State Farm pulls back on ADT program

State Farm  and ADT’s home security partnership, announced in September 2022 and launched in March 2023, was positioned as a way to blend insurance with smart-home protection. But recent regulatory filings in Nevada and Tennessee show the program is already being scaled back.

Effective August 31, 2025, State Farm — which holds a 15% stake in ADT — will discontinue the ADT Home Security program in both states, citing low adoption and high costs. Existing customers will not be affected, with ADT honoring current contracts and State Farm maintaining its Home Alert Protection discount.

In Nevada, the program offered a discounted ADT package that included installation of a security panel, water sensors, a smoke detector, and door/window sensors. In most states, participation required a 36-month monitoring contract starting at $19.99 per month, along with sharing telematics and system usage data (excluding audio and video) with State Farm.

ADT reported roughly 6,000 sales by the end of 2023 and just under 5,000 in Q1 2024. CEO Jim DeVries said the companies initially targeted 13 states representing about 40% of State Farm’s homeowners book, with plans to expand later. They also began testing add-ons, such as a water detection pilot for policyholders with prior water damage claims.