American Family Homeowners Insurance Review: Service, Cost & More

American Family’s homeowners insurance earned an overall MoneyGeek score of 86 out of 100, with affordability being their highest score. Based on MoneyGeek’s research, the insurer’s scores for stability and customer service were average.

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Last Updated: 9/21/2022
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pros

This is an iconRanks highly in affordability
This is an iconOffers many discounts to policyholders
This is an iconHas fewer complaints than the average provider

cons

This is an iconHas an average ranking in customer service
This is an iconDoes not offer a lot of additional coverage options
This is an iconIs only available in 28 states

Verdict

MoneyGeek ranked American Family with a score of 86 out of 100. Compared to other providers, American Family ranks highly in affordability and has average scores in customer satisfaction and financial stability.

In terms of coverages, American Family does not offer a lot of extras. However, they do have many discount opportunities for policyholders. Aside from granting easy-to-get discounts such as bundling and remaining claims-free, they also have discounts for being a new home buyer or having parents with an American Family policy. These can help make policies even more affordable.

Does American Family Have Good Customer Service?

Based on MoneyGeek’s study, American Family’s homeowners insurance policies earn a score of 86 out of 100. This rating is based on a combination of the company’s customer satisfaction, financial stability and affordability. While the company earned its highest score in affordability, homeowners looking for great service may find better customer service and financial stability elsewhere.

Customer Satisfaction Rating

A provider’s customer satisfaction rating can provide you with a lot of insight into how well they can handle your claims and concerns. MoneyGeek’s analysis of American Family earned them a customer satisfaction score of 4.1 out of 5. In particular, the J.D. Power 2021 U.S. Home Insurance Study on overall customer satisfaction ranks American Family within the top six, giving them a score of 831 out of 1,000.

Customer Complaint Index

American Family

The average insurance provider gets a National Association of Insurance Commissioners (NAIC) Complaint Ratio of one, but American Family’s ratio is 0.38. This indicates that American Family gets fewer complaints compared to the average consumer, which means their policyholders run into fewer problems.

Financial Stability Rating

A company's financial stability is an indicator of its ability to pay out claims, which is crucial when choosing an insurance provider. American Family earns an A rating from AM Best, one of the leading organizations that rates insurers. This means that American Family can meet its financial obligations.

What to Expect From American Family Homeowners Insurance

It can be confusing to get a homeowners insurance policy. To apply for American Family’s homeowners insurance coverage, review the steps below to know what to do and what to expect.

1

Getting a quote

Getting an American Family homeowners insurance quote can be done via their website or through an agent.

2

Customer support

Policyholders with any concerns can reach American Family using their live online chat function or their customer support line at 1-800-692-6326. Their support line is available 24/7. To report claims fraud, American Family has a special support line at 608-242-4100 extension #31061.

3

Filing a claim

American Family’s claims process is easy. You can file a claim via their online web portal, mobile application or their claims support at 1-800-692-6326.

4

Canceling your policy

If you want to cancel your American Family homeowners insurance policy, you can speak to one of their agents or get in touch with their customer care center at 1-833-381-1155, who can submit a cancellation request form to an agent on your behalf.

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FILING A HOMEOWNERS INSURANCE CLAIM WITH AMERICAN FAMILY

Using American Family’s MyAmFam mobile application, you can submit a claim on the go. If you prefer other methods, American Family also lets you file a claim through their online web portal or their 24/7 claims support line at 1-800-692-6326.

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STATE AVAILABILITY

If you’re interested in getting an American Family homeowners insurance policy, they are available in the following 28 states: Arizona, Colorado, Florida, Georgia, Iowa, Idaho, Illinois, Indiana, Kansas, Minnesota, Missouri, Montana, North Carolina, North Dakota, Nebraska, New Mexico, Nevada, Ohio, Oregon, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia, Washington., Wisconsin and Wyoming.

How Much Does American Family Homeowners Insurance Cost?

To find out how much homeowners insurance at American Family costs, fill out their form online to get an instant quote or talk to one of their agents. As a good benchmark, home insurance typically costs an average of $1,979 per year, but this can change based on factors unique to you, including your age, location, home’s construction type and more.

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  • Dwelling Coverage
    Annual Premium
  • 100,000
    $1,731
  • 250,000
    $1,946

The actual costs of an American Family homeowners insurance policy are based on a number of factors, such as your location, dwelling coverage, personal property coverage, deductible and more.

At least $250,000 in dwelling coverage is a good baseline, but how much home insurance coverage you actually need is dependent on the value of your home. The value of your belongings also plays a role in the costs, as personal property coverage is part of your policy by default.

To estimate how much you might have to pay based on your coverage limits, use our home insurance calculator below.

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Home Insurance Calculator

State

Alabama

Dwelling Coverage

$100,000

Deductible

$500

Liability

$300,000

Personal Property

$20,000

Credit Score

Excellent
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low end

on average

high end

These are annual estimates. Get a personalized quote to determine your costs.

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MONEYGEEK EXPERT TIP

If an accident occurs, the cost of rebuilding your home can get expensive. Having only the minimum amount of insurance to save on monthly costs can be problematic if you need to make a claim later. Make sure to get enough coverage to ensure your home can be rebuilt if a disaster happens.

What Discounts Does American Family Offer?

American Family offers more discounts than the average provider, advertising at least 11 discounts to their policyholders. This is more than the industry average of seven. The majority of their discounts are uncommon, giving policyholders easy and unique ways to lower their premiums.

  • Discount
    Description
  • Deductible Reward

    American Family offers a diminishing deductible. This gives you $100 off your deductible up to $1,000 for every year you remain claims-free. It starts as soon as you apply for a policy.

  • Protective Device

    If your home is equipped with a qualifying smart device, such as an ADT home security system or Nest devices, you could be eligible for a discount.

  • New Home Buyer

    Whether your home is new or old, you can receive a discount if you've purchased a home within the last three years.

  • Home Renovation

    Replacing any of your plumbing, electrical or heating systems within the last 15 years can earn you a discount from American Family.

  • Bundle

    Bundling your auto and home insurance can result in savings on your home coverage. Additionally, you might be eligible for a discount if you bundle more policies.

  • Automatic Payment

    If you set up AutoPay on your policy, you can receive a discount.

  • Loyalty

    Being with American Family for at least a year or more qualifies you for a lower home insurance premium.

  • Legacy

    American Family offers a legacy discount to 18 to 30-year-olds whose parents have an active auto or home policy.

  • New Home

    If your home is under 15 years old, you may qualify for a discount since you are less likely to make a claim.

  • Pay-in-full

    Paying in full could score you a discount on your overall home insurance premium.

  • Paperless

    If you choose to go paperless, American Family will give you a discount.

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MONEYGEEK EXPERT TIP

Bundling multiple policies with American Family can earn you up to 20% in savings on your home insurance premiums. While you can bundle your standard auto and home insurance policies, you can add even more policies to qualify for their multi-policy discount.

Which Coverage Types Does American Family Offer?

American Family’s homeowners insurance policies offer protection against a variety of events, such as fire and smoke, tornadoes, snow damage, hail and windstorms and more. However, floods, earthquakes, wear and tear and septic backup are not part of their standard policies and you may have to purchase these elsewhere.

In terms of add-on coverage options, American Family offers five options. This is equal to the industry average. Aside from having standard extra coverage, they also offer a few interesting coverages, such as hidden water damage and matching coverage.

American Family offers five add-on coverage options, which is similar to the average provider. Take a look at some of American Family’s additional endorsements below.

1

Equipment Breakdown

This coverage protects your appliances, home systems or smart home devices in case they are damaged due to mechanical, electrical or pressure systems breakdown.

2

Back-Up of Sewer or Drain

While sewer/septic backup and sump pump backup are not part of American Family’s standard policy, they do offer coverage for this as an add-on.

3

Matching Coverage

With matching coverage, your policy will replace the damaged sections of siding due to a covered loss. Plus, if you have undamaged siding coverage, they'll reimburse you the costs for replacing the remaining undamaged siding so that everything matches.

4

Cyber Event / ID Theft

By investing in cyber event/ID theft coverage, you'll receive alerts when an account is opened in your name, when it is updated or when a creditor pulls a hard inquiry on your credit.

5

Hidden Water Damage

With hidden water damage coverage, you can protect yourself against water damage caused by leaks you cannot see, such as inside household appliances or plumbing.

Shopping for the right home insurance requires more than just looking at the cost. You also need to ensure you’re getting all the right standard coverages. This includes dwelling coverage, personal property coverage, personal liability and more.

It’s also important to identify what’s not being offered. For instance, earthquake and flood insurance are typically not part of any standard policy. However, if it’s something you want to get, you may have to purchase it separately from another provider.

Regardless of your additional needs, make sure your home insurance policy has at least these coverages:

What Online Homeowners Insurance Tools Does American Family Offer?

American Family makes it easy for policyholders to manage their accounts, pay for bills, make claims and more through their online web portal and mobile app. Review the tools and features they offer below.

Other American Family Insurance Products

Aside from offering home insurance, American Family has a number of other insurance products to supplement your protection. From auto insurance to business insurance, you can get coverage for most aspects of your life.

  • Type of Product
    Description
  • Life insurance

    American Family offers life insurance, which provides financial protection for your loved ones in the event of your death.

  • Umbrella insurance

    Under an umbrella policy, you can add an extra layer of protection for some of your existing insurance policies, such as car or home insurance.

  • Business insurance

    American Family’s business insurance provides protection for buildings, rented spaces and employees for business owners.

  • Agricultural insurance

    A farm and ranch policy covers farm dwellings and outbuildings, farming personal property and liability.

  • Classic car insurance

    Classic car insurance is a type of specialized insurance for vehicles that increase in value over time.

  • Health insurance

    American Family offers health insurance, which can give you protection against the rising costs of healthcare. This includes Medicare supplement insurance or short-term health insurance.

  • Identity theft insurance

    Take action against losses incurred due to identity theft with American Family’s identity theft insurance.

  • Travel insurance

    Travel insurance from American Family protects you against medical expenses incurred during your trip and cancellations.

  • Recreational vehicle insurance

    Get protection for your recreational vehicles, such as motorcycles, RVs, boats, ATVs and snowmobiles.

  • Rental property insurance

    This offers coverage for landlords in the event of property damage. It can even include liability protection and coverage for medical expenses.

Methodology

To evaluate American Family as a homeowners insurance company, MoneyGeek analyzed the American Family website, manually collected quotes and consulted consumer intelligence organizations such as J.D. Power, the NAIC and AM Best.

About the Author


expert-profile

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.


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