Compare American Family vs. Nationwide: Quotes, Discounts 2022

American Family vs. Nationwide: A Summary

American Family and Nationwide are two leading companies in the car insurance industry. American Family is a midsize provider, and Nationwide is a household name. Both companies appeal to various car insurance policyholders, but whether either works for you depends on your insurance needs. Read this guide to compare car insurance providers and learn more.

ICS Score Explanation:

The Insurify Composite Score (ICS) is a proprietary rating calculated by a team of data scientists at Insurify, weighing multiple factors that reflect the quality, reliability, and health of an insurance company.

Inputs to the score include financial strength ratings from A.M. Best, Standard & Poor’s, Moody’s, and Fitch; J.D. Power ratings; Consumer Reports customer satisfaction surveys and customer complaints; mobile app reviews; and user-generated company reviews.

American Family

American Family Insurance (AmFam) was founded in 1927 in Madison, Wisconsin, and has since expanded to offer coverage in 19 states. The company offers a number of discounts, including a unique generational discount. Besides the many ways to save, consumers enjoy perks like a mobile app, accident forgiveness, and the ability to bundle with home insurance.

Nationwide

Nationwide Insurance is a prominent large insurer in the country that has been operating for almost 100 years. Policyholders with Nationwide have a variety of car insurance coverage options, as well as benefits like vanishing deductibles, roadside assistance, and numerous coverage options. The SmartRide program particularly rewards safe driving habits.

The Best Car Insurance Companies in 2021

Nationwide and American Family ranked second and third, respectively, on Insurify’s list of best car insurance companies of 2021. Nationwide is one of the best auto insurance companies for safe drivers, so it may be a good fit for you if your record has been accident- and ticket-free in the last three years. American Family, on the other hand, offers some of the lowest premiums to families with teen drivers. Additionally, both companies offer rideshare coverage for drivers.

Compare American Family vs. Nationwide: Which Is Cheaper?

American Family offers the cheapest car insurance than Nationwide throughout every driver category. The average monthly car insurance rate from American Family is $59 per month, and the average monthly rate from Nationwide is $101. American Family provides policyholders with rates lower than the national average, but Nationwide rates exceed the national average.

The Cheapest Car Insurance Companies in 2021

Neither company made Insurify’s list of the cheapest car insurance companies in 2021, but they still offer affordable rates to certain groups. American Family focuses on coverage for families, and Nationwide seeks to be the one-stop shop for insurance, retirement savings, asset management, and other investments.

Compare American Family vs. Nationwide Car Insurance by Age

Car insurance companies use your age to calculate your rates. More experience equals safer driving in the eyes of the insurer. Plus, older drivers are more likely to be homeowners and to have better credit history, two other factors that contribute to lower prices. It’s common for older policyholders to pay less for full coverage than people under 25 pay for liability only.

Average car insurance premiums from both companies follow a similar trajectory. Prices are highest during the teenage years, drop significantly in the 20s, and then continue to decrease until people reach their 50s. Drivers in their 50s get the best price, before rates begin rising again as individuals reach retirement age and beyond.

Compare American Family vs. Nationwide Car Insurance by Gender

Your gender can influence the cost of your insurance coverage. Typically, the disparity in auto insurance pricing for men and women is minimal. That said, the gap is particularly noticeable for young drivers because young males tend to drive more aggressively. Insurance companies sometimes charge men a bit extra to offset the increased risk.

At American Family, men pay $6 more per month than women, amounting to a $72 price difference per year. At Nationwide, men pay $7 more per month than women, which equates to a $84 price difference per year. Additionally, rates for men and women with coverage from American Family fall below the national average, while Nationwide rates exceed them.

Which is cheapest for men?

Coverage costs a lot less for men from AmFam than from Nationwide. In choosing American Family over Nationwide, drivers save an average of $43 per month and $516 per year. Coverage from American Family costs less than the national average rate, while Nationwide is $288 more expensive per year than the national average.

Which is cheapest for women?

For women, American Family is the more affordable choice. At just $56 per month, American Family saves women $22 per month in comparison to the national average and $42 per month compared to Nationwide. With such significant savings, women searching for budget-friendly prices will need a pretty compelling reason to choose Nationwide over American Family.

Compare American Family vs. Nationwide Car Insurance by Mileage

Drivers who drives lots of miles each year should anticipate paying a bit more than those who don’t. This is because insurance companies know that spending more time behind the wheel increases the probability of an accident. The cost difference tends to be minimal but can be significant at some companies, so it’s wise to see how mileage affects the monthly cost.

Interestingly, drivers in the lowest annual mileage group pay the highest rates at both of these companies. That slight price hike by annual mileage, however, is very minor for policyholders at both insurance providers. American Family provides customers with the cheapest rates that fall below both the national average and the average rates from Nationwide.

Which is cheapest for drivers with high mileage?

For high-mileage drivers, American Family is the most cost-effective option. Nationwide is $42 more every month and $504 every year than American Family. In contrast, Nationwide eclipses the $78 national average by $20 per month and $240 per year. On the other hand, purchasing coverage from American Family is $22 less per month than the national average rate.

Which is cheapest for drivers with low mileage?

Again, American Family is the best deal for low-mileage drivers. With American Family, you’re looking at a minimum savings of $21 per month ($252 per year) in comparison to the national average and $42 per month ($504 per year) compared to Nationwide. On the other hand, Nationwide exceeds the national average rate by between $20 and $24 per month.

Compare American Family vs. Nationwide Car Insurance by Credit Score

Credit ratings for car insurance are used in every state except California, Hawaii, and Massachusetts. Studies have shown that people with better credit scores are more likely to drive safely. However, even with an imperfect credit history, you can find cheap car insurance because numerous insurance companies still provide affordable rates.

After examining the tables below, you will see that people with exceptional credit pay the least, and those with bad credit spend the most. This trend holds for both of the companies and the national average. As you might expect, the most considerable discrepancy is from poor credit to excellent credit. American Family offers rates lower than Nationwide and the national average.

Which is cheapest for good credit?

Once again, American Family is still the cheapest option to look for a quote. Both companies will provide their best rates to those with excellent credit. American Family is cheaper than Nationwide and the national average at both credit tiers. For those with good credit, American Family represents $480 yearly savings in comparison to Nationwide.

Which is cheapest for bad credit?

American Family is a safe landing place for those rebuilding their credit. Drivers who choose American Family over Nationwide save an average of $39 per month and $468 per year. Significantly, American Family rates are much lower than the national average, while Nationwide surpasses it for drivers in all levels of the credit tier.

Compare American Family vs. Nationwide Car Insurance by Driving Record

Insurers believe that an individual’s past driving record is the most accurate indicator of future driving habits, which explains why driving history has such a massive impact on the cost of auto insurance. Maintaining a clean driving record free of accidents, speeding tickets, and DUIs is one of the easiest ways to earn a cheap premium, but past infractions increase rates.

The tables below will highlight four driver type scenarios, including quotes for drivers with a clean record, a speeding ticket, an at-fault accident, and a DUI. Rates increase for drivers with one or more past infractions, but American Family is below the national average in all scenarios. In contrast, rates from Nationwide exceed the national average.

Which is cheapest for good drivers?

If you’re a safe driver, you get the best bargain at American Family. On average, drivers with American Family coverage save $45 per month ($420 per year) compared to Nationwide. Nationwide’s $102 per month price tag is $24 more than the $78 national average, while rates from American Family are lower than the national average.

Which is cheapest after a speeding ticket?

With a speeding ticket on your record, American Family will offer you a decent average rate of $77 per month. In comparison to the $104 national average, AmFam policyholders save $27 per month ($324 per year). Rates from Nationwide exceed the national average rate by $28 per month.

Which is cheapest after an accident?

When you’re at fault for an accident and the other driver files an insurance claim, your rates will likely increase, even for minor accidents. This reality is why accident forgiveness, which is offered by American Family, is important. Coverage from AmFam is the lowest at $95 per month, falling below the average rates for Nationwide and the national average.

Which is cheapest after a DUI?

Because states tend to force drivers to pay a fine after a DUI conviction, saving money on auto insurance becomes even more critical. American Family, once again, provides a more affordable rate at $94 per month, which is far lower than the national average. In particular, choosing American Family saves you $1,056 per year compared to Nationwide.

American Family vs. Nationwide Car Insurance: What discounts does each offer?

American Family Discounts

• Auto safety equipment

• Away at school

• Defensive driver

• Early bird

• Generational

• Good driving

• Good student

• KnowYourDrive

• Low mileage

• Loyalty

• Multi-product (bundling your car insurance with others like homeowners insurance, renters insurance, pet insurance, life insurance, or motorcycle insurance)

• Multi-vehicle

• Steer Into Savings

• Teen Safe Driver

• Young volunteer

Nationwide Discounts

• Accident-free

• Anti-theft device

• Automatic payments

• Defensive driving

• Good student

• Multi-policy

• Safe driver

• SmartMiles

• SmartRide

Our Methodology and How We Compared American Family and Nationwide

The car insurance quotes provided in Insurify’s insurance company comparison guides are based on the analysis of over 50 thousand insurance quotes from 500 ZIP codes nationwide. Insurify’s data science team performs a comprehensive analysis of factors car insurance providers weigh to calculate rates, including driver demographics, driving record, credit score, desired coverage level, and more to give representative samples.

Insurify’s analysis also incorporates the Insurify Composite Score (ICS) assigned to each insurance provider. The ICS is a proprietary rating calculated by weighing multiple factors that reflect the quality, reliability, and health of an insurance company.

Ratings used to calculate the ICS include Financial Strength Ratings from A.M. Best, Standard & Poor’s, Moody’s, and Fitch; J.D. Power ratings; Consumer Reports customer satisfaction surveys and customer complaints; mobile app reviews; and user-generated company reviews.

With the above insights and ranking methods, Insurify is able to offer car insurance shoppers a window into how insurance providers compare to one another in terms of both cost and quality.

Frequently Asked Questions