The American Strategic Insurance company was founded in 1997 in St. Petersburg, Florida. Since 2017, ASI has successfully expanded its coverage to 40 US states. This was just after ASI became a majority-owned subsidiary of The Progressive Corporation in 2015.
ASI’s site goes on and on about speed, innovation, positive attitudes, and attention to detail. These core values are the basis for ASI decision-making.
This sounds good, but how well do these promises hold up? We’ll be looking into just what kind of home insurance ASI offers, and what their clients have to say about it. In this review, we’ll let you know just how legitimate ASI is. Stay tuned to find out what to look out for if you have ASI in mind for your home insurance switch.
American Strategic Insurance homeowners insurance coverages
We’re not able to receive a quote online from the ASI site. Instead, they have the end user enter their zip code to be referenced to an affiliated agent nearby. Their site did give us a little insight into their home insurance coverage options, however.
There are a variety of types of homeowner’s policies that you can choose from at ASI. The fact that they’re backed by Progressive makes it easier to find the kind of comprehensive insurance policies and add-ons that are offered.
With ASI, a standard comprehensive and liability home insurance policy includes coverage for common risks. These risks apply to:
- Dwelling coverage: This coverage covers your primary dwelling unit and structures attached to it such as decks, porches, chimneys, attached garages, etc. Dwelling coverage is typically limited at replacement cost of your home.
- Other structures coverage: This is the coverage that takes care of damage to outlying structures on your property such as a detached garage, shed, fence, mailbox, etc. The standard default limit is 10% of dwelling coverage.
- Personal property and belongings: The typical payout for personal property starts at around 50% of your dwelling coverage.
- Additional living expenses: ASI will take care of the costs associated with new living expenses due to a covered peril.
- Personal liability coverage: According to their parent company, companies usually start at $100,000 for personal liability coverage.
- Medical payments: ASI will take care of at least $1,000 worth of medical payments.
ASI additional coverages
Additional coverage options are also available. ASI allows you to increase the limits on your jewelry or personal injury. Other add-ons and other kinds of policies include:
- Condo insurance – With ASI condo insurance, you will be covered for your personal belongings, your personal liability, and your condominium unit.
- Flood insurance – Since floods can occur anywhere in the country, it is a good idea to take out flood insurance. In addition to protecting your home’s structure from water damage caused by floods, it also covers your contents.
- Umbrella insurance – ASI Umbrella Insurance enables you to have extra financial protection if you are sued for negligence or a major event. In addition to the limits you have set on your primary insurance, umbrella insurance provides you with excess liability protection.
ASI homeowners insurance premiums
While they lack an online quote or pricing option, we can still tell you that a typical $250,000 dwelling coverage policy will cost you around $2,000 a year in the US. Of course, your actual premium will depend on the size of your home, where your home is located, and the typical risks your city might encounter.
Online reviews report that ASI’s premiums are typically higher than average in most locations. On the other hand, Florida residents generally get premiums that are cheaper than average with American Strategic Insurance.
ASI home insurance discounts
American Strategic Insurance offers several discounts. Considering their parent company is a giant like Progressive, which is big on discounts and bundles, ASI should follow suit. It’s worth it to mention that not all discounts will apply to each person. These discounts are relevant to those in certain locations with certain circumstances.
With ASI, you can earn a discount on home and auto insurance if you add your car to an ASI-preferred partner’s policy. This is just like bundling your car and home insurance with Progressive.
ASI offers discounts and bundling to customers who are considered low-risk. This means you could get a few discounts for being conscious of your home. For example, you get the Protective Device Discount when you install surveillance cameras and alarms.
Other discounts include:
- Umbrella policy: you can receive a discount for maintaining your umbrella policy.
- New home: you can receive a discount for having a new home or construction.
- Non-smokers: you can receive a discount for not smoking inside your home.
- Window Protection: you can receive a discount for installing impact-resistant windows.
ASI home insurance claims
ASI says that reporting a claim doesn’t have to be stressful. From ASI’s site, you can submit a claim with a few clicks of a button. All you need is your policy number, the date of the loss, your address, and your contact information. You can also check the progress of an existing claim after logging into your policy account.
You can file a claim by contacting their “dedicated claims team” at 866-274-5677.
It’s worth noting that their customers are highly disappointed in their claims processes. Several of them say that it takes almost a year to get claims processed. Some of these customers have recently been hit by deadly hurricanes. The way their customers rave and rant, it doesn’t seem like ASI has a sense of urgency.
Many of these claims were met with embarrassing payouts. One person declared that a $1,600 check was provided for $172,000 worth of damage, which is laughable. Even trivial damage from a commonly covered peril like hail is met with several inspections, improperly handled files, and many more headaches.
In plain English, ASI claims to have superior 24/7 customer service followed up with prompt claims handling for a stress-free process. Suffice it to say, ASI doesn’t appear to be in the business of making claims quick and painless.
ASI customer satisfaction
No matter where you look, ASI gets a horrible rap. From Yelp to the BBB and everywhere in between, ASI is being heavily scrutinized by its customers.
Many ASI customers go so far as to say that this child group is defaming the great Progressive name. The descriptive nouns thrown around quite often are “scammers”, “thieves”, and “clowns”. They are notably disappointed in ASI’s lack of accountability, proper customer service, prompt responses, and policy knowledge.
Several of their customers recall hurricane Ida, and how their payouts were less than half of their replacement cost. Some of these victims talk about how it’s taken 4 weeks, 5 months, and even 8 months to get an answer from ASI regarding claims or policy updates.
Their “cascading set of failures” as one former customer put it, has incinerated their name and any possibility of someone finding good faith in ASI. In fact, it took more digging to find a single positive review over one star.
Many reviews jump out of the screen begging others not to use ASI, or to have a lawyer at the ready if they do. This might be the first review we’ve covered where an insurance company is legitimately disliked, nay, hated, by its public.
On the bright side, NAIC’s Complaint Index set ASI’s home insurance complaints at .92 in 2022, which is less than the national average. This looks pretty good when you don’t consider their overall complaints landed them at 3.09, which is three times the national average.
ASI’s financial standing
One thing ASI’s enraged customers can’t take from them is their amazing financial stability. The BBB has still given ASI an A+ rating since 2004. There have been 193 complaints closed in the last 3 years and 74 complaints closed in the last 12 months.
Weiss has given ASI a “C” grade for their Insurance Safety Rating. This means Weiss considers ASI to be a currently stable company that offers fair financial security. “C” comes with the caution of encountering difficulties in maintaining its financial stability during an economic downturn.
A little over a month before the writing of this review, AM Best affirmed the Superior “A+” Financial Strength Rating for the members of The Progressive Corporation. This includes ASI and all other subsidiaries. On the same day, AM Best provided a Superior “AA” Long-Term Issuer Credit Rating for these teams as well.
Demotech issued a Financial Stability Rating for ASI, but it was withdrawn in 2019.
Brief history of American Strategic Insurance
American Strategic Insurance (ASI) was founded in Florida in 1997. The company’s initial goal was to provide insurance locally in Florida. Within a few years, they expanded and provided policies for homes in Texas. Even as it is a fairly new company, it was able to survive some of the worst hurricanes to hit the East Coast. They even continued with their services even when some other bigger insurance companies pulled out their operations in Florida.
In 2012, American Strategic Insurance (ASI) made several mutual investments with Progressive. Three years later, Progressive bought a majority interest in ARX Holding Corporation, ASI’s holding company. Later, their logos were merged with Progressive’s name added to the logo.
By early 2017, American Strategic Insurance has been underwriting homeowners insurance in 40 states. They also launched a car insurance program in California. ASI’s main headquarters is located in St. Petersburg, Florida, and still has CEO John Auer, the founder as its head. They provide a variety of insurance policies including home, condo, renters, and seasonal insurance.
We’re not sure what strategy American Strategic Insurance is using, but they should probably look into it. Their customers are irate, and their claims process is overly complicated and untrustworthy.
As the saying goes: the customer is always right! ASI has common coverage and policy options available, and financial companies seem to find ASI capable of handling their workload. Contrarily, their handling of claims and service calls impacts their overall rating.
ASI might be a good company to go with if you prefer a solid business over potential claims satisfaction. Proceed with caution!