- The average American Family home insurance premium is $2,144 in the U.S.
- American Families insurance scores above average for customer satisfaction with J.D. Power
American Family, or AmFam as it is frequently called, started writing policies in 1927 and now offers a broad variety of insurance products including homeowners insurance. American Family home insurance has competitive pricing along with discounts that can save customers money on their policies over time.
If you are looking for homeowners insurance, American Family Home Insurance Company is one that may be worth asking for a premium quote.
This American Family homeowners insurance review will cover everything you need to know about American Family and its policies.
American Family Overview
American Family is the 34th most popular insurance brand on YouGov.com. It is most popular with Gen-X policyholders, for whom it is in 27th place, and it’s more popular with men than with women. Few people — only 7% — have a negative opinion of the company. American Family insurance reviews are generally positive. The company scores above average on J.D. Power’s 2021 Property Claims Satisfaction Study, with a score of 890 out of 1,000. Another indicator of quality, however, the company complaint index of the National Association of Insurance Commissioners (NAIC), rates AmFam as having more than the average number of complaints.
All that puts American Family home insurance in the middle of a very crowded pack. But despite the fact that there are bigger and more well-known insurers, American Family home insurance company may be worth looking at if you are in the market for homeowners insurance.
- Generous discounts available: American Family home insurance offers bundling, newer home, renovated home discounts, and more.
- Diminishing deductible: When customers are claims-free, the company drops home insurance deductibles by $100 each year.
- Smart home rewards: American Family offers discounts for home security, energy efficiency, and smart home features.
- Functional website: AmFam’s website allows customers to file a claim, compare coverage options, and more.
- Not available nationally: American Family homeowners insurance is only available in Arizona, Colorado, Georgia, and 16 others.
- Limited add-on coverage options: American Family home insurance has fewer options for customizing policies than many other insurers.
- Mixed American Family insurance reviews: Although its J.D. Power ranking is high, American Family scores from NAIC and Better Business Bureau are lower than average.
American Family Highlights
AmFam’s average annual policy costs $1,295 for $250,000 in dwelling coverage, according to 2021 data from Bankrate.com, which is below the national average of $1,312. Your own rate will vary, however, based on multiple factors, but customers should be able to save with the company’s lengthy discount list. Remaining claim-free will also net savings on deductibles, which drops by $100 every year you go without filing a claim.
Standard American Family home insurance covers the home, its contents, liability, and temporary living expenses if the home is uninhabitable following a covered loss. Customers can also customize their policy to add equipment breakdown coverage, sump pump failure, identity theft and credit theft protection and monitoring, service line coverage, hidden water damage, and matching siding insurance coverage.
American Family homeowners customer experience reviews are mixed. The best reviews come from J.D. Power, which places AmFam in sixth place nationally on its customer satisfaction ranking. On the other hand, J.D. Power found AmFam’s online experience less than stellar, ranking it below average for both service and shopping in its 2021 U.S. Insurance Digital Experience Study and 2020 Home Insurance Satisfaction Study.
AmFam’s ratings with NAIC and the BBB are lower, with the latter showing a significant number of complaints, and NAIC rating it at 1.35, where anything over 1 indicates a greater than average number of complaints.
American Family offers an average number of add-ons coverage options that allow homeowners to add some customization to their policies to meet home insurance specific needs.
Homeowners can find the following discounts with American Family home insurance company:
- Bundling multiple policies
- Newer home
- Renovated home
- Auto pay, pay in full, paperless billing
American Family vs. The Competition
|Provider||Average Annual Premium*||J.D. Power Customer Satisfaction**||AM Best|
Information accurate as of June 2021
*Data provided by Bankrate.com
**J.D. Power 2020 Home Insurance Satisfaction Study. Based on a 1,000-point scale.
American Family vs. State Farm
State Farm’s average premium is a bit higher than American Family’s home insurance rates, and it only has three possible discounts to AmFam’s seven.
Where State Farm excels, however, is in the area of financial stability, with an A++ from AM Best — the highest possible score. This indicates that State Farm is financially well-managed and would be able to pay out on claims even after a large regional disaster that resulted in a flood of claims being filed.
American Family vs. Geico
Geico, like State Farm, has a higher AM Best scoring than AmFam. While Geico is not on J.D. Power’s 2021 property claims ranking, it does have an NAIC score of 1.70, indicating that it is responsible for more complaints than AmFam.
Geico is known for low rates, but it offers few discounts for policyholders, unlike American Family insurance company. It also offers a limited list of ways you can customize your policies with additional, optional coverages, falling short of AmFam in this category as well.
American Family vs. Allstate
Allstate is one of the best home insurance companies we reviewed, although its average premium is higher than American Family’s, and its J.D. Power score is only slightly more.
Allstate edges out AmFam with discounts, too, having eight available as opposed to AmFam’s seven. It also excels with its optional coverage offerings, with nine ways customers can
American Family FAQ
Either company might be the best one for your needs. A good strategy is to get quotes from both to see who gives you the better coverage options at a good price point, while also featuring excellent customer service.
Yes, American Family offers comprehensive homeowners insurance that will cover your home and your belongings in the case of any named peril, such as fire, smoke damage, or hail. Its policies also feature liability coverage in the event that someone is injured on your property, and coverage for temporary living expenses.
Although American Family’s average premium rates are lower than some other insurers we reviewed, your own costs will vary, and may be considerably different. Your premium is based on multiple factors, including the age and location of your house, coverage needs, and more.
That depends on what you are looking for in your insurer. Geico is known for inexpensive policies, and it is available in all 50 states. It has a great rate from AM Best for financial stability, but lower scores for customer service. American Family home insurance premiums are on the high end, and they are only available in 19 states. They have mixed reviews for customer service, but offer a good range of policy options and discounts.
We evaluated American Family based on their third-party agency ratings for customer experience, financial stability, as well as coverage options to determine which might be the best providers.
To compare home insurance companies across the board, we considered the following factors:
- Coverage: The more options a home insurance company has for insurance add-ons and coverages, the higher it scores in our methodology.
- Customer Experience: We reviewed the National Association of Insurance Commissioners’ National Complaint Index and compared each homeowners insurance company’s complaint rating.
- Customer Satisfaction: With J.D. Power’s 2020 Home Insurance Satisfaction Study, we assigned a score to each company based on the rating it received.
- Financial Stability: Reviews.com utilized AM Best ratings to assign a score based on each home insurance company’s financial stability.
- Discounts: We reviewed and compared the number of discounts advertised on each home insurance company’s website. The more available discounts, the higher the score in this metric.
Rates are based on quoted annual premiums from Bankrate.com. These are sample rates and should be used for comparative purposes only. Your quotes may be different.
The coverage limits for home insurance rates reflect the following coverage and limits:
- Coverage A, Dwelling: $250,000
- Coverage B, Other Structures: $25,000
- Coverage C, Personal Property: $125,000
- Coverage D, Loss of Use: $50,000
- Coverage E, Liability: $300,000
- Coverage F, Medical Payments: $1,000
The homeowners also have a $1,000 deductible and a separate wind and hail deductible (if required).