This is an iconLow average rates
This is an icon24/7 phone claims service
This is an iconExtra benefits, like glass deductible waiver


This is an iconInsurance not available in all states
This is an iconNo rideshare coverage
This is an iconSafe driving discount offered only to California drivers

How Does Costco Auto Insurance Rate?

In MoneyGeek’s list of the best car insurance companies, Costco’s underwriter, American Family, ranks fifth with a score of 84 out of 100. For these rankings, MoneyGeek considered ratings and reviews from industry sources such as J.D. Power, AM Best and the NAIC (National Association of Insurance Commissioners).

Customer Satisfaction Rating

First Notice of Loss:
Estimation of Process:
Repair Process:
Claims Servicing:
Rental Experience:

Based on data provided by J.D. Power, American Family earns a customer satisfaction score of 820 out of 1,000 total points. The industry average is 835, so American Family's rating in this area is a bit worse than the typical insurer. J.D. Power's data also informed these star ratings, which show you how American Family performs in several specific categories.

Customer Complaint Ratio


American Family gets a score of 3.12 in NAIC’s customer complaint ratio. The national median is 1.00, indicating the average number of complaints for insurance companies. Thus, American Family’s score shows that the company gets more than three times as many complaints as the typical insurer.

Financial Strength

American Family gets an “A” rating from AM Best for its financial strength and ability to meet its insurance obligations. This is AM Best’s third-highest rating, behind only A++ and A+. You should not consider this opinion to be a warranty of a provider’s financial strength, but it is an excellent indicator of whether you can trust a company to pay legitimate claims.


Costco Insurance Features

American Family offers comprehensive auto insurance coverage and multiple discounts. You can shop for car insurance by comparing quotes from several providers to get the cheapest rates for your needs.

  • Type of Feature
  • Calculators
    Utilize online calculators to compute your exact premiums.
  • Online Price Quotes
    You can get a custom quote for your auto insurance needs.
  • Online Bill Pay
    You can pay your bills through the online account portal or mobile app.
  • Online Claims
    Use your desktop PC or mobile phone to file claims online.
  • Payment Options
    American Family offers a range of convenient payment options.

Costco Auto Coverage

American Family’s basic auto insurance coverage includes collision, personal injury protection, uninsured and liability insurance.

  • Type of Coverage
  • Collision
    Collision coverage protects against rollover or collision damages.
  • Personal Injury Protection
    This coverage reimburses child care or medical costs and any lost income for you and your passengers, regardless of fault.
  • Uninsured
    This insurance covers your costs if you get in a car accident with a driver who doesn’t have insurance or lacks sufficient coverage.
  • Liability
    Liability coverage pays the other driver’s medical costs or property damage expenses if you cause an accident.

Optional Insurance Features and Coverage

American Family’s add-on car insurance features include rental reimbursement, roadside assistance, gap coverage, accidental death and dismemberment and medical payments.

  • Type of Option
  • Rental Reimbursement
    This feature pays for a rental car while you repair your vehicle.
  • Roadside Assistance
    You can get help if your vehicle breaks down.
  • Gap Coverage
    If your car is totaled, this covers the gap between the value of your vehicle and the money you still owe on the loan.
  • Accidental Death Dismemberment
    This covers the costs of injuries or death due to a collision.
  • Other
    Bodily injury liability - Bodily injury coverage reimburses the medical treatment costs for the other driver in a collision. Property damage liability - This coverage pays third-party property damage costs if you’re at fault in an accident.

Available Discounts on Costco Car Insurance Coverage

American Family offers a range of discounts to attract more customers and help them save money. These include “good student” and “safe driver” rebates.

  • Type of Discount
  • Safe Driver
    This discount is for drivers without violations, accidents or claims.
  • Defensive Driver
    Customers 55 and over who complete a defensive driving course can receive up to a 10% discount.
  • Driver Training
    American Family offers this discount to drivers who register for the KnowYourDrive program that teaches better driving habits.
  • Good Student
    Maintain a good academic record to earn this discount.
  • Multi Vehicle
    You can save money by adding more than one car to your policy.

Other Costco Insurance Products

Apart from auto insurance, American Family also offers homeowners, renters, umbrella, condo, landlord, life, business, agricultural, classic car, health, identity theft, travel and motorcycle insurance. Check to see if bundling multiple policies can help you save money.

  • Type of Product
  • Homeowners Insurance
    Homeowners insurance includes personal property, dwelling, medical and liability coverage.
  • Renters Insurance
    Renters insurance covers your belongings and includes liability coverage for lawsuits and medical bills.
  • Umbrella Insurance
    You can get extra protection for your existing policies, like home or car insurance.
  • Condo Insurance
    This coverage protects your valuables and shields you from liability in your condominium.
  • Life Insurance
    This form of insurance pays the coverage amount to the family if the policyholder passes away.

How to Make a Car Insurance Claim With Costco

You can file a claim online, via the MyAmFam app or over the phone. The app might be your best bet, as it allows you to rent a car, find local repair shops and submit images of vehicle damages.

Contact Costco Car Insurance

Methodology and Assumptions

To evaluate and review auto insurance companies, MoneyGeek carefully weighs factors such as price, financial strength, policy features, customer satisfaction, service and other leading indicators. MoneyGeek also references publicly available data from industry leaders such as J.D. Power, AM Best and the National Association of Insurance Commissioners (NAIC) and the Better Business Bureau. Learn more about MoneyGeek’s review methodology here.

About the Author


Mark Fitzpatrick is a senior content manager with MoneyGeek specializing in insurance. Mark has years of experience analyzing the insurance market and creating original research and content. He graduated from Boston College with a Bachelor of Arts and Johns Hopkins University with a Master of Arts.