Millions of drivers with State Farm insurance could soon see payouts on average of $100, according to a recent announcement from the company. State Farm Mutual said Thursday that it would pay $5 billion in cash back to qualifying policyholders through a dividend, calling it a “one-time distribu tion” to more than 49 million drivers. The company said the payouts were being distributed due to “a stronger than expected underwriting performance,” calling them the “largest dividend in company history.” While the payments will vary by state and the amount of premiums paid, they are expected to average $100, the company said. In Illinois, customers are expected to receive an average payment of $88 per vehicle, according to a spokesman. “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,” State Farm Mutual President and CEO Jon Farney said in a statement. State Farm reports it has also lowered premiums by about 10% across 40 states, totaling $4.6 billion in cost savings for customers. However, the cuts come as car insurance premiums have soared in recent years, rising nearly 50% from 2022 to 2025, according to the Bureau of Labor Statistics, the highest inflation for motor vehicle insurance in 50 years, CNBC reports. ...read more read less