American Family Auto Insurance Review

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While American Family Auto Insurance may not be as well-known as some other auto insurance companies such as The Hartford or USAA; it is the tenth largest auto insurer in the United States and the fourth largest property and casualty mutual insurance company in America. It is listed in the Fortune 500 companies in the United States. American Family Insurance has as its motto, “All your protection under one roof.” In addition to auto insurance, the company offers home, life, business, health, umbrella, farm & ranch insurance as well as retirement products.

American Family Auto Insurance was founded in 1927 by Herman Wittwer and was first called Farmers Mutual Automobile Insurance Company. Mr. Wittwer started his company by offering automobile insurance to farmers, who he thought to be better risks as they often did not drive their vehicles in the winter but put them in storage.

Over the years, the company expanded its products and territory to include 19 states: Arizona, Colorado, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Minnesota, Missouri, Nebraska, Nevada, North Dakota, Ohio, Oregon, South Dakota, Utah, Washington and Wisconsin. In 1963, the company changed its name to American Family Mutual Insurance Company. American Family has over $5 billion in policyholder equity. Its corporate headquarters is located in Madison, Wisconsin.

Auto Insurance Products

American Family sells its auto insurance products through a network of approximately 3,500 agents. With your auto policy, you can purchase collision, comprehensive, bodily injury liability, property damage liability, uninsured/underinsured motorist, medical expense insurance and personal injury protection. You can choose to receive a quote online or visit one of the local offices. There are a variety of benefits and auto insurance discounts available with American Family’s auto policy.

Discounts

  • Auto & Home Premium Advantage
  • Auto & Life Discounts
  • Air Bag Discount
  • Multiple Vehicle Discount
  • Accident Free Discount
  • Good Student Discount

Optional Coverage

  • Auto Rental Reimbursement Coverage – This coverage is offered in partnership with Enterprise Rent-A-Car. You can also use a rental company of your choice. You can choose the level of coverage that meets your needs.
  • Emergency Road ServiceEmergency road service is available with the “sign and drive” option which allows you to have emergency repairs for covered towing & labor operations completed without having to worry about upfront payments or having to be reimbursed.

Safety Program

Teen Safe Driver Program – If you have a teenage driver living with you, this program allows you to actually see your teen’s driving habits. The insurance company cannot view the driving. This is accomplished by in-car technology called a “drive-cam.” A professional driving coach offers tips for improvement based on driving behaviors. There is no charge to enroll your teenage driver in the program.

Homeowners Insurance from American Family includes property and liability protection with extra coverage options for a home-based business, sewer backup, pump overflow coverage, identity theft protection and more.

Renters Insurance covers your belongings and liability interests as well as loss of use should your rental unit become uninhabitable due to a covered loss. You can add additional coverage for things like identity theft protection, travel insurance, pet insurance and a home-based business.

Life Insurance policies offered through American Family include a variety of term life (term and simply protected term) whole life (senior, children’s, and flexible) policies.

Business Insurance coverage is available for apartment/condo owners, contractors, professional offices, retail establishment, auto service and repairs shops and more. Business insurance coverage options include: building coverage, auxiliary building coverage, business auto, rental property and contractors insurance. Employee coverage is also available.

Farm & Ranch Insurance is customizable and provides dwelling coverage, farm personal property coverage, fair rental value, outbuilding coverage, liability and additional living expenses. For an added premium you can add equipment breakdown coverage, farm income, replacement cost for irrigation systems, additional property coverage, medical expense coverage for employees and more.

Ratings, Customer Service & Awards

According to a customer survey by Insure.com, 86 percent of current American Family auto policyholders plan to renew their coverage. J.D. Power and Associates rates American Family excellent in the area of its claims process. American Family has an “A+” rating with the Better Business Bureau and is rated “A” Excellent by A.M. Best.

Not only does American Family rate well in the areas of customer service, claims and overall customer satisfaction but it has also received awards for its service in the community. It has received the gold award for the Wellness Council of America for its comprehensive approach to employee health. The League of American Bicyclists awarded a bronze metal to American Family for helping to improve bicycle safety in the Madison, WI area. In 2010, the company was awarded the Teen Driving Safety Leadership Award by the National Safety Council.

Pros

  • Excellent customer service and claims record
  • Attractive features, discounts and benefits including the teen safe driver program

Cons

  • Auto coverage is only available in 19 states
  • The website is a little hard to navigate if you are trying to find explanations for benefits or receive an auto insurance quote.
  • You must enter a VIN to receive a car insurance quote. While this information allows the company to provide a more accurate quote, some people feel uncomfortable providing this information online or may not have the VIN yet if they are just shopping for a vehicle.

Contact Information

To receive a quote from American Family or learn more about its insurance products, you can visit the American Family Insurance website or call 800-692-6326. You can also use the agent locator to find a local agent.