Our take

American Family Insurance has been in business for more than 90 years and has carved out a solid niche in the market through its extensive agent network and reputation for great customer service. Its premiums are among the lowest on offer, and it gets above-average marks for auto claims satisfaction.

However, it’s only available in 19 states, which means it may not be an option for you. American Family ranked at No. 9 in our Best car insurance companies of 2024 list.

States where American Family offers coverage

Available in 19 states.

What does American Family auto insurance cover?

American Family offers a full range of car insurance policies to meet most drivers’ needs. It also offers a range of home, condo and renters policies, allowing you to bundle for additional savings. 

All primary car insurance coverage options are available:

• Liability
• Collision
• Comprehensive
• Personal injury protection (PIP) and medical payments (MedPay)
• Uninsured and underinsured motorist coverage

Additional coverage offerings include:

• Rental reimbursement
• Gap insurance
• Accidental death & dismemberment coverage
• Roadside assistance

How does American Family Insurance rank?

American Family was about the middle of the pack in our annual ranking of car insurance providers. It earned high marks for customer service and low premiums, but its limited availability means it’s not an option for a lot of drivers, particularly those on the East Coast. 

It also had more complaints filed with the National Association of Insurance Commissioners (NAIC) than the average carrier, but only by a small margin. The company scored better than average for auto claims satisfaction in the 2024 J.D. Power consumers survey.

Here's a look at how it compared to a selection of peers:

*The lower a company’s score, the fewer the number of complaints filed with the NAIC. A score higher than 1.0 means it had a higher-than-average number of complaints.

How much is American Family auto insurance?

In our survey of 15 of the top car insurance providers, American Family ranked sixth for premiums. Erie Insurance was the cheapest.

The average full coverage rate for a 40-year-old driver was $1,698 per year or $142 per month. That compared to $1,480 per year for Erie Insurance and $2,509 per year for Allstate, which was on the pricier end.

Here is a comparison of rates with several large competitors. Premiums are based on full coverage insurance at 100/300/100, with a $500 collision/comprehensive deductible for a 40-year-old driver with a good driving record.

American Family car insurance rates by state

What you pay for insurance can vary based on factors such as your age, gender, credit rating, and the type of car you drive. One of the biggest factors, however, is where you live. 

Car insurance rates by state vary. Some states have considerably higher insurance rates due to circumstances such as frequent hail events, flooding and higher litigation costs.

Here’s a sample of American Family rates in selected states for a 40-year-old driver.

American Family Insurance rates for teens

As is the case with practically all insurers, teenage drivers will pay some of the most expensive rates for car insurance with American Family.

Here’s a comparison of what a teenage driver can expect to pay annually with American Family compared to a young and middle-aged adult, as well as competitors’ rates for the same coverage, American Family is cheaper for teens than other big names like Geico and State Farm.

American Family Insurance rates for adults

While teens will pay some of the highest rates of their driving years, the good news is that insurance premiums will steadily decline with age. Only the oldest drivers will see that trend reverse.

While it can vary slightly by insurance company, adults will pay some of their lowest rates with American Family at around the age of 55.

Here’s what adults can expect to pay annually on average for full coverage car insurance with American Family at various ages.

American Family Insurance rates for seniors

The lowering of insurance rates begins to level off approaching the age of 65 and rises again for the oldest drivers on the road.

Car insurance companies base their rates on risk profiles, and unfortunately, there is evidence that driving becomes riskier as we age. This may be related to slower reflexes, weaker eyesight or other factors and will certainly vary from driver to driver.

For that reason, expect to see your rates begin to increase as you reach 65, but it will not be nearly as steep as the rates you saw in your teens.

Here’s what a senior driver can expect to pay annually with American Family at various ages.

American Family Insurance rates by driver profile

Insurance companies are very good at crunching numbers and have extensive risk profiles for drivers at every age, stage of life and gender. Your driving record is another good indicator of risk, and they also consider factors such as credit rating in most states.

A poor credit score indicates to an insurance carrier whether you’ll continue to make timely payments and whether you’re more likely to file a claim in the future.

Here’s a look at what drivers with common marks on their profiles can expect to pay annually for full coverage insurance with American Family, based on a 40-year-old driver. Poor credit raises rates the most at American Family.

American Family auto insurance discounts

Aside from shopping around, one of the best ways to lower your insurance premiums is to see if you are eligible for any available discounts offered by an insurance carrier.

Carriers generally offer discounts for a wide range of items, such as bundling insurance policies with the same carrier, having safety devices in your vehicle, using driver monitoring (or telematics) programs, and belonging to various professional, trade, or alumni associations.

The discounts generally range from 5% to 10% and can reach as much as 30%.

American Family offers car insurance discounts for the following:

• Bundling home and auto
• Multi-car
• Accident-free status
• Loyalty discount
• EFT/good payer/pay in full discount
• Early quote
• Good student
• Student away at school
• Driver training 
• Low mileage
• DriveMyWay usage-based driving app

Sources & Methodology

Methodology

Insurance.com editors in 2024 collected rates from Quadrant Information Services for a 40-year-old male and female driving a 2023 Honda Accord LX for state minimum coverage, liability only with 50/100/50 limits and a full coverage insurance policy with limits 100/300/100 and $500 comprehensive and collision deductible. Rates were gathered for multiple driving records and different credit levels. The rates presented are the average of rates for males and females. We analyzed 53,409,632 quotes, 34,588 ZIP codes and 170 insurance companies nationwide.

Source

American Family. “Discounts.” Accessed August 2024.

Helpful auto insurance tools and calculators

• Car insurance rates by vehicle
• Compare car insurance companies
• Auto insurance coverage calculator
• Speeding ticket calculator
• Traffic ticket calculator
• Used car insurance calculator
• Rideshare earning calculator