American Family vs. State Auto: Which Company is the Best Fit for You?

Quick Facts

• Based on national averages for insurance, American Family offers significantly cheaper rates than State Auto
• American Family offers more discounts than State Auto Insurance
• American Family has less expensive premiums for residents of urban areas

American Family vs. State Auto: Which Company has the Cheapest Car Insurance?

So, you're considering switching your auto insurance. After all, you've seen ads from all sorts of companies offering hefty discounts. But exactly how much can you save by switching?

You might have narrowed it down to American Family or State Auto as your top options, but between the two, which company will save you the most?

As you can see, American Family has average rates that are about 45% per month more affordable than those from State Auto when looking at the national average rates for auto insurance.

That being said, that doesn't mean American Family will necessarily be cheaper than State Auto for each driver. Insurance companies vary their rates depending on things like where you live, how clean your driving record is, how good your credit score is, how old you are, and all sorts of other factors. So, at the end of the day, prices from each carrier will differ quite a bit from person to person.

So, if you want to find out which of American Family or State Auto is really the best for you, keep reading to see average rates for each company broken down by many different rate factors.

American Family or State Auto: Average Car Insurance Rates by State

American Family and State Auto compete against each other in five states, with American Family offering less expensive prices to the average driver in all of them. Illinois has the most noticable difference, where American Family premiums are over 70% more affordable than car insurance rates at State Auto.

But there's more to calculating auto insurance premiums than just the state you live in. Keep reading to find out more.

Which is the Best Company For Young Drivers?

You might already know that teen drivers normally pay a lot more for insurance than any other group of drivers. The reason is that young, inexperienced drivers are statistically much more likely to get into an accident that results in an insurance claim, making them much riskier to insure.

But still, even with seemingly sky-high prices, teen drivers can still find ways to save money. Just look at the table above -- where 18-year-old drivers who have American Family for their auto insurance pay more than $400 less than those who use State Auto.

But both carriers will offer you dramatically lower rates once you turn 25. For example, average premiums for American Family policyholders reduce nearly $200 and State Auto's prices decrease over $500 over that time.

Which is the Best Company for Retired Drivers?

Drivers around retirement age typically enjoy some of the lowest car insurance premiums you'll ever see. After all, they've likely been driving for quite some time, which usually reduces their chances of accidents and other infractions that can increase prices.

So, which carrier offers the best rates to retired drivers? American Family gets the edge here, with average prices coming in at around $107 a month compared to State Auto's $167.

Which is the Best Company for Married Drivers?

You may not be aware, but auto insurance rates tend to be more expensive for single drivers than they are for married policyholders. That's generally because married drivers tend to own and insure several cars, which can often earn you a discount.

When it comes to relationship status, American Family is the clear winner for single policyholders, with premiums about $161 a month less expensive than State Auto, on average. The advantage for married couples with American Family is also obvious, where drivers save more than 35% per month.

American Family vs. State Auto: Average Rates by Gender

Because men are more likely to get speeding tickets and get into collisions, they have an increased chance of filing a claim with insurance. Therefore, insurance companies will tend to charge men more than women.

With American Family, women usually pay around $5 a month less than men, and about $24 less with State Auto.

Looking at the data for each company specifically, American Family comes out as the cheapest option for both genders. On average, male drivers save about $128 per month and women save around $109 with American Family compared to the average State Auto policyholder.

American Family or State Auto: Compare State Minimum vs. Full Coverage Rates

*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.

It's no secret that car insurance can be a complicated subject for most people. There are a variety of different coverages that account for lots of different things. Some protect you and your vehicle, while others only provide coverage for other people's property and health if you cause an accident.

Even so, most policies end up falling into two different types of coverage -- liability only (that covers property damage and bodily injury for other drivers and passengers if you cause a collision) and full coverage (which includes comprehensive and collision coverages that protect your own vehicle, in addition to what you get with a liability policy).

If you're looking for state minimum liability limits, American Family normally offers significantly cheaper rates of $96 compared to State Auto's $149. When it comes to full coverage policies with similar limits, American Family again has the edge, with policies about $200 a month more affordable than State Auto, on average.

Is American Family or State Auto Better for Drivers with Spotty Records?

It's no big secret that drivers who are accident-free get better deals on their 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 tickets and at-fault collisions lead to higher premiums, but which carrier -- American Family or State Auto -- has the most affordable prices for drivers with less-than-perfect records?

Which Company is Best for Drivers with Speeding Tickets?

American Family policyholders can expect their premiums to go up an average of $29 per month if they get a ticket, while State Auto generally raises rates around $48 a month, on average.

However, American Family is typically the less expensive option for drivers both with a speeding ticket and with a clean record -- their rates are around 31% more affordable for drivers with clean records and 33% cheaper for those with a ticket.

Which Company is Best for Drivers After an Accident?

After an accident, drivers who have their car insurance through American Family can expect to see about an $20 -- or around 14% -- increase in their insurance prices. Drivers who use State Auto for their auto insurance will see a monthly bill about $99 (or 37%) more expensive after reporting an accident to their car insurance company.

Overall, American Family offers the cheapest rates for drivers with an at-fault accident on their records, with monthly prices averaging $138 compared to State Auto Insurance's $269.

Which Company is Best for Drivers with a DUI?

On average, a DUI offense is going to cost you much more than a single collision or ticket when it comes to your auto insurance bill. For example, State Auto increases average premiums by over $200 per month -- that's over a 55% increase.

If you have a DUI on your record and are looking for more affordable rates, American Family tends to be the much more affordable option with average prices of $158 per month compared to $380 from State Auto.

How does Credit Score Impact American Family and State Auto Rates?

Often times, your credit score can be used as one of the factors to calculate your monthly insurance premiums. Certain states and carriers do not allow for credit score to be used as a rating factor, but it will come into play for quite a few drivers.

The reasoning car insurance companies use is that policyholders with bad credit will be less likely to pay their bills on time; so normally, they'll be asked to pay more, while those with good credit will be rewarded with cheaper prices.

Looking at American Family and State Auto specifically, which one has the most affordable rates for drivers at different credit levels?

Which Company is Best for Drivers with Good Credit?

If you have great credit, you'll usually find a better deal with American Family. Policyholders with "excellent" credit can save just under 50% compared to State Auto, and those with "good" scores can also expect to see savings -- around $108 or 47% less expensive every month.

Which Company is Best for Drivers with Bad Credit?

American Family typically offers lower premiums than State Auto when it comes to drivers with less-than-stellar credit. Drivers with "fair" credit pay about $121 a month less with American Family compared to State Auto, and those with "poor" scores usually save an average of around $152 monthly.

Is American Family or State Auto Better for Drivers who Work from Home or Have Short Commutes?

How much you drive can have a pretty big impact on your monthly auto insurance bill. That's because the fewer miles you put on your car, the less likely you are to get into a collision and cause an insurance claim.

As you can see in the table above, annual mileage doesn't have much of an impact on how much State Auto charges. However, there's a small difference in monthly prices for American Family, with drivers who put 6,000 miles on their vehicle annually paying about $5 less each month compared to those who drive 12,000 miles yearly. Still, American Family is the cheaper option for drivers in both categories.

American Family vs. State Auto: Compare Rates for Urban, Suburban, and Rural Drivers

Where your home is can have a substantial impact on your monthly insurance payment. Generally, if you live in a rural area with fewer cars on the road, you'll pay a little less for auto insurance, while the opposite is true for people in urban areas.

American Family boasts the cheapest average rates for drivers in every type of area, no matter if it's urban, suburban, or rural.

Drivers in rural ZIP codes see the most affordable premiums from both carriers, but American Family comes out on top with average rates around $121 per month. American Family also has less expensive average prices for policyholders in urban and suburban ZIP codes -- a $151 and $102 per month respective difference when compared to State Auto drivers in similar areas.

American Family vs. State Auto Discounts

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

But with what seems like a million different discounts out there, it can be hard to find all the ones you're eligible for or to nail down the company that has the most discounts for your unique driver profile.

In the table below, we've compared all of the different discounts offered by American Family and State Auto so that you can easily see which company offers the most discounts and see which ones you might be able to take advantage of.

Overall, American Family has advantage when it comes to total number of discounts. State Auto offers a grand total of 18 discounts, while American Family has 21.

There are a couple discounts both companies offer, but American Family also offers connect partner discounts, DRL discounts, EFT discounts, and more that State Auto does not.

On the flip side, State Auto has a couple unique discounts of its own -- ABS discounts, advantage program discounts, discounts for getting driver training, and more.

Final Thoughts: Is American Family or State Auto Best for You?

So, we've broken down the average rates for many of the variables car insurance carriers look at, and walked through the different discounts each carrier offers, too. But, when it comes down to it, is American Family or State Auto the best company for you, your vehicle, and your wallet?

American Family might be best for you if....

• You have a DUI charge on your record.
• You live in an suburban area.
• You live in a rural area.

State Auto might be best for you if...

• You have a more unique driver profile than those we mentioned above.

We hope this guide helps you get a good idea of the differences between American Family and State Auto and that it aids in making a more informed decision about your insurance.

At the end of the day, the best way to make sure you're getting the best deal on your car insurance policy is to compare quotes from several companies, not just American Family and State Auto. Luckily, sites like Compare.com do all the hard work for you. Just enter your ZIP code below and get multiple quotes from some of the best auto insurance carriers in your area, all for free.

American Family vs. State Auto FAQs

Is American Family or State Auto cheaper?

Looking just at the national average prices, American Family is the more affordable of the two companies, offering average rates of $140 a month compared to $259 for State Auto. But American Family won't necessarily be the lowest company for every driver, since there are a range of different factors (things like gender, age, driving record, etc.) that play a role in how much you pay.

Who is better, American Family or State Auto?

Unfortunately, the answer truly is "it depends.". One carrier is not "better" for each driver -- it all boils down to your unique car insurance profile.

Why do American Family and State Auto offer me different rates?

Auto insurance carriers take a look at several different variables when calculating the premiums they charge policyholders. Things like your driving record, gender, age, where you live, and sometimes even things like your credit score can all come into play. Both American Family and State Auto calculate rates using different formulas, so each one will most likely offer different premiums. The only real way to see which company is the most affordable for you is by comparing personalized quotes from multiple different companies.

How do I know if American Family or State Auto is right for me?

The only way to find the insurance carrier that's right for you is by getting quotes from multiple carriers and finding the one best suited for your individual budget. Luckily, sites like Compare.com make it easy for you to do just that. Just enter your information once and you'll get free quotes from dozens of the best auto insurance companies in your area. That way, you can guarantee you're getting the cheapest premium. And who knows, the best company for you might not be American Family or State Auto at all!

Methodology

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.