Allstate vs. American Family Car Insurance: Expert Recommended (2024)

Finding the right balance between coverage and cost becomes paramount. In our comprehensive analysis of Allstate and American Family, a data-driven exploration reveals a nuanced understanding of insurance rates influenced by key factors such as credit score, mileage, coverage level, and driving record. Our mission is to distill this wealth of information into a succinct guide, shedding light on which company emerges as the preferred choice for diverse customer profiles. Whether you’re a meticulous planner with an impeccable driving record or a frequent road warrior seeking optimal coverage, our subheadings below will navigate you through the intricacies, providing clear insights into which insurer caters best to your unique circumstances.

Allstate

Pros:

• Strong Ratings: Allstate boasts an A+ rating from the Better Business Bureau, indicating a high level of financial strength.
• Comprehensive Coverage: Offers a wide range of coverages, including specialty options such as accidental death, dismemberment, and disability.
• Recognized Driving App: Drivewise, Allstate’s driving app, provides initial discounts and additional rewards for safe driving.
• Variety of Discounts: Allstate offers discounts ranging from 5% to 35%, providing potential savings for various policyholders.
• Multiple Payment Options: Provides flexibility in payment methods, including online, mobile app, postal, and prepayment options.

Cons:

• Higher Complaint Ratio: Allstate has a complaint ratio of 2.02, indicating a relatively higher number of customer complaints.
• Comparatively Higher Rates: While offering strong coverage, Allstate’s rates tend to be higher than American Family, particularly for drivers with infractions.

American Family:

Pros:

• Lower Rates: Generally offers more affordable rates, making it an attractive option for cost-conscious customers.
• Specialized Coverages: Provides unique coverages such as emergency assistance, SR-22 coverage, work loss coverage, and legal defense costs coverage.
• Better Customer Complaint Ratio: With a complaint ratio of 1.36, American Family receives fewer complaints relative to its size.
• Generous Discounts: Offers discounts ranging from 3% to 25%, with potential savings for various qualifying factors.
• Accessible Mobile App: KnowYourDrive, American Family’s driving app, provides a 10% discount upon enrollment and potential rewards for safe driving.

Cons:

• Smaller Coverage Network: Operates in only 19 states, limiting availability for customers in other regions.
• Slightly Lower Financial Strength: American Family has an A rating from the Better Business Bureau, indicating slightly lower financial strength compared to Allstate.

Read more: American Family KnowYourDrive: Complete Guide & Review

Best Overall: Allstate Insurance

After a thorough analysis of Allstate and American Family car insurance, Allstate emerges as the better overall choice. Despite American Family offering competitive rates, Allstate’s combination of strong financial ratings, comprehensive coverages, and a recognized driving app positions it as the top contender.

Financial Strength: Allstate’s A+ rating from the Better Business Bureau reflects a higher level of financial strength compared to American Family, instilling confidence in its ability to manage premiums and pay out claims efficiently.

Coverages: Allstate not only provides essential coverages but also offers a broader range of specialty options, including accidental death, dismemberment, and disability coverage. The availability of these unique coverages caters to diverse needs, giving policyholders a more comprehensive protection plan.

Driving App: Allstate’s Drivewise app stands out, providing initial discounts and additional rewards for safe driving practices. This innovative feature aligns with modern preferences and encourages responsible driving behavior.

While American Family offers certain advantages, such as lower rates and specialized coverages, Allstate’s overall package, including a strong reputation and diverse offerings, positions it as the best choice for customers seeking a reliable and comprehensive car insurance experience.

Does Allstate or American Family have better car insurance coverage options?

Both companies have essential coverages which include liability, collision, comprehensive, uninsured motorists, rental car coverage, roadside assistance, medical payments, and rideshare insurance. Both companies also offer coverage for other situations like accidental death, dismemberment, disability, when you lock your keys in your car, insurance for your antique car, and umbrella policies.

However, since American Family is a smaller company, there are some types of coverages that they do not provide that Allstate does. These coverages are:

• Mechanical breakdown insurance
• Preferred repair services
• Sound system coverage
• New car replacement coverage
• Accident forgiveness
• No fault coverage
• Loss of use coverage

However, sometimes the smaller companies specialize in certain types of specialty coverages that larger companies don’t, and American Family is no exception. American Family insurance company can offer you emergency assistance coverage, SR-22 coverage, work loss coverage, gap insurance, comprehensive claim forgiveness, and legal defense costs coverage.

Does Allstate or American Family have better rates?

Rates can vary widely depending on the company you choose. But other factors affect your rates, not just the company. Your rates are also based on your driving record, age, and where you live. Unfortunately, though, some states still use discriminatory factors such as gender and marital status to determine your rates. Compare age, gender, and marital status rates for both Allstate and American Family.

Allstate vs. American Family Average Annual Car Insurance Rates by Age, Gender, and Marital Status

American Family car insurance rates are cheaper overall when looking at age, gender, and marital status.

Allstate vs. American Family Average Annual Car Insurance Rates by Driving Record

American Family also has better rates for drivers with infractions such as accidents, speeding tickets, or DUIs. But, Allstate’s rates don’t go up as much as American Family’s rates do if you cause an accident. It seems that Allstate is more lenient on drivers who get a speeding ticket.

Read more:

• Best Insurance Companies
• State’s Car Insurance Rates

Does Allstate or American Family offer better discounts?

Discounts offered by both Allstate and American Family are fairly similar to what most companies offer, but the discounts you will be able to stack may differ, and the savings will be different from company to company as well.

What car insurance discounts does Allstate offer?

Allstate’s best discounts range from 15% off to 35% off. They are:

• Defensive driver discount
• New car discount
• teenSMART discount
• Accident forgiveness

A few other unique discounts offered by Allstate have a variation of savings. If one of these applies to you, be sure to ask about the discount.

• Utility vehicle discount
• Paperless document discount
• Family discount
• Driving training discount
• Deductible discount

The smaller discounts offered by Allstate range from 5% to 10%.

• Preferred payment discount
• Multiple policy discount
• EV/Hybrid discount
• Safe driver discount
• Early quote discount
• Good student discount
• Prepay discount
• E-billing discount
• Senior adult discount
• Student-away-at-school discount
• Paid in full discount
• Low mileage discount
• Farm vehicle discount
• Anti-lock brake discount
• Good payer discount
• Anti-theft device discount
• Multiple vehicle discount
• Passive restraint discount

Now let’s take a look at similar but also specialty discounts offered by American Family.

What car insurance discounts does American Family offer?

You can get 10 to 25% off your car insurance from American Family with the following discounts:

• Passive restraint discount
• Occupation discount
• Multiple policy discount
• Anti-theft device discount
• Multiple vehicle discount
• Good student discount
• Military discount
• Defensive driver discount
• Senior adult discount

You can save between three three and eight percent if one of the following American Family discounts applies to you:

• Accident free discount
• Anti-lock brake discount
• Provider switch discount
• Sponsored marketing discount
• Low mileage discount
• Good driver discount
• Electronic stability control
• Early quote discount
• New graduate discount
• Homeowner discount
• Preferred payment discount
• Loyalty discount
• Daytime running lights discount
• Travelink discount
• Paperless documents discount
• Paid in full discount
• Driving habits discount

They also offer the following additional discounts, and the amount of the discount can vary.

• Accident (merit) rating
• teenSMART discount
• Accident forgiveness

Allstate or American Family may prioritize certain discounts or not allow the stacking of multiple discounts, but it all depends on your personal characteristics and unique situation. It never hurts to ask about more discounts.

What payment options do Allstate and American Family provide?

Again, because American Family is generally a smaller company (and that has its perks), sometimes larger companies offer more ways to manage your car insurance policy. Allstate offers the following services when it comes to payment options:

• Debit card
• Electronic check
• Credit card
• Direct deposit

You can also pay to Allstate online, using their mobile app, through the post, or online. Allstate also allows customers to make prepayments. American Family offers all payment options that Allstate does with the exception of electronic check and prepayment.

Does Allstate or American Family have the best driving app?

Drivewise is Allstate’s driving app, and it will track your driving habits. An initial discount for participating is provided, and as you practice safe driving, you can earn additional rewards.

American Family’s usage-based driving app is KnowYourDrive. You get a 10% discount just for enrolling. After the app tracks your driving habits and verifies that you are a safe driver, your discount could go up to 20%.

Does Allstate or American Family have better industry ratings?

Who doesn’t read product reviews on Amazon? The same goes for car insurance reviews, and there are a few leaders in industry standards that rate car insurance companies. Let’s take a look at the customer satisfaction rating for Allstate and American Family.

Allstate vs. American Family Car Insurance BBB Ratings

Allstate earns an A+ rating from the Better Business Bureau. Unfortunately, though, customer complaints were high at 466. American Family earns an A from the Better Business Bureau and only 45 customer complaints were submitted last year.

The total number of customer complaints is adjusted for the size of the company, so anything above a ratio of 1.0 could be of concern. American Family’s complaint ratio is 1.36, and Allstate’s complaint ratio is 2.02.

Allstate vs. American Family Financial Strength

Another excellent third-party rating company to reference is A.M. Best.

This agency measures financial strength. A higher score shows that a company is doing well managing the premiums earned and paying out claims. Allstate has an A+ financial strength rating. American Family has a financial strength rating of A.

How can I get Allstate car insurance quotes and American Family car insurance quotes?

If you want a more personal experience, Allstate provides their customers with the opportunity to work closely with an Allstate insurance agent to choose coverages. Another option is getting a quote on their website (www.allstate.com).

American Family doesn’t have individual agents, but can provide a quote using their website (www.amfam.com) or you can call (800) 692-6326 to speak with a representative to get a quote.

If you need help finding affordable car insurance through Allstate, American Family, or another car insurance company, enter your ZIP code into our free quote comparison tool below.

Comparative Analysis of Claims Procedures: Allstate vs. American Family

Ease of Filing a Claim

Both Allstate and American Family offer multiple convenient options for filing insurance claims. Policyholders can choose to file claims online through user-friendly portals, over the phone by speaking with customer service representatives, or via mobile apps for added convenience. This flexibility ensures that policyholders can select the method that best suits their needs and preferences.

Average Claim Processing Time

The average claim processing time can significantly impact the overall claims experience. While both Allstate and American Family strive to provide efficient claims processing, the actual processing times may vary depending on the nature of the claim and individual circumstances.

Policyholders are advised to inquire about specific processing times when filing claims to manage expectations effectively.

Customer Feedback on Claim Resolutions and Payouts

Customer feedback is a valuable resource for evaluating the effectiveness of claim resolutions and payout processes. Both Allstate and American Family have received feedback from policyholders regarding their claims experiences. To gain insights into the companies’ performance in this area, prospective policyholders should research recent customer reviews and testimonials.

Tech Titans Face off: Allstate and American Family

Mobile App Features and Functionality

Allstate and American Family offer mobile apps equipped with various features and functionalities designed to enhance the customer experience. These apps typically enable policyholders to manage their policies, file claims, make payments, and access essential documents.

Additionally, features such as digital ID cards and roadside assistance requests are often available through these apps, providing convenience and accessibility.

Online Account Management Capabilities

Online account management is a crucial aspect of self-service for policyholders. Both Allstate and American Family provide user-friendly online portals that empower customers to efficiently view and manage their policies, track claims, update personal information, and explore available discounts.

These online account management capabilities allow policyholders to stay informed and in control of their insurance-related tasks.

Digital Tools and Resources

Both companies offer a range of digital tools and educational resources to help customers make informed decisions about their insurance coverage. These resources may include online calculators, coverage comparison tools, informative articles, and frequently asked questions (FAQs).

Utilizing these digital tools can assist policyholders in choosing the right coverage options and gaining a better understanding of their policies.

Customer Reviews for Allstate vs. American Family Car Insurance

Having delved into the detailed comparison of Allstate and American Family car insurance, customers are voicing their experiences with these industry heavyweights.

Allstate

“Choosing Allstate was a game-changer for me. The diverse coverage options, especially the specialty add-ons, provide a tailored approach that suits my unique needs. The Drivewise app not only promotes safe driving but also rewards me for it, making it a win-win. The financial strength reflected in their A+ rating instills confidence that my premiums are in secure hands.”

American Family

“American Family’s competitive rates initially caught my attention, and their range of specialty coverages filled specific gaps in my policy. The KnowYourDrive app stands out, offering a straightforward discount structure based on my driving habits. While their rates are a plus, the lower complaint ratio and A rating from the Better Business Bureau add a layer of trust in their service.”

As these reviews showcase, the choice between Allstate and American Family hinges on personal priorities, be it comprehensive coverage options or cost-effectiveness combined with specialized offerings.

Conclusion: Allstate vs. American Family Car Insurance

The choice between Allstate and American Family hinges on a multitude of factors. This comprehensive analysis has illuminated the strengths and considerations of each insurer, providing a roadmap for prospective policyholders.

Allstate’s A+ rating from the Better Business Bureau, robust financial strength, and innovative Drivewise app position it as an overall frontrunner. The extensive range of coverages, coupled with a variety of discounts and flexible payment options, contributes to its appeal.

American Family, while operating in a more limited geographic scope, shines with its competitive rates, specialized coverages, and commendable KnowYourDrive app. The lower complaint ratio and an A rating from the Better Business Bureau underscore its commitment to customer satisfaction. Yet, a slightly lower financial strength and fewer coverage options may be factors for consideration.

In the end, the decision rests on individual priorities. Allstate’s comprehensive and technologically advanced approach makes it the preferred choice for those valuing a strong reputation and diverse coverage options. On the other hand, American Family’s cost-conscious appeal, coupled with unique coverages and a solid app, caters to a specific niche seeking affordability and personalized options.