AAA vs. Alliance United: Which Company is the Best Fit for You?

If you're in the market for a new car insurance policy, you might be wondering how Alliance United and AAA compare when it comes to the lowest premiums and biggest discounts. To find out which of these companies is the best fit for you and your wallet, check out our newest guide below.
Newly insured car driving down the road
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Quick Facts

  • Based on national averages for auto insurance, Alliance United offers significantly more affordable rates than AAA
  • AAA offers cheaper average prices for drivers who have less-than-stellar credit
  • Alliance United has less expensive rates for residents of urban areas

AAA vs. Alliance United: Which Company has the Cheapest Car Insurance?

Are you considering a new insurance policy? With so many ads from all sorts of companies offering big discounts, you're probably wondering exactly how much you might be able to save.

You might have narrowed your search down to AAA or Alliance United for your next policy, but which company will save you the most?

AAA Alliance United

As you can see, AAA is quite a bit more expensive than Alliance United, with premiums averaging $314 per month compared to just $225 with Alliance United when looking at the national average rates for insurance.

That being said, that doesn't necessarily mean Alliance United will be the more affordable option for each driver. Auto insurance companies use all sorts of complex algorithms to calculate prices, so depending on where you live or how clean your driving record is (among a lot of other factors), you could see wildly different premiums from the ones above.

So, if you want to find out which of AAA or Alliance United is really the best for you, keep reading to see average rates for each company broken down by a variety of different rate factors.

AAA or Alliance United: Average Car Insurance Rates by State

State AAA Alliance United

AAA and Alliance United only compete against each other in California, where AAA offers the cheaper average prices. For California residents, AAA offers car insurance for $215 a month on average. Alliance United's average premiums come out to be more expensive, at $225 per month.

That being said, there's a lot more that goes into your insurance payment than just where you live. Read on to learn more.

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Which is the Best Company For Young Drivers?

AAA Alliance United
18-year-old drivers$689$422
25-year-old drivers$276$229

Teen drivers will almost always have the most expensive car insurance prices of any group out there on the road. It's typically because young, inexperienced drivers are statistically much more likely to cause collisions and other accidents that will result in an insurance claim.

But still, even with seemingly sky-high rates, teen drivers can still find ways to save money. Just look at the table above -- where 18-year-old drivers who have Alliance United for their auto insurance pay more than $250 less than those who use AAA.

But with both carriers, you'll see your premiums drop significantly by the time you turn 25. For example, average rates for AAA policyholders reduce over $400 and Alliance United's prices lower nearly $200 over that time.

Which is the Best Company for Retired Drivers?

AAA Alliance United
65+-year-old drivers$238$194

Drivers around retirement age usually enjoy some of the cheapest insurance premiums out there. After all, they've likely been driving for quite some time, which normally lowers their chances of accidents and other infractions that can increase rates.

But who has the best prices for retired drivers between AAA and Alliance United? Alliance United gets the edge, with premiums for drivers 65 and older almost 20% cheaper than the national average for AAA.

Which is the Best Company for Married Drivers?

AAA Alliance United

Married couples tend to get slightly less expensive auto insurance rates than those who are single. That's generally because married drivers tend to own and insure multiple cars, which can often earn you a discount.

When it comes to relationship status, Alliance United is the clear winner for single drivers, with prices about $119 a month cheaper than AAA, on average. The advantage for married policyholders with Alliance United is also obvious, where drivers save nearly 20% per month.

AAA vs. Alliance United: Average Rates by Gender

AAA Alliance United

Men tend to pay more for car insurance than women. This is because men are more likely to get tickets and get into accidents, which increases the chances of an insurance claim.

Men typically pay around $35 a month more than women with AAA; men and women get the same monthly rates with Alliance United.

When it comes to the most affordable prices for each gender, Alliance United comes out on top for both men and women, with average premiums 32% less for men and 24% cheaper for women.

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AAA or Alliance United: Compare State Minimum vs. Full Coverage Rates

AAA Alliance United
State Minimum*$169$102
Full Coverage**$459$349

*State minimum value indicates liability-only policies at each state's minimum bodily injury and property damage (BI/PD) limits

**Full coverage indicates state minimum BI/PD limits with collision and comprehensive coverages added to policy.

For most people, insurance can be pretty complicated. There are so many different coverages and terms that it can make it pretty confusing to find the right policy.

The two most common policies end up falling into two different types of coverage -- liability only (which covers the other party's injuries and property damage if you cause an accident) and full coverage (which usually refers to having comprehensive and collision coverages alongside liability).

If you're looking for state minimum limits for liability insurance, Alliance United generally offers significantly less expensive rates of $102 compared to AAA's $169. When it comes to full coverage policies with similar limits, Alliance United again has the edge, with policies about $100 per month more affordable than AAA, on average.

Is AAA or Alliance United Better for Drivers with Spotty Records?

It's no big secret that drivers who are accident-free get better deals on their auto insurance. But even if you have a spotty record, you can still find plenty of ways to save some cash on your monthly bill.

It's no secret secret that at-fault collisions and tickets lead to higher prices, but which carrier -- AAA or Alliance United -- has the cheapest premiums for drivers with less-than-ideal driving records?

Which Company is Best for Drivers with Speeding Tickets?

AAA Alliance United
Clean Record$213$139
1 Speeding Ticket$299$185

AAA policyholders can expect their prices to go up an average of $86 a month if they get a ticket, while Alliance United normally raises rates around $46 per month, on average.

However, Alliance United has cheaper premiums for drivers in both categories. Drivers with a clean record can save about $74 a month and drivers with a speeding ticket can save around $114 per month with Alliance United.

Which Company is Best for Drivers After an Accident?

AAA Alliance United
Clean Record$213$139
1 At-Fault Accident$339$289

Both companies will raise rates pretty significantly if you get into an at-fault accident with Alliance United raising by $150. AAA has a less extreme increase, but you can still expect to pay just under $150 more than you were prior to your first collision.

Overall, the less expensive premiums come from Alliance United, with monthly prices averaging $289 compared to AAA Insurance's $339.

Which Company is Best for Drivers with a DUI?

AAA Alliance United
Clean Record$213$139
1 DUI$403$289

On average, a DUI offense is going to cost you much more than a single accident or ticket when it comes to your insurance bill. For example, AAA increases average premiums by nearly $200 a month -- that's over a 45% increase.

If you have a DUI on your record and are looking for more affordable rates, Alliance United tends to be the much more affordable option with average prices of $289 monthly compared to $403 from AAA.

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How does Credit Score Impact AAA and Alliance United Rates?

You may not realized it, but your credit score can be used as one of the factors to determine your monthly car insurance rates. This isn't always the case (for example, Massachusetts and California are two states that ban the practice entirely), but it might come into play for lots of drivers.

Auto insurance carriers argue that those with poor credit scores are less likely to pay their bills on time each month, which increases the risk involved on their end, while the opposite is true for those with good credit.

Looking at AAA and Alliance United specifically, which one has the best premiums for policyholders at different credit levels?

Which Company is Best for Drivers with Good Credit?

AAA Alliance United
Excellent Credit Score$185No Data Available
Good Credit Score$247No Data Available

You'll often be rewarded if you have fantastic credit. Jumping from a "good" credit score to an "excellent" one will generally save AAA Insurance customers about 25%. On the other hand, undefined doesn't have data available for credit scores, which means they most likely don't use credit to calculate your prices.

Which Company is Best for Drivers with Bad Credit?

AAA Alliance United
Fair Credit Score$304No Data Available
Poor Credit Score$539No Data Available

If you have bad credit, it can cost you with AAA Insurance. For drivers with less-than-stellar credit, at AAA Insurance, you may pay around 45% per month more if you have "poor" credit compared to those with "fair" scores. It's an even larger difference when compared to drivers with "good" or "excellent" scores. undefined, on the other hand, doesn't have data available for credit scores, which means drivers with bad credit may find better rates with undefined over AAA Insurance.

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Is AAA or Alliance United Better for Drivers who Work from Home or Have Short Commutes?

AAA Alliance United
6,000 Annual Miles$307$214
12,000 Annual Miles$320$237

The amount of time you spend behind the wheel of your car plays a big role in how much car insurance companies will charge for coverage. Typically, those who drive fewer miles will end up with less expensive premiums since there's less of a chance of getting into a collision and causing an insurance claim.

For both drivers who put 6,000 miles on their vehicles annually, as well as those who average twice that figure, Alliance United tends to be the cheaper option. Alliance United's average rates for drivers with 6,000 annual miles come in about 30% more affordable than AAA. Those who drive 12,000 miles every year can expect to pay around 26% less with Alliance United over AAA.

AAA vs. Alliance United: Compare Rates for Urban, Suburban, and Rural Drivers

Where you park your vehicle can play a big role in how much you pay for insurance. Normally, drivers who live in less densely populated rural areas will pay quite a bit less than urban policyholders because of the small number of cars that are on the roads in those areas.

AAA Alliance United
Urban Areas$384$230
Suburban Areas$301$239
Rural Areas$256$206

When comparing these two carriers side-by-side, Alliance United usually comes out as the most affordable option for drivers in all areas, regardless of if they're urban, suburban, or rural.

Drivers in rural ZIP codes see the lowest premiums from both companies, but Alliance United comes out on top with average prices about $206 a month. Alliance United also has cheaper average rates for policyholders in urban and suburban ZIP codes -- a $154 and $62 a month respective difference when compared to AAA drivers in similar areas.

AAA vs. Alliance United Discounts

You want to save as much money as possible, right? The best way to do that is by taking advantage of as many auto insurance discounts as you can.

But where do you even start? With what seems like a million different discounts out there, it may be difficult to find all the ones you're eligible for.

In the table below, we've broken down all of the different discounts offered by both AAA and Alliance United so that you can see which company can save you the most money each month.

AAA Alliance United
AAA Discount 
Academic Discount 
Advance Quote Discount 
Anti-Theft Discount 
Covid-19 Relief Discount 
Defensive Driver Discount
Distant Student Discount 
Driver Training Discount 
DriveSharp Discount 
EFT Discount 
Employee Discount 
Garage Discount 
Good Driving Discount
Good Student Discount 
Group Discount 
Homeowner Discount 
Hybrid Vehicle Discount 
Mature Driver Discount 
Military Discount 
Mobile Home Policy Discount 

AAA knocks Alliance United out of the park when it comes to the sheer number of discounts available, offering 33 different discounts to Alliance United's three.

Both carriers offer a lot of the same discounts -- like discounts for being a defensive driver, discounts for being a good driver, and renewal discounts -- but AAA also offers AAA discounts, academic discounts, advance quote discounts, and more that Alliance United does not.

Alliance United's discounts come through just three categories -- Defensive Driver, Good Driving, and Renewal Discount.

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Final Thoughts: Is AAA or Alliance United Best for You?

So, we've broken down the average premiums for many of the variables car insurance companies look at, and we've shown you all the discounts each carrier offers. But, at the end of the day, which insurance company is the right fit for you?

Alliance United might be best for you if....

  • You have received a ticket within the last few years.
  • You want basic insurance coverage at the state minimum limits.
  • You are over 65 years old and want to save some money on your auto insurance.

AAA might be best for you if...

  • Your credit is below-average.
  • You already have a great credit score.
  • You care about discounts (Aaa offers the most).

We hope this guide helps you get a better idea of the difference between AAA and Alliance United and that you can now make a more informed decision when it comes to your car insurance.

At the end of the day, the best way to make sure you're getting the best deal on your insurance policy is to compare quotes from multiple carriers, not just AAA and Alliance United. Luckily, makes it easy for you to do just that. Just enter your ZIP code below and get multiple quotes from some of the best car insurance companies in your area, all for free.

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AAA vs. Alliance United FAQs

Is AAA or Alliance United cheaper?

Looking just at the national average rates, Alliance United is the more affordable of the two carriers, offering average rates of $225 per month compared to $314 for AAA. Even so, Alliance United won't necessarily be the cheapest carrier for everyone, since there are several different factors that come into play when it comes to your insurance bill.

Who is better, AAA or Alliance United?

Sadly, the answer truly is "it depends.". Neither company is "better" for each driver -- it all comes down to what your unique auto insurance profile looks like. For example, Alliance United offers less expensive prices for drivers with a recent DUI, while AAA is more affordable for drivers with excellent credit.

Why do AAA and Alliance United offer me different rates?

Car insurance companies take a look at many different variables when calculating the premiums they charge policyholders. Factors such as where you call home, where you live, gender, age, and sometimes even things like your credit score can all be taken into consideration. Both AAA and Alliance United use different formulas, so each one will most likely offer different rates. The only real way to see which carrier is the most affordable for you is by comparing personalized quotes from a range of different carriers.

How do I know if AAA or Alliance United is right for me?

The only way to find the insurance company that's right for you is by getting quotes from several companies and finding the one best suited for your individual budget. Luckily, sites like do all the hard work for you. Just enter your ZIP code and you'll get free quotes from dozens of the best auto insurance carriers in your area. That way, you can guarantee you're getting the best premium. And who knows, the best carrier for you might not be AAA or Alliance United at all!


All of the data referenced in this article has been gathered in collaboration with Quadrant Information Services. We analyzed more than 2.5 million rows of carrier-reported data to calculate the average rates referenced above. All rates are based on an insurance profile of a single-vehicle policy for a driver that owns a 2016 Honda Accord. For more information on how we calculate rates, please reference our data methodology.

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