American Family Insurance Review

Yes, American Family has glass coverage for customers with comprehensive insurance. American Family customers can file a glass claim under their comprehensive coverage if their windshield was damaged due to something besides an accident, such as an animal, a weather event, or vandalism. If the windshield was damaged in a crash, drivers can file a claim with their collision insurance if they were at fault or with the at-fault driver's liability coverage.

Fixing a cracked or chipped windshield is important for safety reasons, since damaged windshields can obstruct a driver's vision and weaken the car's frame. But if the damage is minor, you might be able to have your windshield repaired rather than replaced. A general rule of thumb is that windshields can be repaired if there is a chip smaller than a quarter or a crack smaller than a dollar bill.

To encourage customers to drive safely, American Family waives the comprehensive deductible for windshield repairs. Several states also have specific laws about car insurance deductibles for windshield repairs and replacement.

State Laws on Deductibles for Glass Coverage

• Florida, Kentucky, and South Carolina require companies to waive the deductible for both windshield repair and replacement.

• Kentucky and South Carolina require companies to waive the deductible for all auto glass that you can see out of, not just the windshield.

• Arizona, Connecticut, Massachusetts, Minnesota, and New York require insurers to offer customers the option of a $0 glass deductible plan. This option is often referred to as full glass coverage.

If you don't live in one of these states, you will likely have to pay your comprehensive deductible in order for your windshield to be completely replaced. You can check with American Family if you're unclear about your policy details or your state's laws. For more information, check out WalletHub's guides to comprehensive and windshield insurance.

Yes, American Family Insurance offers a type of gap insurance. American Family gap insurance is technically called “loan/lease payoff coverage,” and it pays the difference between a totaled car's value and the policyholder's loan or lease balance, up to a maximum of 25% of the car's actual cash value, though it's worth noting that American Family gap coverage does not pay the policyholder's deductible.

American Family Insurance loan/lease payoff coverage only costs $5-$15 per month, and it is usually a better investment than purchasing gap insurance from a dealership, where the cost is often rolled into your loan and charged interest. For more information, check out WalletHub's complete guide to gap insurance.

American Family is owned by American Family policyholders, since it is a mutual insurance company and its shares are not available to investors on the public market. Among the 10 largest car insurance companies in the U.S., four are mutual insurance companies.

For more information, check out WalletHub's full American Family review.

Yes, American Family does offer free towing for customers who have the company's roadside assistance coverage. American Family roadside assistance generally costs $1-$6 per month and includes towing services to the nearest repair facility. American Family customers can request roadside assistance online, or they can call 1-800-692-6326.

American Family Roadside Assistance Covers:

• Towing services to the nearest repair facility
• Flat tire changes
• Jump starts
• Gasoline delivery
• Lockout services

While American Family's roadside assistance covers towing and other services, it doesn't cover the cost of repair parts, replacement keys, or major fixes due to things like engine failure or structural damage.

To cancel American Family insurance, the policyholder must contact their agent directly or call customer service at 1-800-692-6326. The cancellation can be arranged for a future date or set to take effect immediately. You will need your name, policy number, and the date you want your policy to end.

• Cancel by phone by calling 1-800-692-6326.
• Cancel by mail by writing a letter that includes your name, policy number, and the date you want your policy to end. Sign, date, and mail your letter to: American Family Insurance / 6000 American Parkway / Madison, WI 53783.
• You cannot cancel an American Family policy online.

If you've already paid your premium for the policy period in full, American Family will refund the unused portion. American Family does not impose a cancellation fee or penalty for early termination.

It's important to remember that you don't need to cancel your policy just because you're going through some life changes. For example, you should have American Family update your mailing address or vehicle information if you're moving or buying a new car.

If you're canceling your current policy in order to switch to another company, be sure to activate your new policy before canceling the old one. This prevents a lapse in coverage, which would lead to higher premiums in the future.

Yes, American Family has accident forgiveness for car insurance customers. American Family accident forgiveness can be purchased as a policy add-on if the policyholder has had no violations or at-fault accidents in the last year  or earned if the customer is claim-free for five years. Once the policyholder has accident forgiveness, it applies to one accident every 1-5 years, depending on whether it was earned or purchased.

Keep in mind that American Family accident forgiveness is per policy, not per driver. As a result, if one driver on a shared policy caused an accident in the past 1-5 years, the other named drivers cannot have any of their accidents forgiven.

Even if you don't qualify for American Family's earned accident forgiveness, the paid add-on is still a good investment if you're concerned about your rates going up after a wreck. On average, American Family premiums go up by 24% after an at-fault accident, so paying for accident forgiveness can save you money long-term.

To learn more, check out WalletHub's guide to accident forgiveness.

Yes, American Family offers rideshare insurance as an optional add-on to personal car insurance policies. American Family's rideshare endorsement typically costs an average of $9 per month, though it varies by state, and it provides more coverage than the insurance offered by Uber and Lyft.

American Family Rideshare Insurance Coverage 

• Does not include deductible gap coverage, so you will need to pay the rideshare company's deductible
• All the coverage that is on your personal policy while the app is on but before you accept a ride request
• No coverage is provided by American Family once you have accepted a ride request

Rideshare insurance varies by state, so check with American Family to see if their rideshare coverage is available in your location.

In general, rideshare policies are important because the coverage provided by Lyft and Uber varies depending on where the driver is in the process of a ride. When a driver is online and waiting for a ride request, Uber and Lyft provide liability-only insurance.

Once the driver has accepted a ride request, Uber and Lyft provide up to $1 million in liability insurance, plus any other type of coverage required in the state. Both companies also provide collision and comprehensive insurance during this period, but only for drivers who have these types of coverage on their personal policy. However, Uber's deductible is $1,000 and Lyft's is $2,500. These are significantly more expensive than the average car insurance deductible of $500.

Finally, Uber and Lyft don't provide any coverage for drivers when the app is not on. For more information, check out WalletHub's complete guide to rideshare insurance.

No, American Family insurance rates are not competitive for most drivers. American Family car insurance costs an average of $903 annually, or $75 per month.

American Family's car insurance rates are based on your driving record and experience, along with factors like the type of car you drive, your ZIP code, your insurance history, and more. Your coverage and deductible choices also impact your final quote, as do your eligibility for discounts.

Sample American Family Car Insurance Rates

These sample quotes are representative of American Family's insurance prices, but individual results will vary. To learn more about how we obtained these sample quotes, check out the methodology section of our complete American Family car insurance review. 

You can lower your American Family car insurance costs by taking advantage of American Family discounts, opting for a higher deductible, and reducing your coverage, among other things. American Family considers a variety of factors when calculating your premium, though some – like your age and location – are out of your control. Fortunately, you can take steps to influence other factors in order to lower your rate.

How to Lower the Cost of Car Insurance from American Family

Use American Family's auto insurance discounts

American Family offers a wide variety of discounts that can help you lower your overall car insurance bill. For example, drivers can get a discount of up to 10%  if their teen completes 3,000 miles or one year in the Teen Safe Driver program . Or you can save up to 29% on your premium if you bundle your home and auto policies with American Family.

Raise your car insurance deductible 

Opting for a higher deductible on any of your insurance policies from American Family can lower your premium. But if you decide to go this route, it's important that you choose a deductible amount that you can still afford if you suddenly need to file a claim. Otherwise, you might not be able to use the coverage that you have.

Reduce your car insurance coverage 

Most states require a certain amount of bodily injury liability and property damage liability coverage. But there are other coverage options (like comprehensive, collision, personal injury protection, and uninsured motorist) that you may not have to purchase, depending on your state.

Less coverage usually means lower premiums, but it could also lead to higher costs in the long run, so it's important to approach coverage decisions with caution.

Improve your driving record

Practicing save driving habits and avoiding moving violations can help you qualify for lower American Family insurance rates long-term. You may also be able to attend traffic school in order to remove a violation or points from your record, depending on your state. American Family even offers a discount to drivers who take an approved defensive driving course. However, this discount is only available to drivers who are at least 55 years old.

Build and improve your credit

Because your credit history is correlated with your likelihood of filing an insurance claim, American Family uses your credit data to calculate your premium in states where it is legal. As a result, having good credit makes you less of an insurance risk, which will reduce your rates over time.

Drive less 

Whether you can shorten your commute to work, use more public transportation, or even ride a bicycle more, driving fewer miles each year could lower your American Family premium.

Drive an insurance-friendly car

Expensive cars, sports cars, and cars with high rates of theft are considered to be riskier to insure than cheaper, more practical vehicles. Before you buy a new car, get a new quote from American Family to see how it will affect your rate. If the cost is out of your budget, then you should probably choose a different car.

Sign up for KnowYourDrive

KnowYourDrive, the American Family telematics program miles driven, speed, acceleration, braking, distracted driving, and the time of day that you drive, rewards you for good driving with a discounted premium. Specifically, KnowYourDrive tracks miles driven, speed, acceleration, braking, distracted driving, and the time of day that you drive. By using KnowYourDrive, drivers can save up to 20% on their rate.

Finally, if you're still struggling to afford your American Family policy, you should consider switching insurers. Even if you're not actively looking for a new policy, it's generally a good idea to compare quotes from three different companies every 6-12 months. To learn more, check out WalletHub's guide to switching car insurance companies.

American Family car insurance premiums go up by an average of 23% after a speeding ticket, according to WalletHub's analysis. The exact amount that a driver's rate will go up after a ticket depends on a few factors, including their state, how fast they were going, and their previous driving history.

For example, a speeding ticket will cause your American Family rate to go up by 23% in Arizona, compared to only 1%in Iowa. And if you've received other tickets within the past few years, you'll face higher penalties than first-time offenders because American Family may consider you a high-risk driver.  

The good news is that a speeding ticket will only affect your American Family insurance for 3-5 years, depending on your state. In the meantime, there are steps that you can take to lower your rate. For example, you may be able to take a defensive driving class to remove the ticket from your record. You can also lower your coverage or check American Family's discounts to see what you can qualify for.