American Family is No. 3 among regional carriers in the 2025 Insure.com Best Car Insurance Companies survey, scoring 4.26 stars out of 5. Customers give it high marks for customer service, digital experience and ease of service.
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Laura Longero is an insurance expert and executive editor of CarInsurance.com. With 15 years of experience simplifying complex financial topics, Laura provides clear, expert-backed guidance to help drivers make smart, confident decisions. Before joining CarInsurance.com, she was an award-winning editor for the USA Today Network.
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American Family is No. 3 among regional carriers in the 2025 Insure.com Best Insurance Companies survey, scoring 4.26 stars out of 5.
American Family ranks highly in multiple categories, including customer satisfaction and ease of service. Many of its customers also report a high likelihood of renewing their policies. It has higher-than-average premiums when compared to other regional car insurance providers but is still more affordable than larger national car insurers.
American Family received an A (Excellent) credit rating for financial stability from AM Best.
Below is Insure.com’s review of the company. It’s based on third-party metrics and an in-depth survey of insurance customers. Find the full methodology here, including an explanation of our survey scores.
AM Best's Financial Strength Rating is an independent opinion of an insurer's financial strength and ability to meet its ongoing insurance policy and contract obligations.
American Family has fairly competitive prices compared to other companies, with an average monthly premium of $142. This falls in the middle of the insurer premiums and is more expensive than Erie and Auto-Owners. However, American Family is cheaper than Geico, Progressive and other national car insurance companies.
*USAA is only available to military community members and their families.
According to Insure.com’s survey of insurance consumers, American Family has the third-highest customer satisfaction score of the insurers we ranked, coming in just behind Auto-Owners.
American Family ranked well in terms of ease of service, which includes access to policy documents and services. American Family had a respectable score (83%) in our survey, but it was not as high as Erie.
American Family came in third for its policy offerings among regional carriers. Customers reported a 75% satisfaction score. Erie led in this category with an 89% score.
Seventy-one percent of customers said they’d recommend American Family to their friends and relatives.
Customers trust an insurance company if it continuously provides exceptional coverage options and outstanding customer service. American Family’s customers largely trust the company.
Eighty-eight percent of American Family customers report they’ll renew their auto policy.
American Family customers report it could improve its claims handling — just 67% said they were satisfied with this metric. Both Erie (80%) and Auto-Owners (83%) scored higher in this category.
American Family scored about mid-range for its digital service satisfaction, which includes the company’s website and app options. While Erie led in this category among regional insurers with an 80% score, American Family came in second at 77%.
American Family’s score of 67% for discount satisfaction was slightly lower than average and just a percentage point lower than Auto-Owners. Erie led this category with 72% of policyholders reporting satisfaction.
According to surveyed customers, American Family has room to improve regarding auto and home bundling policy options. The insurer placed third among regional carriers at 68%, while Erie led at 90%.
Founded in 1927, American Family began offering auto insurance to farmers in Madison, Wisconsin. By 1930, it expanded its services to non-farmers; today, it is a Fortune 500 company with over 10,000 employees. Also known as AmFam, the company offers a wide range of insurance products but doesn’t operate in every state.
In the fall of 2024, Insure.com surveyed more than 1,750 insurance consumers. Online market research company Slice MR conducted the survey. Respondents were asked to name their auto insurer and then grade it in the following categories: customer satisfaction, ease of service and policy offerings. The percentage of respondents who said they were satisfied or very satisfied with their insurer is presented in the results.
Respondents were then asked to pick their insurer’s top three attributes out of more than a dozen presented – trustworthiness, claims satisfaction, digital experience, discounts and best for auto/home bundling. The responses for each attribute were totaled and then divided by the number of each company’s customers who responded to that survey question to create a percentage.
Respondents were then asked if they would recommend their auto insurer to someone else and whether they would renew with their company. The percentage who said yes is presented in the results.
Finally, respondents were given the statement “I trust my insurance company” and asked if they strongly agreed, agreed, disagreed or strongly disagreed with the statement. The percentage of those who said they agreed or strongly agreed is presented in the results.
The editors compiled the survey results and then selected – based on the number of survey responses – the top companies for further evaluation.
They then collected AM Best data, which measures financial strength and National Association of Insurance Commissioners’ complaint data, which ranks a company by the number of customer complaints it receives. The Insure.com team identified the NAIC company code or codes that were the primary underwriting companies for each carrier and line of business using total annual premiums. The associated NAIC complaint index score was used in the calculations. If more than one underwriting company was identified for a line, the editors used a weighted average of the NAIC complaint index scores.
In addition, we also created star rankings for each company. Respondents were asked to pick their insurer’s top three attributes out of the more than the dozen presented, again including customer satisfaction and policy offerings. The number of responses for each attribute was totaled and then divided by the number of each company’s customers who responded to that survey question to create the star ranking.
The editors also collected insurance rate data from Quadrant Information Services.
With the help of Prof. David Marlett, Ph.D., Managing Director of the Brantley Risk and Insurance Center at Appalachian State University, the editors created a rating system to determine which insurance companies were best in each sector. No insurer in our star ranking received less than half a star, and 5 stars was the most any insurer could receive.