American Family Car and Home Insurance Review
- Expertise: Auto insurance, home insurance and renters insurance
- Education: University of California-Berkeley (BA in History)
Rob Bhatt is a licensed insurance agent and joined the staff of Lending Tree in 2021. Previously, he spent more than 20 years writing for and editing regional publications in California, Nevada and Washington. Rob enjoys helping readers understand how different coverages work so they can make informed purchasing decisions, and he specializes in producing research-backed content for LendingTree about auto, home and renters insurance. His work has been cited by ABC, Business Insider, MSN and Yahoo.
American Family offers home and auto insurance in 19 states. Its car insurance rates are cheaper than the national average, but its home rates are a little higher.
Pros
Cheaper-than-average car insurance rates
Excellent auto insurance ratings
Discounts available to make bundling affordable
Gap insurance available for your car
Inland flooding coverage available for your home
Cons
Only available in 19 states
Higher-than-average home insurance rates
Review: Is American Family a good company?
American Family, or AmFam, is a good company to contact for car insurance quotes. Its home insurance rate is higher than the national average. However, its discounts can make it an affordable choice for bundling home and auto insurance.
American Family is available in 19 states. It’s sometimes confused with its sister company, Connect, powered by American Family Insurance. Connect is a separate entity that offers insurance in more states, mostly through Costo and Ameriprise.
American Family has an above-average customer satisfaction rating from J.D. Power for car insurance. Its satisfaction rating for home insurance is a little below the segment average.
According to the National Association of Insurance Commissioners (NAIC), American Family has fewer confirmed complaints than average for its size. A confirmed complaint is one that leads to a finding of fault.
American Family ratings and reviews
| Rating | American Family’s score | Industry average |
|---|---|---|
| Auto satisfaction (higher is better) | 828 | 820 |
| Home satisfaction (higher is better) | 813 | 819 |
| Auto complaint rating (lower is better) | 0.3 | 1.0 |
| Home complaint rating (lower is better) | 0.5 | 1.0 |
| Financial strength | A (AM Best) | Third-highest possible rating |
Sources: J.D. Power, NAIC, AM Best
How much does American Family charge for car insurance?
American Family charges an average of $728 a year for liability car insurance, or $61 a month. Its full-coverage rates average $1,920 a year, or $160 a month.
These are 6% less than the national average for liability and 3% less for full coverage.
Auto insurance rate comparison
| Company | Liability coverage | Full coverage |
|---|---|---|
| State Farm | $597 | $1,487 |
| Travelers | $835 | $1,919 |
| American Family | $728 | $1,920 |
| Geico | $727 | $1,937 |
| U.S. average | $772 | $1,970 |
| Progressive | $791 | $2,032 |
| Nationwide | $963 | $2,226 |
| Allstate | $1,158 | $2,609 |
Liability car insurance covers injuries and damage to others in a car accident you cause. Full coverage includes collision and comprehensive, which covers damage to your own car.
American Family auto insurance rates by state
In the states where American Family is available, its auto insurance rates range from $1,265 a year in Wisconsin to $4,497 a year in Nevada for full coverage.
| State | Liability annual rate | Full-coverage annual rate |
|---|---|---|
| Arizona | NA | NA |
| Colorado | $1,389 | $3,252 |
| Georgia | NA | NA |
| Idaho | NA | NA |
| Illinois | $625 | $1,705 |
| Indiana | $460 | $1,475 |
| Iowa | $295 | $1,430 |
| Kansas | $478 | $1,659 |
| Minnesota | $531 | $1,501 |
| Missouri | $537 | $1,576 |
| Nebraska | $459 | $1,705 |
| Nevada | $2,347 | $4,497 |
| North Dakota | $292 | $1,681 |
| Ohio | NA | NA |
| Oregon | $1,059 | $1,629 |
| South Dakota | $263 | $1,889 |
| Utah | $1,031 | $1,767 |
| Washington | $826 | $1,776 |
| Wisconsin | $333 | $1,265 |
Rates not available for every state where American Family offers car insurance
Is American Family good for drivers with a prior incident?
American Family is a good company to contact for a car insurance quote if you have a DUI (driving under the influence). Its rates for drivers with a ticket or accident are average.
- AmFam charges $3,114 a year for full coverage for drivers with a DUI. This is 14% less than the national average.
- AmFam’s full-coverage rate for drivers with a speeding ticket is 3% less than the national average.
- Its rate for drivers with a prior accident is 2% higher than the national average.
Car insurance rates for drivers with prior incidents
| Prior incident | American Family | U.S. average |
|---|---|---|
| Speeding ticket | $2,352 | $2,427 |
| At-fault accident | $2,980 | $2,930 |
| DUI | $3,114 | $3,626 |
Is American Family car insurance good for teen drivers?
American Family’s rates and discounts make it a good car insurance company for teen drivers.
AmFam charges $2,364 a year for liability car insurance for 18-year-olds. This is 3% less than the national average.
Car insurance rates for 18-year-olds
| Company | Liability annual rate | Full-coverage annual rate |
|---|---|---|
| State Farm | $1,811 | $4,128 |
| Geico | $2,044 | $5,048 |
| American Family | $2,364 | $5,413 |
| U.S. average | $2,433 | $5,824 |
| Travelers | $2,655 | $5,758 |
| Progressive | $3,193 | $8,495 |
| Nationwide | $3,371 | $7,743 |
| Allstate | $3,399 | $7,668 |
American Family offers unique discounts to young drivers. These include a discount for completing at least 40 hours of volunteer work for a nonprofit organization. A young driver can get a discount on their own policy if a parent already has American Family insurance.
Auto insurance discounts from AmFam
AmFam offers several auto insurance discounts that help make its rates more affordable.
- Bundling: You usually get the biggest discount by bundling your car insurance with a home or renters policy. You can save more by getting insurance for a boat, motorcycle, RV or rental property from American Family, too.
- DriveMyWay: AmFam’s safe driving program uses a smartphone app to monitor your driving. You get a 10% discount just for signing up and more discounts when you renew.
- MilesMyWay: If you don’t put many miles on your car, this pay-per-mile program can save you money. The less you drive, the less you pay.
- Defensive driver: If you’re 55 or older, you can get a discount for completing an approved defensive driver class.
Car insurance discount comparison
| Discount | American Family | State Farm | Progressive | Geico | Allstate |
|---|---|---|---|---|---|
| Bundling | Yes | Yes | Yes | No | Yes |
| Defensive driving | Yes | Yes | No | Yes | No |
| Pay per mile | Yes | No | No | No | Yes |
| Safety app | Yes | Yes | Yes | Yes | Yes |
American Family auto insurance coverage options
American Family offers all the basic auto insurance coverages, such as liability and collision, as well as a few valuable extras.
Most notably, it offers gap insurance and an accidental death and dismemberment endorsement. Not every company offers these coverages.
AmFam’s other add-ons include roadside assistance and rental car reimbursement, which are industry staples.
How much does American Family charge for home insurance?
American Family charges an average of $3,072 a year, or $256 a month, for homeowners insurance. This is 9% higher than the national average.
Home insurance rate comparison
| Company | Annual rate |
|---|---|
| State Farm | $2,427 |
| Allstate | $2,560 |
| Progressive | $2,648 |
| U.S. average | $2,801 |
| Nationwide | $3,055 |
| American Family | $3,072 |
| Travelers | $3,149 |
| Farmers | $3,801 |
AmFam home insurance rates by state
AmFam’s home insurance rates vary by state. Its prices range from $1,317 a year in Utah to $7,210 a year in Kansas.
| State | Annual rate |
|---|---|
| Arizona | $3,657 |
| Colorado | $4,675 |
| Georgia | NA |
| Idaho | $2,499 |
| Illinois | $2,924 |
| Indiana | $3,580 |
| Iowa | $2,955 |
| Kansas | $7,210 |
| Minnesota | $2,774 |
| Missouri | $3,159 |
| Nebraska | $3,834 |
| Nevada | $1,748 |
| North Dakota | $2,689 |
| Ohio | $1,579 |
| Oregon | $2,405 |
| South Dakota | $3,729 |
| Utah | $1,317 |
| Washington | NA |
| Wisconsin | $1,493 |
Rates not available for every state where American Family offers homeowners insurance.
American Family homeowners insurance discounts
American Family offers most of the common discounts every company offers, plus a few unique ways to save.
- Like most of its competitors, AmFam offers a generous discount for bundling your home insurance with an auto policy.
- You can also save if your home is less than 15 years old or has newer plumbing, electrical and/or heating systems.
- American Family also offers discounts for having smart home security devices and paying for your policy in full upfront.
Home insurance discount comparison
| Discount | American Family | State Farm | Allstate | Progressive | Travelers |
|---|---|---|---|---|---|
| Bundling | Yes | Yes | Yes | Yes | Yes |
| Newer home | Yes | No | Yes | Yes | No |
| Renovations | Yes | No | No | No | No |
| Protective devices | Yes | Yes | Yes | Yes | Yes |
Which home insurance coverages does AmFam offer?
AmFamily offers all the basic home insurance coverages, plus optional coverages you can’t get from other companies, including:
- Hidden water coverage: Protects you from appliance leaks that you may not notice right away. Many companies don’t offer this coverage.
- Mechanical breakdown coverage: This option is similar to a home warranty.
- Service line coverage: Pays to repair damaged water, sewer, electrical and natural gas lines. Many homeowners don’t realize that they’re responsible for repairing utility lines on their property until one breaks.
- Water backup coverage: If your home’s sewer or drainage system backs up, this endorsement pays for cleanup and repairs.
Methodology
LendingTree obtains rates from public insurance company filings reported to Quadrant Information Services.
Car insurance rates are based on an analysis of AmFam quotes from every ZIP code in 15 states. Home insurance rates are based on quotes from 17 states.
Unless otherwise noted, our sample driver is a 30-year-old male with good credit and a clean driving record. The sample vehicle is a 2015 Honda Civic EX. Our sample teen driver is an 18-year-old male with no tickets or accidents.
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
- Collision: $500 deductible
- Comprehensive: $500 deductible
Homeowners policies include:
- Dwelling coverage: $400,000
- Other structures: $40,000
- Personal property: $200,000
- Personal liability: $100,000
- Medical payments: $5,000
- Deductible: $1,000
Customer service ratings and reviews are from:
- Auto customer satisfaction: J.D. Power 2023 U.S. Auto Insurance Study
- Home customer satisfaction: J.D. Power 2023 U.S. Home Insurance Study
- Home and auto complaint scores: National Association of Insurance Commissioners, 2023
Rates are shown for comparative purposes only. Yours may vary.