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Compare American Family vs. Farmers: Quotes, Discounts (2022)

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Lindsay Frankel

By: Lindsay Frankel

Edited by Tanveen Vohra

Last Updated August 5, 2022

Why you can trust Insurify

Insurify partners with top insurance companies and is a licensed agent in all 50 states. However, the insurance experts writing our content operate independently of our partners. Check out reviews from over 3,000 satisfied customers, how we make money, our data methodology, and our editorial standards.

American Family vs. Farmers: A Summary

Two auto insurance companies you may consider when comparing car insurance are Farmers and American Family. We’ll go over how these two companies compare in terms of coverage options, ratings, and discounts. But first, here’s how American Family and Farmers compare in terms of average monthly cost and Insurify Composite Score.

Insurance CompanyAvg. Monthly Car Insurance QuoteInsurify Composite Score
American Family$5989
Farmers$10785
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

ICS Score Explanation:

The Insurify Composite Score (ICS) is a proprietary rating calculated by a team of data scientists at Insurify, weighing multiple factors that reflect the quality, reliability, and health of an insurance company.

Inputs to the score include financial strength ratings from A.M. Best, Standard & Poor’s, Moody’s, and Fitch; J.D. Power ratings; Consumer Reports customer satisfaction surveys and customer complaints; mobile app reviews; and user-generated company reviews.

American Family

Founded in 1927, American Family provides insurance products like auto insurance and homeowners insurance to residents in 19 states. The company offers a variety of coverage options in addition to liability and full-coverage insurance, including roadside assistance, gap coverage, rental reimbursement coverage, rideshare coverage, and accident forgiveness.

American Family offers a variety of discounts, so ask your local agent what you may be eligible for. You can get significant savings from a multi-policy discount or enroll in KnowYourDrive, their usage-based telematics program. This can save you money on top of the company’s already low rates.

American Family has excellent financial strength ratings from A.M. Best and S&P and is the top-ranked insurer in the J.D. Power 2021 U.S. Insurance Shopping Study. The company also had fewer complaints with the NAIC in 2021 than expected, given the company’s size. And you can manage your policy or file a claim with the American Family mobile app.

Pros

  • Excellent financial strength ratings

  • Top-ranked insurance provider by J.D. Power

  • Affordable insurance rates

Not the best option for

  • Only available in in 19 states

  • No gap coverage options

Farmers

Founded in 1928, Farmers serves 19 million policyholders nationwide. In addition to car insurance, Farmers also offers home insurance, renters insurance, life insurance, and more. Coverage add-ons include towing and roadside assistance, rideshare coverage, guaranteed value coverage, new car replacement coverage, and rental car reimbursement.

Farmers has excellent financial strength ratings. The insurer ranks below average in the J.D. Power 2021 U.S. Insurance Shopping Study but ranks above average for insurance claims satisfaction. Complaints about the company to the NAIC were about average.

Farmers insurance premiums are higher than the industry average, but the company offers a variety of insurance discounts, including a bundling discount and the Signal telematics program, which can reduce your car insurance rates. Farmers also has a well-rated mobile app you can use to manage your insurance policy and file a claim.

Pros

  • Excellent financial strength ratings

  • Well-rated mobile app

  • Available in all 50 states

Not the best option for

  • Mixed customer satisfaction ratings

  • Pricing is high relative to the industry

Rating FactorAmerican FamilyFarmers
FitchNRWD
A.M. BestAA
Moody’sNRBaa2
S&PAA
J.D. Power899868

The Best Car Insurance Companies in 2022

RankCompany NameAverage Monthly QuoteInsurify Composite Score
1Clearcover
Best Overall
$13597
2Nationwide
Best for Safe Drivers
$19989
3American Family
Best for Families with Teen Drivers
$23489
4Safeco
Best for Drivers with Poor Credit
$18686
5Farmers
Best for Rideshare Coverage
$23985
6Foremost
Best for Hassle-Free Claims
$15982
7Liberty Mutual
Best for Accident Forgiveness
$24182
8Mercury
Best for Face-to-Face Service
$23281
9Progressive
Best for Senior Drivers
$14780
10Travelers
Best for Young Drivers
$16380
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family is one of the best companies we reviewed based on a variety of data. While Farmers doesn’t rank as highly, it’s still a reputable company that offers some coverage options not available at American Family.

Compare American Family vs. Farmers: Which Is Cheaper?

American Family is cheaper than Farmers for all types of drivers. Regardless of your driving history, age, and credit score, you’ll likely find cheaper insurance coverage from American Family. However, American Family is not the cheapest insurer in the industry.

The Cheapest Car Insurance Companies in 2022

RankInsurance CompanyAverage Cost Per MonthICS
1USH&C$44Not Rated
2Metromile$63Not Rated
3Direct Auto$64Not Rated
4Travelers$6580
5Kemper$71Not Rated
6Progressive$87Not Rated
7Mile Auto$9185
8National General$9358
9Clearcover$9497
10GAINSCO$94Not Rated
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

While American Family is one of the cheapest insurance companies we reviewed, it may not offer the lowest rates for you. In fact, several other companies, including GEICO, State Farm, and USAA, consistently offer lower average rates than American Family. Farmers auto insurance rates are more costly than the industry average.

Compare American Family vs. Farmers Car Insurance by Age

Because teen drivers are more likely to be in an accident than any other age group, young drivers tend to pay more for car insurance. Most car insurance companies offer their cheapest rates to drivers in their 50s and 60s. Here’s what you can expect, on average, from American Family and Farmers based on your age.

AgeAmerican FamilyFarmers
Teens$156$343
20s$56$106
30s$59$102
40s$54$97
50s$50$82
60s$50$87
70s$66$106
80s$75$118
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family is significantly cheaper than Farmers for all age groups, but especially for younger drivers. Drivers in their teens and 20s will find much lower rates from American Family.

Compare American Family vs. Farmers Car Insurance by Gender

Most car insurance companies consider your gender when underwriting your insurance policy. Women tend to pay slightly less than men over the course of their lives. The difference is especially significant between teen males and females since teen males are more than twice as likely to die in a crash as teen females.

However, on average, women will typically only pay a few dollars per month less than men at the same insurance company. Here’s what you can expect from American Family and Farmers.

Insurance CompanyAvg. Monthly Car Insurance Quote for MenAvg. Monthly Car Insurance Quote for Women
American Family$62$56
Farmers$108$106
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Which is cheapest for men?

GenderAmerican FamilyFarmersIndustry Average
Men$62$108$81
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family is cheaper than Farmers for men. AmFam also beats the industry average rate for male drivers.

Which is cheapest for women?

GenderAmerican FamilyFarmersIndustry Average
Women$56$106$78
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family offers cheaper premiums to women than Farmers. AmFam’s premiums are also less than the industry average rate for female drivers.

Compare American Family vs. Farmers Car Insurance by Mileage

Your estimated annual mileage can affect your car insurance rate, although not significantly. Low-mileage drivers tend to pay just slightly lower rates than high-mileage drivers based on the estimated mileage they provide when applying.

Enrolling in a usage-based program, like Farmer’s Signal program or American Family’s KnowYourDrive program, can result in greater savings for low-mileage drivers, so consider enrolling if you drive infrequently. Below are the average rates that American Family and Farmers charge drivers based on their mileage.

Which is cheapest for drivers with high mileage?

Annual MileageAmerican FamilyFarmersIndustry Average
15,000-20,000$56$106$78
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family offers cheaper rates to high-mileage drivers than Farmers. American Family’s rates also beat the industry average, while Farmers premiums do not.

Which is cheapest for drivers with low mileage?

Annual MileageAmerican FamilyFarmersIndustry Average
5,000$57$96$78
10,000$56$106$78
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family offers cheaper auto insurance rates to low-mileage drivers than Farmers. Though Farmers offers a significant discount for low-mileage drivers, its rates are still higher than the industry average. American Family, on the other hand, is cheaper than the industry average.

Compare American Family vs. Farmers Car Insurance by Credit Score

In most states, car insurance companies consider your credit-based insurance score, which is based on information in your credit report, when setting your premiums. They’re not worried about you paying your bill but rather the frequency of your claims. Several studies have found a link between bad credit and high claims-filing, so bad credit drivers pay higher rates.

Keep in mind this practice is prohibited in some states, such as California. But typically, the higher you can raise your credit score, the less you’ll pay for car insurance. Here are the average rates that American Family and Farmers charge drivers in each credit tier.

Which is cheapest for good credit?

Credit TierAmerican FamilyFarmersIndustry Average
Excellent$45$67$60
Good$52$85$71
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family is cheaper than Farmers for drivers with good and excellent credit. Farmers’ rates are definitely lower for drivers with excellent credit, but they still don’t beat the industry average. American Family is cheaper than average for good credit drivers.

Which is cheapest for bad credit?

Credit TierAmerican FamilyFarmersIndustry Average
Poor$86$135$120
Average$57$91$78
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family offers lower rates to bad credit drivers than Farmers. American Family premiums also beat the industry average rate for drivers with poor credit.

Compare American Family vs. Farmers Car Insurance by Driving Record

Your driving history is an important factor in determining your car insurance premiums. Car insurance companies use your driving record to evaluate the risk to insure you. Having an accident or speeding ticket in your driving history can raise your rate significantly.

Usage-based programs can be a way to demonstrate safe driving behavior, and the discounts provided by these programs can partially offset a price increase from the violations on your record. But drivers with a clean record will still pay the lowest rates. Here’s what you can expect from American Family and Farmers based on your driving history.

Which is cheapest for good drivers?

ViolationAmerican FamilyFarmersIndustry Average
Clean Record$57$91$78
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Good drivers without any infractions on their records pay cheaper premiums at American Family on average than at Farmers. AmFam’s average rates also beat the industry average by $10.

Which is cheapest after a speeding ticket?

ViolationAmerican FamilyFarmersIndustry Average
Speeding Ticket$77$129$104
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family offers cheaper rates on average to drivers with speeding tickets than Farmers. AmFam is also cheaper than the industry average. If you have a speeding ticket on your record, ask your insurance agent about options for driving courses in your state.

Which is cheapest after an accident?

ViolationAmerican FamilyFarmersIndustry Average
At-Fault Accident$95$127$113
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

American Family charges higher rates to drivers who have been in crashes, but the average premium still beats Farmers and the industry average.

Which is cheapest after a DUI?

ViolationAmerican FamilyFarmersIndustry Average
DUI$94$132$155
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

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American Family vs. Farmers Car Insurance: What discounts does each offer?

DiscountAmerican FamilyFarmers
Multi-policy
Multi-car
Telematics program
Good driver/safe driver
Loyalty
Affinity
Full pay
Autopay
Paperless
Early bird
Good student
Teen safe driver
Student away
Young volunteer
Youthful driver
Mature driver/defensive driver/senior driver
Generational
Homeowner
Safety features
Low mileage

Our Methodology and How We Compared American Family and Farmers

The car insurance quotes provided in Insurify’s insurance company comparison guides are based on the analysis of over 50 thousand insurance quotes from 500 ZIP codes nationwide. Insurify’s data science team performs a comprehensive analysis of factors car insurance providers weigh to calculate rates, including driver demographics, driving record, credit score, desired coverage level, and more to give representative samples.

Insurify’s analysis also incorporates the Insurify Composite Score (ICS) assigned to each insurance provider. The ICS is a proprietary rating calculated by weighing multiple factors that reflect the quality, reliability, and health of an insurance company.

Ratings used to calculate the ICS include Financial Strength Ratings from A.M. Best, Standard & Poor’s, Moody’s, and Fitch; J.D. Power ratings; Consumer Reports customer satisfaction surveys and customer complaints; mobile app reviews; and user-generated company reviews.

With the above insights and ranking methods, Insurify is able to offer car insurance shoppers a window into how insurance providers compare to one another in terms of both cost and quality.

Frequently Asked Questions

  • American Family is cheaper than Farmers for all types of drivers. It also beats the industry average rate. You’ll likely find cheaper premiums at American Family, no matter your age, credit score, or driving history, but you can always get a quote from Insurify to check your rate with both companies, along with other insurers.

  • Based on our analysis of a variety of data, American Family Insurance is the better insurance company. American Family has excellent financial strength ratings and is top-rated for customer satisfaction. However, Farmers is still a reputable company that provides some coverages not available from American Family.

  • While this insurance review compares the average rates, discounts, ratings, and coverage options each company offers, the best way to compare car insurance rates is to get a quote from Insurify. You’ll be able to adjust your deductible and coverage limits to fit your budget. And you can see quotes from other companies, like Allstate and Liberty Mutual, as well.

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Lindsay Frankel
Lindsay Frankel

Insurance Writer

Lindsay Frankel is a content writer specializing in personal finance and auto insurance topics. Her work has been featured in publications such as LendingTree, The Balance, Coverage.com, Bankrate, NextAdvisor, and FinanceBuzz.

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