American Family Renters Insurance Review
American Family offers a wide range of insurance options including renters insurance. It’s notable for offering a wide range of customization options such as insurance for your pet or personal liability insurance. Furthermore, American Family’s policies are offered in several tiers so that you can choose an option that fits your budget. The company’s website provides many helpful resources including calculators and other tools to determine how much renters insurance you need.
Overall, American Family offers excellent renters insurance for people who live within its service area. Unfortunately, it’s only available in 19 states. However, if you do live within one of the service areas, you can expect to benefit from its strong financial record, good reputation with customer service, and customized renters insurance options.
|Strong financial ratings|
Good record on customer service
Customization options for renters insurance
Informative and easy-to-use website
|Only available in 19 states|
The Renters Insurance Factors We Analyzed
American Family has a solid, but not stellar track record with customer experience. American Family was ranked first on the 2019 J.D. Power Home Insurance Study for customer satisfaction in renters insurance. Furthermore, the company came in above industry average for customer satisfaction on the 2020 J.D. Power U.S. Property Claims Satisfaction Study.
Unfortunately, the company does have a customer complaint index level that’s above average for the industry. However, American Family’s struggles with its complaint index relate primarily to its auto and homeowners insurance. There are limited complaints made by those with renters insurance policies.
To purchase an American Family renters insurance policy, you will need to work directly with an agent. The company also has an app and offers 24-hour support.
American Family renters insurance is backed by the financial strength of a well-established insurance company. All three of the major financial strength evaluators gave American Family Insurance excellent ratings.
Moody’s rates the company “A1,” AM Best rates the company with an “A,” and S&P also awards the company an “A.” These ratings indicate that American Family Insurance has the stability and strong financial standing to be able to fund claims made by renters insurance policyholders.
This means that renters insurance customers can purchase from this company with confidence that American Family Insurance can pay in the event of a claim.
American Family offers its renters insurance in three different tiers with various options for customization. For example, you can choose to add coverage for a pet or equipment breakdown coverage.
Personal injury coverage is also available through American Family, which covers legal or settlement fees should someone sue you for slander or libel, or you experience a false arrest, wrongful eviction, or other similar circumstance.
An additional option, called itemized personal property coverage, covers special or valuable items in your rented dwelling, such as jewelry, watches, or furs.
The basic and most affordable option covers a limited amount of personal property, loss of use, personal liability, medical expenses, and identity fraud. Renters insurance policyholders can also choose between replacement cost and actual cost coverage.
Deals, discounts, and add-ons
The company offers a variety of discount options including discounts for having multiple policies with American Family. In addition, other discounts exist for customers who have qualified smart devices or those who have a claims-free record. Loyalty discounts are also available for those who have a long-standing relationship with American Family Insurance.
American Family Overview: Financial Strength, Availability, and History
The American Family Insurance company started out as an auto insurance company in Wisconsin in 1927. Over the years, it has expanded service into 18 other states. The company still hasn’t reached a nationally renowned status, as only 57% of people have heard of the company. However, 22% of people have a positive opinion of American Family Insurance.
The company has an “A+” rating with the Better Business Bureau and strong financial standing. American Family offers a wide range of insurance options including auto, property, business, life, and additional insurance options.
- In business since: 1927
- S&P Financial Strength Rating: A
- Moody’s Financial Strength Rating: A1
- AM Best Financial Strength Rating: A
- States served: 19
|AM Best Financial Strength Rating||J.D. Power 2019 U.S. Renters Insurance Study Score||NAIC Customer Complaints|
|American Family||A||5||More complaints than average|
|USAA||A++||5/5||Fewer complaints than average|
|State Farm||A++||5/5||Fewer complaints than average|
|American Family||A||5/5||Fewer complaints than average|
|Allstate||A+||2/5||Fewer complaints than average|
|Nationwide||A+||2/5||Fewer complaints than average|
|Farmers||A||2/5||Fewer complaints than average|
*All information accurate as of 5.21.2020
Factors evaluated include the provider’s financial strength as indicated by organizations such as AM Best and Standard & Poor’s, customer service ratings and support, as well as average premiums.
The Bottom Line
American Family renters insurance is worth considering if you live within the company’s service area. It offers great customization options and various tiers of service so that you can get the exact renters coverage you need.
In addition, the company’s strong customer service record and financial strength give customers the ability to obtain a policy with confidence.
American Family Renters Insurance FAQ
How much does renters insurance cost from American Family?
According to the company website, the average cost for renters insurance is about $15/month. However, many factors can influence the cost of your policy, such as the value of your personal belongings, whether you’d prefer a policy that covers actual costs or replacement costs, and any additional coverage for your pet or high-value items that you’d like to include.
What is typically covered under American Family renters insurance?
Renters insurance from American Family covers your personal items in case of theft or vandalism or damage from fire, smoke, or lightning. Appliances, medical expenses, and loss of use are also covered in standard renters insurance policies.
Can you cancel American Family renters insurance?
American Family Insurance accepts cancellations through its agents. No information indicates whether fees apply when you cancel your renters insurance.