Home insurance plays a crucial role in protecting your assets in the event of emergencies. Your home and the property within are probably one of the most important items to you and your family. In this review, we will go over American Family home insurance, a popular albeit smaller insurance company in the United States.
American Family overview
American Family or AmFam is a private mutual company that provides auto, property, and casualty insurance. They also provide a number of other products such as life, health, home, and commercial insurance, investments, and retirement planning. The company is part of the Fortune 500 and in 2017, reported a revenue of $9.5 billion with a total asset of $20 billion.
The company relies on an insurance agent’s quote process where you can get your quotes or buy your policies. While this may feel less advanced compared to its competitors, American Family has consistently scored well when it comes to customer service. The company is the 10th largest auto insurance provider in the United States, however, their home insurance remains to cater to a small number of customers.
The company website allows you to request a quote. However, the quote tool offers little information as it acts more of an information collector than an actual tool. The information you enter will then lead to an insurance agent who will provide you with the quote.
Home insurance coverage
Just like most insurance companies, American Family’s home insurance policies offer reliable coverage which includes coverage for the following:
- Dwelling – Provides coverage for your home in case of damage or loss of items.
- Personal Items – Provides coverage for damage or loss of personal items.
- Loss of Use – If you cannot stay in your home due to covered damage or loss, expenses associated while living away will be covered.
- Medical Cost Coverage – If someone was injured in your property, your home insurance will pay for their medical bills up to the limit of the coverage.
The home insurance policy from AmFam provides adequate protection in case of fire, theft, natural disasters, and vandalism. Additional coverage includes mold damage protection, debris removal, and protection versus identity theft. One thing that you need to consider is that American Family puts a difference between loss due to acts of God or accident and loss due to theft. So make sure to double-check your coverage well before signing up.
One of the best features that AmFam policies provide is that it offers excellent coverage for high-value items. For example, the company does not set a limit for electronic items. So if you have expensive electronic equipment at home, this is the best choice. Moreover, AmFam also offers the highest limit for firearm owners.
Policyholders who are on the lookout for discounts will find that AmFam has limited discounts offered for their policies compared to other companies.
- Multi-product – You can get a discount when you have multiple policies such as auto coverage.
- New Home – Depending on the age of your home, you may be eligible for a discount.
- Renovated Home – If you updated your home’s plumbing, heating, and electrical system in the last 15 years, you may be able to receive a discount.
- Home Purchase – If you have purchased a home within the past three years, you may be eligible for a discount.
- Full Payment – Pay your premium upfront all at once to receive a discount.
- Auto Payment – Set up an auto payment for your premium to receive a discount.
- Paperless Billing – Go paperless and receive a discount.
- Loyalty – Earn a discount when you stay with American Family for a long time.
- Generational – Earn a discount when your parents are also insured with American Family.
- Safe, Secure, and Smart Home – Homeowners who install smart home devices for security will qualify for a 5% discount.
Consumer & financial strength ratings
Clearly, American Family is one of the smaller home insurance companies in the country. Nevertheless, it provides competitive rates and solid protection services. The company offers plenty of discounts which you can take advantage of, including unique discounts such as enjoying savings when your parents are insured with the same company.
AmFam received excellent scores from J.D. Power, scoring second only to insurance giant State Farm. Clearsurance, a website with real customer reviews also scored AmFam at 4.15 stars out of 5. In which customers feel that they generally have a positive experience with American Family.
Another great feature that the company offers is its extensive website where you can get plenty of information. They also offer a mobile app where you can check your accounts while on the go. Finally, the company’s 24/7 customer assistance makes it easier to reach out to a customer service representative at any time of the day.
Pros and cons
- AmFam offers 24/7 customer service.
- Offers useful tools from the website and the app that allows you to manage your account quickly.
- Excellent customer reviews and ratings.
- Provides adequate coverage for everything you need in your home insurance coverage.
- Offers excellent coverage for high-value items inside your home.
- A limited number of possible add-ons for your policy.
- The company does not provide instant quotes instead you need to go through an agent.