Understanding Car Insurance with American Family

Car insurance is a necessary expense for anyone who owns a vehicle in the United States. With so many options available, understanding what coverage you need and how much you should pay can be overwhelming. American Family Insurance has been a trusted provider of car insurance for over 90 years, and can help simplify the process of protecting your vehicle and finances.

What is Car Insurance with American Family?

Car insurance with American Family is a way to protect yourself and your car from financial loss in the event of an accident or other incident. It typically includes liability coverage, which pays for damages and injuries you cause to others, as well as collision and comprehensive coverage, which helps repair or replace your own vehicle.

As a policyholder with American Family, you can customize your coverage to fit your needs and budget. You can choose your deductible, or the amount you pay out of pocket before insurance kicks in, and add on extras like roadside assistance or rental car coverage.

Coverage Options with American Family

American Family offers several types of coverage to help protect you and your vehicle:

Pays for damages and injuries you cause to others
Helps repair or replace your own vehicle if you are in a crash
Covers non-collision incidents, such as theft or natural disasters
Medical Expense
Pays for medical bills for you and your passengers
Personal Injury Protection
Covers medical bills and lost wages for you and your passengers
Uninsured/Underinsured Motorist
Protects you if you are in an accident with someone who does not have enough insurance

Choosing the Right Coverage

When selecting car insurance with American Family, it is important to consider your individual needs and budget. If you have a newer or more expensive vehicle, you may want to opt for higher levels of collision and comprehensive coverage to protect your investment. Alternatively, if you have an older vehicle or cannot afford high premiums, you may want to choose lower limits and deductibles.

Additionally, consider how much liability coverage you need. If you have significant assets to protect, you may want to choose higher limits to protect yourself from lawsuits. American Family offers liability limits up to $1 million, as well as umbrella policies for additional protection.

Frequently Asked Questions

How much does car insurance with American Family cost?

The cost of car insurance with American Family varies depending on factors such as your age, driving history, and location. However, according to a recent study by Bankrate, the national average for car insurance is around $1,500 per year. American Family offers discounts and other ways to save, such as safe driving rewards and bundling policies.

What is a deductible?

A deductible is the amount you agree to pay out of pocket before your insurance coverage kicks in. For example, if you have a $500 deductible and get into an accident that causes $2,000 in damages, you would pay $500 and your insurance would cover the remaining $1,500. Choosing a higher deductible can lower your premiums, but means you will pay more out of pocket in the event of an accident.

Do I need collision and comprehensive coverage?

Collision and comprehensive coverage are not required by law, but can be important for protecting your vehicle. Collision coverage helps repair or replace your car if you are in a crash, while comprehensive coverage covers non-collision incidents such as theft or natural disasters. These types of coverage may be required if you have a car loan or lease.

What discounts are available with American Family?

American Family offers a variety of discounts for policyholders, including:

  • Multi-policy discount for bundling car, home, and other policies
  • Safe driving rewards for maintaining a clean driving record
  • Good student discount for high school or college students with good grades
  • Low mileage discount for driving less than 7,500 miles per year
  • Defensive driving discount for completing a recognized defensive driving course


Choosing the right car insurance coverage with American Family can help protect your vehicle and finances in the event of an accident or other incident. With customizable options and discounts available, it is important to evaluate your individual needs and budget to find the coverage that is right for you.