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

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Lindsay Frankel

By: Lindsay Frankel

Edited by Tanveen Vohra

Last Updated June 24, 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. State Farm: A Summary

If you’re in the market for a car insurance policy, two of the options you might want to consider are American Family Insurance and State Farm. Both offer drivers a wealth of coverage options at affordable costs, but make sure to compare quotes before buying a policy.

Insurance CompanyAvg. Monthly Car Insurance QuoteInsurify Composite Score
American Family$5989
State Farm$5288
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.
Insurify Composite Score

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 Insurance

American Family has been around since 1927 and offers a variety of types of insurance, including homeowners insurance and life insurance. You can get a discount for bundling multiple policies with the company. There are plenty of other discounts available, too, including one for low mileage.

American Family offers all the standard coverages along with gap coverage and new car replacement coverage. The company has excellent financial strength ratings and is ranked above average in J.D. Power’s 2021 U.S. Auto Claims Satisfaction Study. The company has a feature-packed, well-rated mobile app so you can manage your policy on your phone.

Pros

  • A (Excellent) financial strength rating from A.M. Best

  • Ranked above average in 2021 by J.D. Power

  • Offers KnowYourDrive usage-based program

  • Offers rideshare coverage

  • Well-rated MyAmFam mobile app

  • Offers accident forgiveness

Cons

  • More complaints with the NAIC than expected, with a complaint index of 4.62

  • Mixed customer service reviews on third-party websites

  • Only available in 19 states

State Farm

State Farm has been in business for nearly a century and offers a variety of insurance products, including home insurance, renters insurance, car insurance, small business insurance, disability insurance, and life insurance. You can also get a discount for bundling your home and auto insurance.

In addition to standard coverage options, you can get roadside assistance and rideshare insurance from State Farm. The insurer offers some unique discount opportunities, such as the Drive Safe & Save program. The company also has excellent ratings for financial stability and customer satisfaction.

Pros

  • A++ (Superior) financial strength rating from A.M. Best

  • Ranked above average in J.D. Power’s 2021 U.S. Auto Claims Satisfaction Study

  • Offers rideshare coverage

  • Offers usage-based programs

  • Well-rated mobile app

  • Few complaints with the NAIC in 2020

Cons

  • Mixed customer service reviews on third-party websites

  • Does not offer gap insurance

State Farm vs. American Family Ratings

Rating AgencyAmerican Family InsuranceState Farm
FitchA+Rating Withdrawn
A.M. BestAA++
Moody’sA1Rating Withdrawn
S&PAAA
J.D. PowerAbove AverageAbove Average

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.

See More: The Best Car Insurance Companies

American Family is one of the best insurance companies we reviewed, based on a variety of data. However, AmFam is only available in select states. Since State Farm is available nationwide, it might be a good alternative for people who don’t have access to American Family auto insurance. It also may be a more affordable option than AmFam.

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Compare American Family Insurance vs. State Farm: Which Is Cheaper?

State Farm typically offers car insurance premiums that are about 10 to 30 percent cheaper than American Family. Young drivers and those with infractions on their records, in particular, should consider State Farm, which offers much lower rates. But if you have a lower credit score, American Family will likely be more affordable since State Farm charges high rates to drivers with poor credit.

You’ll also want to consider the discounts you’re eligible for. American Family offers many more discounts to young drivers, including a good student discount and a young volunteer discount. It also offers payment discounts not available at State Farm.

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.

Neither State Farm nor American Family made the list of the cheapest car insurance companies for 2021. However, State Farm offers the cheapest rates for drivers in a few categories. On average, drivers in their 70s and 80s pay the cheapest premiums at State Farm. It’s also the cheapest company for DUI drivers and those with excellent credit.

Remember that car insurance rates are set based on a variety of factors, so the best way to find the cheapest company for you is to use Insurify to compare customized quotes across multiple insurance providers.

See More: The Cheapest Car Insurance Companies

Compare American Family Insurance vs. State Farm Insurance by Age

Young drivers have less experience, so they typically pay higher car insurance rates. Teen drivers pay the most because they’re more likely to crash than any other age group. Premiums tend to decrease with age, with drivers in their 50s and 60s paying the lowest rates. Here’s what drivers pay on average at each company in each age group.

Age GroupAmerican Family Average Monthly CostState Farm Average Monthly CostIndustry Average
Teens$156$116$189
20s$57$50$68
30s$59$46$70
40s$54$45$61
50s$50$43$56
60s$50$42$59
70s$66$49$71
80s$75$55$78
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

State Farm is cheaper than American Family for all age groups, but especially for younger and older drivers. Both companies are cheaper than the industry average.

Compare American Family Insurance vs. State Farm Insurance by Gender

In most states, car insurance companies consider your gender when underwriting your insurance policy. Women tend to pay just slightly less than men over the course of their lives, with a larger gap existing between young drivers of different genders. Here’s what men and women pay on average at each auto insurance provider.

Insurance CompanyAvg. Monthly Car Insurance Quote for WomenAverage Quote for Men
American Family$56$62
State Farm$50$54
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

State Farm is slightly cheaper than American Family for both men and women, on average.

Which is cheapest for men?

Both State Farm and American Family offer cheaper rates for men compared to the national average. However, State Farm is significantly cheaper for men, offering policies that are $8 cheaper on average.

GenderState FarmAmerican FamilyNational Average
Men$54$62$69
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Which is cheapest for women?

State Farm offers women cheaper policies than American Family, with a difference of about $6. Both insurance providers provide cheaper policies than the national average, which stands at $68 a month.

GenderState FarmAmerican FamilyNational Average
Women$50$56$68
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Compare American Family Insurance vs. State Farm Insurance by Mileage

When setting your insurance premiums, car insurance companies consider your estimated annual mileage. Some companies also offer discounts based on your actual mileage by asking you to install telematics devices in your car. Low-mileage policyholders tend to pay less for car insurance than high-mileage drivers, but it depends on a variety of factors. Here’s what you can expect from each company.

Which is cheapest for drivers with high mileage?

State Farm is slightly cheaper than American Family for high-mileage drivers, but both insurers beat the industry average.

Annual MileageAmerican FamilyState FarmIndustry Average
20,000- 15,000 miles$56$50$69
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Which is cheapest for drivers with low mileage?

State Farm is slightly cheaper than American Family for low-mileage drivers, but both companies are cheaper than the industry average. Keep in mind that both companies also offer a discount to policyholders who drive less than 7,500 miles per year.

Annual MileageAmerican FamilyState FarmIndustry Average
5,000-10,000$57$51$68
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Compare American Family Insurance vs. State Farm Insurance by Credit Score

In most states, car insurance companies consider your credit-based insurance score when setting the rates for your auto policy. That’s because there’s a correlation between lower credit scores and high claims filing. People with excellent credit tend to pay less for car insurance than those in other credit tiers. Here’s what to expect from each provider.

Which is cheapest for good credit?

State Farm is cheaper than American Family for drivers who have good or excellent credit, and both companies are cheaper than the industry average.

Credit TierAmerican FamilyState FarmIndustry Average
Excellent$45$36$52
Good$52$43$66
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Which is cheapest for bad credit?

State Farm charges especially high rates to drivers with poor credit. In fact, State Farm’s premiums for drivers with lower credit are higher than the industry average. American Family is cheaper for drivers who have bad credit, while drivers with average credit may find cheaper rates from State Farm.

Credit TierAmerican FamilyState FarmIndustry Average
Poor$86$117$102
Average$57$51$67
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Compare American Family Insurance vs. State Farm Insurance by Driving Record

If you have violations on your record, auto insurers will view you as a greater risk to insure. For example, infractions like speeding tickets and DUIs show that you’re not taking every safety precaution on the road. That means you’ll pay higher insurance rates than drivers who have a clean record.

Both American Family and State Farm offer safe driver discounts based on your driving habits, which can help offset the high cost of car insurance if you have tickets on your record. In some states, you may also be able to take a defensive driver course to earn a discount. Here’s which company is cheaper for drivers with each infraction.

Which is cheapest for good drivers?

State Farm is slightly cheaper than AmFam for drivers without violations, but both companies are cheaper than average. Ask your insurance agent about discounts that could lower your premium further.

Driver TypeAmerican FamilyState FarmIndustry Average
Drivers with a Clean Record$57$51$67
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Which is cheapest after a speeding ticket?

State Farm offers generous rates to drivers with speeding tickets and is cheaper than American Family. Both companies charge less than the industry average.

Driver TypeAmerican FamilyState FarmIndustry Average
Drivers with a Speeding Ticket$77$59$88
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Which is cheapest after an accident?

State Farm is easy on drivers who have been in accidents, offering much cheaper rates than American Family.

Driver TypeAmerican FamilyState FarmIndustry Average
Drivers with an At-Fault Accident$94$64$99
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

Which is cheapest after a DUI?

State Farm offers surprisingly low rates to DUI drivers, charging less than both American Family and the industry average.

Driver TypeAmerican FamilyState FarmIndustry Average
Drivers with a DUI$94$75$113
Disclaimer: actual quotes may vary based on the policyholder's unique driver profile.

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

DiscountAmerican FamilyState Farm
Multi-policy
Multi-vehicle
Usage-based
Low mileage
Loyalty
Early bird
Switch from competitor
Safety equipment
Defensive driver
Good driver
Teen safe driving
Good student
Away at school
Young volunteer
Generational
Anti-theft device
Autopay
Full pay
Paperless

Our Methodology and How We Compared American Family Insurance and State Farm

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

  • State Farm is cheaper than American Family for most drivers. However, drivers with poor credit pay more on average at State Farm than American Family.

  • After reviewing a variety of data, we’ve found that American Family is better overall. However, State Farm might meet your individual needs better. Also, keep in mind that American Family has a lot of consumer complaints with the NAIC.

  • This insurance review compares the pricing, discounts, and coverage options that each company offers, but to find out which company will offer the cheapest rates for you, use Insurify to get customized quotes from both companies (and a handful of others) in one spot. You might even find that GEICOor Progressive is the cheapest option for you, or go with a local provider.

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Lindsay Frankel
Lindsay Frankel

Content Writer at Insurify

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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