 State Farm Insurance franchisees financed with SBA 7(a) loans. 2 defaulted — a 3.9% charge-off rate, 0.8x the Insurance Agencies and Brokerages average of 5.1%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.

What is the State Farm Insurance franchise failure rate on SBA loans?

State Farm Insurance is a Insurance Agencies and Brokerages franchise. This page reports the outcome of every SBA 7(a) loan the U.S. Small Business Administration's public FOIA file attributes to State Farm Insurance franchisees: 51 loans approved between fiscal 2010 and 2019, of which 2 were charged off. Loan statuses are as of June 30, 2026, and the cohort has matured, so these are settled outcomes rather than projections.

How does State Farm Insurance compare with other Insurance Agencies and Brokerages franchises?

The table sets State Farm Insurance's charge-off rate beside its Insurance Agencies and Brokerages peers and the two economy-wide benchmarks. All figures use the same cohort — SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026 — and the same denominator of resolved loans, so they are directly comparable.

State Farm Insurance versus benchmarks, SBA 7(a) loans approved FY2010–FY2019, statuses as of June 30, 2026. Source: U.S. SBA FOIA dataset.
MeasureState Farm InsuranceInsurance Agencies and BrokeragesAll franchisesAll SBA borrowers
Default (charge-off) rate3.9%5.1%10.2%8.0%
Loans in sample51
Defaults2
Average loan size$229,194

What has State Farm Insurance SBA lending looked like since 2020?

Since 2020, State Farm Insurance franchisees have taken 1 new SBA 7(a) loan. None have charged off to date, though most remain outstanding and unresolved.

Charge-off rate by approval year — share of each fiscal year's State Farm Insurance SBA 7(a) loans that later defaulted (FY2010–FY2019); years with fewer than 10 loans are outlined, not filled
Charge-off rate by approval year: FY2010 0% of 4 loans; FY2011 0% of 4 loans; FY2012 0% of 3 loans; FY2013 0% of 2 loans; FY2014 0% of 9 loans; FY2015 0% of 5 loans; FY2016 11% of 18 loans; FY2017 0% of 6 loansCharge-off rate by approval year: FY2010 0% of 4 loans; FY2011 0% of 4 loans; FY2012 0% of 3 loans; FY2013 0% of 2 loans; FY2014 0% of 9 loans; FY2015 0% of 5 loans; FY2016 11% of 18 loans; FY2017 0% of 6 loans0%8%15%0%2010n=40%2011n=40%2012n=30%2013n=20%2014n=90%2015n=511%2016n=180%2017n=6
Charge-off rate by approval year: FY2010 0% of 4 loans; FY2011 0% of 4 loans; FY2012 0% of 3 loans; FY2013 0% of 2 loans; FY2014 0% of 9 loans; FY2015 0% of 5 loans; FY2016 11% of 18 loans; FY2017 0% of 6 loansCharge-off rate by approval year: FY2010 0% of 4 loans; FY2011 0% of 4 loans; FY2012 0% of 3 loans; FY2013 0% of 2 loans; FY2014 0% of 9 loans; FY2015 0% of 5 loans; FY2016 11% of 18 loans; FY2017 0% of 6 loans0%8%15%0%’10n=40%’11n=40%’12n=30%’13n=20%’14n=90%’15n=511%’16n=180%’17n=6

Loans approved since 2020, by fiscal year — counts only: 0 have charged off to date and most are still outstanding, so no rate is drawn.

Loans approved since 2020: FY2023 1Loans approved since 2020: FY2023 112023
Loans approved since 2020: FY2023 1Loans approved since 2020: FY2023 11’23

Source: U.S. SBA FOIA dataset, statuses as of June 30, 2026.

Show the numbers behind this chart
Fiscal yearLoansCharged offRate
FY2010400.0%
FY2011400.0%
FY2012300.0%
FY2013200.0%
FY2014900.0%
FY2015500.0%
FY201618211.1%
FY2017600.0%
FY20231outstanding

How to read this

A charge-off means a franchisee borrowed, operated, and failed severely enough that the SBA wrote off the government-guaranteed loan. Unlike franchisor marketing or Item 19 disclosures, this is an observed outcome recorded by a federal agency. One caveat cuts the other way: SBA borrowers are typically less capitalized than all-cash buyers, so these rates can overstate risk for well-funded operators.

How reliable is this number?

State Farm Insurance's figure rests on 51 resolved SBA 7(a) loans approved between fiscal 2010 and 2019 — a matured cohort, so the rate is a settled outcome, not a projection. With 51 resolved loans, one default moves the rate by about 2.0 percentage points. Loans approved since 2020 are excluded from the rate because most are still outstanding; they appear on this page as counts only. Every State Farm Insurance figure is recomputed from the public SBA FOIA file on each rebuild.

Based on 51 resolved loans — directional, not precise.

Frequently asked

What is State Farm Insurance's franchise failure rate on SBA loans?
Between 2010 and 2019, 51 State Farm Insurance franchisees financed with SBA 7(a) loans. 2 defaulted — a 3.9% charge-off rate, 0.8x the Insurance Agencies and Brokerages average of 5.1%. Source: U.S. Small Business Administration FOIA dataset, loan statuses as of June 30, 2026.
Is State Farm Insurance a safe franchise investment?
Between 2010–2019, State Farm Insurance franchisees defaulted on SBA loans at 3.9% versus a 5.1% industry average. This data is one input for due diligence; it is not investment advice.

Cite this page

Franchise Default Rates (2026). State Farm Insurance franchise SBA 7(a) default rate, FY2010–FY2019 cohort: 3.9% (2 of 51 loans charged off). Derived from U.S. SBA FOIA data, loan statuses as of June 30, 2026.

https://franchisefailurerates.com/franchise/state-farm-insurance/ · Data & methodology · Download the dataset (CSV)