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Auto-Owners and American Family are two of Insure.com’s Best Home Insurance Companies for 2024. While both are great companies, each has pros and cons, and we’ve summarized them here so you can make a side-by-side comparison and find the best fit for your home insurance needs.

Auto-Owners came in third of all the carriers analyzed, even higher than some larger nationwide companies like State Farm. Auto-Owners has low rates with an annual average of $2,160, personalized service and a superior AM Best score of A++, indicating financial solvency and ability to pay claims.

American Family comes highly recommended by its customers, with 91% saying they’ll recommend it to others. American Family also scored well for ease of service, an important factor for customers. Its premiums are slightly higher, coming in at $2,504 annually. 

One drawback of both companies is availability – neither company offers policies in all states.

Key Takeaways

  • Auto-Owners has cheaper rates of $2,169 annually, while American Family’s rates are a little higher at $2,504 on average.
  • A high percentage of American Family customers recommend it to others.
  • Neither company offers policies in all states.

Insure.com compares Auto-Owners vs. American Family: Which is better for you?

We’ve compiled data on Auto-Owners and American Family to help you compare these two companies side by side. Based on a survey of Insure.com’s customers as well as third-party rating systems such as AM Best and NAIC, you can see how Auto-Owners and American Family stack up and which company might be the best fit for you.

If rates are what matters most to you, Auto-Owners is a good pick, with average rates well below the national average and cheaper than American Family for those with good credit. Auto-Owners is also a top pick for claims satisfaction, making it a great pick for those who value a company that’s there when you need it.

However, American Family is rated better for overall customer satisfaction and is a much more affordable choice for homeowners with lower credit scores; if that’s you, American Family might be the better pick.

Insure.com comparison of Auto-Owners vs. American Family

The table below summarizes multiple data points for Auto-Owners and American Family so you can compare them at a glance. Both companies have high overall ratings on Insure.com’s 2024 Best Home Insurance Companies ranking and comparable customer satisfaction ratings. 

Auto-Owners has a superior AM Best score of A++, the highest available score, indicating financial solvency and ability to meet its financial obligations such as paying out claims. American Family has an excellent AM Best score of A. They both have low NAIC ratings, which means a small number of complaints lodged against them. Auto-Owners’ slightly lower score means less complaints.

Auto-Owners has cheaper average rates of $2,160 annually for a home insurance policy. American Family averages $2,504 annually.

Both companies only offer policies in about 25 states. 

 Auto-Owners American Family
Insure.com overall rating  (out of 5 stars)4.54.2
Best forClaims satisfactionCustomer satisfaction
Average premium $2,160$2,504
Customer satisfaction rating3.864.14
NAIC rating0.330.37
AM Best ratingA++A
State availabilityAL, AZ, AR, CO, FL, GA, ID, IL, IN, IA, KS, KY, MI, MN, MO, NE, NC, ND, OH, PA, SC, SD, TN, UT, VA, WIAZ, CO, GA, ID, IL, IN, IA, KS, MI, MO, MN, NE, NV, ND, OH, OR, SD, UT, WA, WI

Auto-Owners vs. American Family: Home insurance overview

The table below shows how each carrier scored in all major categories of the Insure.com Best Insurance Companies ranking, which included a survey of home insurance customers. The percentage of those customers who said they were satisfied in each category is presented here. American Family leads the way with discounts, customer satisfaction and policy offerings. Auto-Owners scored better for claims handling and cheaper rates.

Auto-OwnersAmerican Family
Discounts42%54%
Claims handling74%71%
Customer Satisfaction67%84%
Cheapest rates3rd of all ranked companies – $2,160 annually6th of all ranked companies – $2,504 annually
Recommended to others86%91%

Auto-Owners vs. American Family: Pros and cons

The chart below compares some of the pros and cons of Auto-Owners and American Family, according to our analysis of the data and survey results.

Auto-OwnersAmerican Family
ProsPros
Rated well for ease of serviceRated as highly trustworthy
Below average ratesLots of discounts
ConsCons
No online quotes are availableNot as cheap as other companies
Not available in all statesNot available in all states

Auto-Owners vs. American Family: Which has the cheapest home insurance rates?

The table below shows the rates for different coverage levels for Auto-Owners and American Family. For all coverage levels, Auto-Owners offers the cheapest annual rates.

Auto-Owners vs. American Family: Rates by coverage level

Coverage level Auto-Owners average ratesAmerican Family average rates
$200,000 with $1,000 Deductible and $100,000 Liability $1,732 $1,962 
$200,000 with $1,000 Deductible and $300,000 Liability $1,741 $1,976 
$300,000 with $1,000 Deductible and $100,000 Liability$2,150 $2,489 
$300,000 with $1,000 Deductible and $300,000 Liability $2,160 $2,504 
$400,000 with $1,000 Deductible and $100,000 Liability$2,604 $3,018 
$400,000 with $1,000 Deductible and $300,000 Liability $2,616 $3,035 
$600,000 with $1,000 Deductible and $100,000 Liability $3,464 $4,012 
$600,000 with $1,000 Deductible and $300,000 Liability$3,480 $4,032 
$1,000,000 with $1,000 Deductible and $100,000 Liability$6,672 $5,681 
$1,000,000 with $1,000 Deductible and $300,000 Liability$6,700 $5,705 

Auto-Owners vs. American Family: Rates by credit history

Insure.com compiled rates for different credit scores in the table below. Auto-Owners has the cheapest rates for people with excellent and good credit scores, but not for fair and poor scores — rates jump exponentially. Insurers consider many different factors when calculating rates, and credit scores are among them in most states.

Credit scoreAuto-Owners average ratesAmerican Family average rates
Excellent$1,053 $2,040 
Good$2,160 $2,522 
Fair$5,287 $3,069 
Poor$51,186 $4,996 

Auto-Owners vs. American Family: Customer satisfaction

According to the Insure.com Best Insurance Companies Survey of 2024, 84% of American Family customers report being satisfied. That’s higher than Auto-Owners by almost 20 percentage points.

CompanyPercentage of customers who are satisfied
Auto-Owners67%
American Family84%

Auto-Owners vs. American Family: Discounts

The table below shows what discounts each carrier offers. American Family has the most discounts in total; however, which discounts apply to you will determine which is the better choice.

Discount typeAuto-Owners American Family
Multi-policy/bundlingYY
Advanced quote/purchaseYN
Security/alarm systemYY
Protective devicesYY
LoyaltyYY
AutopayNY
Paid in fullYY
Paperless billing/documentsYY
New/upgraded roofNY
New homeownerNN
New customerNN
Home renovationNY
Smart homeNY
New home (new construction)NY
Green certificationsYN

Which has a bigger auto and home discount?

One of the most common types of discounts that insurance companies offer is auto and home bundling: buying both policies with the same carrier. You’ll see from the table below that Auto-Owners gives an average 12% discount for auto and home bundling and American Family gives an average 17% discount.

CompanyAverage auto-home bundle discount percentage
Auto-Owners12%
American Family17%

Auto-Owners vs. American Family: Claims processing

Auto-Owners scored higher in this category – 74% of customers surveyed say they were satisfied with how their claims were handled. This is an important factor when deciding which carrier to choose.

CompanyPercentage of customers who are satisfied
Auto-Owners74%
American Family71%

The bottom line: Auto-Owners vs. American Family

Auto-Owners and American Family are two solid, financially stable companies. Auto-Owners has lower prices and is rated higher for claims handling while American Family has higher customer satisfaction scores, more discounts and ranks higher for policy offerings. Neither is available in every state, so that may factor in your decision.

Comparing carriers and shopping around is the best way to get the best rates and find a carrier that best fits your needs.

Methodology

Insure.com in the fall of 2023 surveyed more than 1,750 insurance consumers (1,151 people with home insurance). The survey was conducted by online market research company Slice MR.

Respondents were asked to name their home insurer and then grade it in the following categories: customer satisfaction, ease of service, claims satisfaction 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 – including digital experience, discounts best for auto/home bundling and best for discounts. The number of responses for each attribute were totaled before dividing 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 home insurer to someone else and if they planned to renew their policies. 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 measure 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.

They 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. For home insurers, we took the following and gave each a weight.

Survey: 40% of the total score (10% customer satisfaction, 10% recommended, 10% renewal rate and 10% claims handling)

  • AM Best: 25% of total score
  • Annual premium: 20% of total score
  • NAIC: 15% of total score

Each insurer was awarded between half a star and 5 stars. No company in the ranking received less than half a star in any category, and 5 stars was the most any insurer could receive.

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