Insurance
How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

AAA Car and Homeowners Insurance Reviews

Published on:
Content was accurate at the time of publication.

AAA is best known for its towing services, but it is also one of the nation’s largest home and auto insurance providers. Its rates are higher than national averages and it gets lackluster ratings and reviews. Still, it’s a good company to contact for insurance quotes if you are a AAA member.

Find the Cheapest Car Insurance Quotes in Your Area

Pros

  Offers all the basic home and auto insurance coverages

  Local agents available to provide personalized service

  Discounts available just for being a AAA member

Cons

  Rates are higher than national averages

  Customer service ratings are at or below industry averages

  Products and coverages vary by state

  Special coverages like gap insurance are only available in a few states

  AAA membership required in most states

 

AAA’s organizational structure makes it a good insurance company in some states and just OK in others.

Its rates are higher than national averages, and its coverages and discounts vary by state. AAA is short for American Automobile Association. It’s made up of auto clubs from each state or region of the country. Insurance is among many services that each club provides.

Many AAA clubs only sell insurance to AAA members. Clubs that offer insurance to the general public often give AAA members a discount. Membership fees begin at about $50 to $65 a year, depending on where you live.

AAA only offers basic car and home insurance in most states. However, Michigan and Wisconsin are among the states where AAA offers extras like gap insurance.

AAA offers its own line of insurance in most states. However, it acts as an independent insurance agency in a few states and regions. In these areas, AAA sells insurance from other companies, like Progressive and Travelers.

AAA’s insurance reviews and ratings lag behind national averages in key categories. Its auto and home satisfaction reviews from J.D. Power are below average. Its complaint rating is higher, or worse, than the industry average for homeowners insurance.

AAA insurance ratings and reviews at a glance

RatingAAA’s scoreIndustry average
Overall auto satisfaction820820
Claims satisfaction870878
Auto complaint rating (lower is better)0.91.0
Overall home satisfaction810819
Home claims satisfaction862869
Home complaint rating (lower is better)1.31.0

Sources: J.D. Power, National Association of Insurance Commissioners

AAA charges an average of $1,520 a year for liability car insurance. This works out to $127 a month. AAA’s full-coverage car insurance rates average $3,835 a year, or $320 a month. Both rates are nearly twice the national average.

AAA car insurance rate comparison

CompanyAnnual rate liability onlyAnnual rate full coverage
AAA$1,520$3,835
Allstate$1,158$2,609
American Family$728$1,920
Farmers$1,188$3,091
Geico$727$1,937
Nationwide$963$2,226
Progressive$791$2,032
State Farm$597$1,487
Travelers$835$1,919
U.S. average$772$1,970

Liability car insurance pays for injuries and damage you cause to others in a car accident. Most states require it.

Full-coverage car insurance includes collision and comprehensive, which cover damage to your own car. Neither is required by law, but both usually are required for a car loan or lease.

Auto insurance rates for drivers with ticket or accident

AAA’s rates are more than twice the national average after a speeding ticket, at-fault accident or DUI.

AAA charges drivers with a speeding ticket an average of $4,925 a year for full coverage, or $410 a month. The average national rate for drivers with a ticket is $2,427 a year, or $202 a month.

AAA insurance rates by driving record

Driving recordAAA annual rateU.S. average annual rate
Clean record$3,835$1,970
Speeding ticket$4,925$2,427
At-fault accident$6,454$2,930
DUI$7,867$3,626

AAA car insurance rates for young drivers

AAA charges young drivers an average of $4,075 a year for liability-only car insurance, or $340 a month. This is 67% higher than the national average. AAA’s full-coverage rate for young drivers is 56% higher than the national average.

AAA auto insurance rates for young drivers

Amount of insuranceAAA annual rateAverage U.S. annual rate
Liability only$4,075$2,433
Full coverage$9,111$5,824

AAA offers the standard car insurance discounts that most companies offer. This includes a discount for bundling your homeowners policy with your car insurance. You can usually also get a discount for having a good driving record.

Teen drivers get discounts for getting good grades and completing a driver training program. The types of driver training programs that qualify vary by state.

In about 20 states, AAA offers a discount to customers who belong to an approved car club. This discount is not as common as the others.

AAA offers basic car insurance coverage in most states. The include:

  • Liability: Covers injuries and damage you cause to others.
  • Collision: Covers damage your car sustains in a collision.
  • Comprehensive: Covers your car for theft or damage from non-collision causes such as fire, flood and vandalism.
  • Uninsured/underinsured motorist: Covers injuries and damage caused by a driver with no insurance or not enough to cover your costs.
  • Personal injury protection/medical payments: Covers injuries to you and your passengers, regardless of fault.

AAA only offers extras like gap insurance in Michigan, Wisconsin and nearly a dozen other states.

You may need gap insurance if the value of your car is less than your loan balance. This is known as upside-down financing. Gap insurance is usually also required for a lease.

AAA charges an average of $3,116 a year for homeowners insurance, or $260 a month. This is 13% higher than the national average.

AAA home insurance rate comparison

CompanyAnnual Rate
AAA$3,116
Allstate$2,560
American Family$3,072
Farmers$3,801
Nationwide$3,055
Progressive$2,648
State Farm$2,427
Travelers$3,149
U.S. average$2,757

Find the Cheapest Home Insurance Quotes in Your Area

The discounts AAA offers on homeowners insurance also vary by state or club. You can get a discount for bundling home and auto insurance in any state. In many states, AAA offers a home insurance discount to mature homeowners. You usually have to be at least 50 years old to qualify.

AAA usually also offers discounts for home renovations, but the projects that qualify vary by state.

AAA offers the basic homeowners insurance coverages you need to protect your home and belongings. These include:

  • Dwelling: Covers damage to your home.
  • Personal property: Covers your belongings for damage or theft.
  • Loss of use: Covers temporary living expenses after a disaster.
  • Personal liability: Covers injuries or damage you cause to other people or their property.
  • Medical payments: Covers medical treatment for an injured guest, regardless of fault.

The extra home insurance coverages AAA offers vary by state. In some states, it offers service-line coverage. This pays to repair or replace underground water, sewer, power or natural gas lines on your property.

In many other states, it only offers the basics. This makes it hard to get protection for any unique insurance needs you may have.

Standard homeowners insurance from AAA or other companies does not cover floods or earthquakes. Like many of their peers, AAA’s insurance agents can help you get separate insurance for each of these risks.

Methodology

LendingTree obtains rates from public insurance company filings through Quadrant Information Services. Rates are based on an analysis of thousands of home and auto insurance quotes from multiple states.

Unless otherwise noted, our sample driver is a 30-year-old male with good credit and a clean driving record. Our sample young driver is an 18-year-old male with minimum liability coverage. The sample vehicle is a 2015 Honda Civic EX.

Liability policies include the minimum car insurance coverages required in each state. Full-coverage policies include:

  • Bodily injury liability: $50,000 per person, $100,000 per accident
  • Property damage liability: $25,000
  • Uninsured motorist: $50,000 per person, $100,000 per accident, where required by law
  • Personal injury protection: Minimum limits, where required by law
  • Collision: $500 deductible
  • Comprehensive: $500 deductible

Homeowners insurance rates reflect the cost of standard policies with these coverages, limits and deductible:

  • Dwelling coverage: $400,000
  • Other structures: $40,000
  • Personal property: $200,000
  • Personal liability: $100,000
  • Medical payments: $5,000
  • Deductible: $1,000

Rates are shown for comparative purposes only. Your rates may vary.

Customer service ratings and reviews are from:

  • Auto satisfaction scores: J.D. Power 2023 U.S. Auto Insurance Study, J.D. Power 2023 U.S. Auto Claims Satisfaction Study
  • Home satisfaction scores: J.D. Power 2023 U.S. Home Insurance Study, J.D. Power 2024 U.S. Property Claims Satisfaction Study
  • Home and auto complaint scores: National Association of Insurance Commissioners 2023 Complaint Index

Descriptions of coverages and discounts are based on information provided on AAA websites in California, Massachusetts, Michigan, North Carolina, New York and Washington.