What Discounts Does American Family Insurance Offer?

No, American Family insurance rates are not competitive for most drivers. American Family car insurance costs an average of $665 per year, or $55 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

Note: These rates are approximations based on sample quotes from American Family. Actual rates 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. 

American Family does not advertise a marriage discount, though married drivers do pay less for American Family car insurance than single drivers, on average. For example, a 45-year-old married driver with a good record on the road pays an average of 10% less for American Family coverage than the same driver without a husband or wife. Married people also typically qualify for more American Family discounts, like the multi-vehicle and multi-policy discounts.

Married couples tend to be more careful on the road and get into fewer accidents, which translates into lower American Family rates. But there are some exceptions, and sometimes a shared policy can be more expensive. If your spouse has a poor driving record or is considered a high-risk driver for another reason, you could pay more for your American Family policy.

To get a American Family quote, you can go online or call 1-800-692-6326.

Yes, American Family has a multi-car discount. To qualify for the American Family multi-car discount, a customer must insure more than one vehicle on the same American Family auto insurance policy. The discount automatically applies to a qualifying American Family policy, but it does not compound, meaning you won't get a bigger discount for insuring more vehicles.

In addition to American Family's multi-car discount, the company offers other ways for customers to save money on their premiums, such as the multi-policy discount, auto safety equipment discount, and low mileage discount, among others. For more information, check out the complete list of American Family discounts. And if you're unsure whether a discount that you qualify for is being applied to your policy, you can contact American Family by calling (800) 692-6326.

You can get a safe driver discount from American Family by adding safety equipment to your vehicle, avoiding accidents and moving violations, and driving less, among other methods. American Family does not have a single “safe driver” discount, instead using the term to refer to several available savings opportunities.

American Family Safe Driver Discounts

• Auto Safety Equipment: Get a discount if your vehicle is equipped with factory-installed airbags.

• Defensive Driver: If you are at least 55 years old, you can save by completing an approved defensive driving course.
• Good Driving: If you avoid accidents, violations, or claims, you may be eligible for a reduced rate.
• Low Mileage: American Family customers who drive less than 7,500 miles per year can qualify for additional savings.
• KnowYourDrive: Save up to 20% by allowing American Family to track your driving habits, including speed and braking.

If you don't qualify for any of American Family's safe driver discounts, there are still other ways for you to save. For example, you can get a discount if you insure more than one vehicle on your policy or have more than one type of insurance with American Family.

To learn more, check out WalletHub's guide to American Family discounts.

Yes, American Family offers a defensive driving course discount for drivers aged 55 and older who have successfully completed an approved driver's education course. By voluntarily taking an approved defensive driving course, American Family car insurance customers in eligible states can get a discount, though the exact amount varies between each state. Once the discount expires, drivers can renew it by taking another course.

Defensive driving courses improve your driving skills by teaching you how to handle difficult situations on the road. For example, common traffic school topics include DUI/DWI laws, the consequences of different moving violations, and how to share the road. Specific details vary between states and classes, but online defensive driving courses typically cost up to $40 and take 4-12 hours to complete. 

To learn more, check out WalletHub's guide to American Family discounts.

American Family offers a good driver discount, but the amount varies by state. In order to receive a American Family good driver discount, drivers must have no accidents, violations, or claims on their record within the last five years, and this can even include time that you've been insured by another company.

After you get into an accident, file a claim, or receive a ticket, you will have to wait five years in order to qualify for the discount again. Additionally, accidents that are forgiven by American Family accident forgiveness still count against your good driver discount, even though your base premium will not go up.

If you don't qualify for American Family's good driver discount, there are still ways to save on your premium. For example, American Family offers a multi-vehicle discount for drivers who want to insure more than one vehicle on their policy. You can also lower your rate by altering your coverage or increasing your deductible.

To learn more, check out WalletHub's guide to American Family discounts.

American Family is so cheap because the company offers a wide variety of discounts that almost anyone can get. A minimum coverage policy from American Family costs an average of $67 per month, and American Family premiums can be made even cheaper by taking advantage of discounts such as safety features discounts and low mileage discount. Plus, American Family rewards customer loyalty with discounts for insuring more than one car and bundling multiple policies, such as home and auto.

Average Monthly Rates for American Family vs. Top Competitors

Note: Premiums are representative of a 45-year-old good driver in IL; individual premiums will vary.

American Family is especially cheap for young drivers in particular. That's because American Family has special savings opportunities for drivers in this category, such as discounts for drivers under 25 years old who volunteer for non-profits, and savings for students who maintain at least a B average.

Your final premium is based on a variety of factors, though, such as your driving record, insurance history, and more. Every insurance company determines their rates differently, so even though American Family is among the cheapest car insurance companies, the only way to confirm you've found the lowest price is to compare quotes from multiple companies.

To learn more, check out WalletHub's review of American Family and see American Family's full profile.

No, American Family does not offer a new car discount, unlike three of the 10 largest car insurance companies. But policyholders can still find other ways to lower their American Family premium, such as by taking advantage of their auto safety equipment discount, multi-vehicle discount, or low mileage discount.

For more information about saving on your insurance, check out WalletHub's complete guide to American Family discounts.

No, American Family does not have a dash cam discount, since no major car insurance company in the United States offers dash cam discounts as of March 2021. The closest thing American Family has to a dash cam discount is KnowYourDrive, which monitors policyholders' driving habits and adjusts their premiums accordingly.

KnowYourDrive from American Family is a type of usage-based insurance. The program tracks speed, acceleration, braking, and distracted driving and can save policyholders up to 20%.

Even though American Family does not offer a dash cam discount, purchasing a dash cam could still be worth it in the long run. For instance, dashboard cameras can help prove fault in a car accident, prevent insurance fraud, and provide evidence in traffic court.  

The American Family multi-policy discount is up to 23%. Customers can qualify for the American Family multi-policy discount by purchasing auto insurance as well as a homeowners, renters, or life insurance policy from American Family. The company usually applies the multi-policy discount automatically, but policyholders can always call customer service to ask if the discount has been added to their account.

Besides the multi-policy discount, American Family offers several other ways for customers to save. For instance, policyholders can take advantage of a multi-car discount. Other discounts include good student, good driving and low mileage discounts.

For more information about how to save on your policy, check out WalletHub's guide to American Family car insurance discounts.