American Family Insurance Review

Suitable For?

There are numerous advantages to choosing a large insurer like American Family Insurance, including the range of add-ons and the option of bundling multiple lines of coverage to earn discounts. American Family Insurance specializes in homeowners insurance, auto insurance, and various other forms of property and casualty insurance, making it a good choice if you’re looking to purchase all your insurance from the one provider.

What Coverage Includes

American Family provides customized homeowners policies where you get to choose which standard and additional coverages you wish to purchase for your home. On the American Family website, you’ll find a Personalized Coverage Assistant that helps you decide which options are right for you.

Standard coverage includes the following:

• Coverage for your home’s structure (Coverage A)
• Coverage for detached structures (Coverage B)
• Coverage for personal belongings (Coverage C)
• Temporary living expenses (Coverage D)
• Liability protection (Coverage E)

Additional Coverage

As expected of a major home insurance carrier, American Family offers several add-ons that can purchase on top of your standard coverage.

Here’s the rundown:

• Equipment breakdown. Applies to appliances, home systems, and smart home devices.
• Sump pump and water backup coverage. Applies to all damages suffered as a result of water backup or sump pump failure.
• Matching side protection. Guarantees replacement of damaged sections of siding due to a covered loss.
• Credit theft protection and monitoring (in conjunction with partner CyberScout). Sends you alerts when a new credit account is opened in your name, a new account is updated or changes, or when a lender or financial institution pulls a hard inquiry on your credit report.

Application Process

We’re pleased to report the application process is quick and user friendly. American Family Insurance has a dedicated quote request platform called “Connect” that assists you through the application process. Throughout the process, the Connect virtual assistant provides explanations so you know exactly what is required for you. For certain questions, such as home style, images are displayed in order to help you choose the correct answer.

Everything else aside, the questions are similar to what you would expect of any home insurance provider. The American Family application form consists of 4 sections, covering personal information, the exterior of your property, interior of your property, and then additional info at the end. Once you complete the form, you’ll instantly see a quote and have the opportunity to purchase coverage right away. 

Part of the process is automated to save time. For example, using your personal information, Connect can tap into your claims history to help it calculate a premium.

The whole process can be completed online if you wish. The customer support center is also available during extended business hours from Monday to Friday, 8am – 9pm.

Discounts

American Family offers similar discounts to its competitors, although it’s ahead of the pack when it comes to rewarding homeowners for installing smart home devices.

Here’s a full breakdown of the home insurance discounts:

• Bundle and save. Gives you up to 20% off your home coverage and 29% off your auto coverage when you combine the 2.
• Smart home discount. If your home is equipped with a qualifying smart device (like a RING Video Doorbell or a Nest device), you can earn a discount.
• New home discount. Calculated based on the age of your home.
• Renovated home discount. You must have replaced the plumbing, electrical, or heating systems in your home in the last 15 years to qualify.
• Home purchase discount. You must have purchased your home within the past 3 years to qualify.
• Saving habits. This applies if you use AutoPay, Full Pay, and/or Paperless.
• Loyalty discount. Applies to customers who have been with American Family for a while.
• Generational discount. If your mom and/or dad is an American Family customer, then you’re in luck.

How Safe is it?

American Family Insurance is a veteran insurance carrier, having been around since 1927. It has carried an A (Excellent) rating from A.M. Best, the third highest of 15 possible ratings, for 17 consecutive years. In other words: American Family Insurance is in the top tier of property and casualty insurers when it comes to security.

Claims & Customer Support

The reviews on American Family Insurance are mixed. In 2019, it ranked 10th of 24 insurance companies in the annual J.D. Power survey of customer satisfaction among homeowners, a decent but not outstanding result. However, it ranked number one for customer satisfaction for renters insurance. Judging by online customer reviews, most customers come away satisfied, although the claims process is a little slow.

Summary

American Family Insurance is one of the 10 big carriers in homeowners insurance, and it plays the part with a solid range of coverage options, add-ons, and discounts. It has shown itself to be tech savvy, offering an application form that is easily accessible from desktop or mobile. Overall, it makes most sense to use American Family if you’re looking to bundle home and auto.