American Family Renters Insurance Review (2023)

With nearly 100 years of experience, American Family (AmFam) Insurance is one of the most established firms in the industry. See how this Wisconsin-based company sets itself apart from competitors in this American Family renters insurance review.

We at the MarketWatch Guides Team have researched and reviewed the best renters insurance companies in the U.S. based on important factors like policies and coverage, cost and company reputation. Read on to learn more about American Family renters insurance.

AmFam is one of our top picks for renters insurance, but it also has a few downsides.

Our rating: 4.68 out of 5 stars

Year founded: 1927

J.D. Power rating: 838

AM Best rating: A+*

State availability: 19

*AM Best rating is accurate as of May 2023.

American Family provides renters insurance coverage in the following 19 states:

• Arizona
• Colorado
• Georgia
• Idaho
• Illinois
• Indiana
• Iowa
• Kansas
• Minnesota
• Missouri
• Nebraska
• Nevada
• North Dakota
• Ohio
• Oregon
• South Dakota
• Utah
• Washington
• Wisconsin

Based in Madison, Wis., American Family has not explicitly stated intentions to expand renters insurance coverage to other states beyond the ones listed above. It has primarily tackled growth and expansion by merging with other companies, such as its 2018 merger with the Florida-based insurance group, Main Street America.

Based on data from Quadrant Information Services, an American Family Insurance policy costs $13 per month, or $156 annually. That is cheaper than the national average of $15 per month, or $180 per year. Our team also requested an online quote for a single person living in a 2,200-square-foot house in an Atlanta suburb, which totaled $30 per month or $360 annually.

However, renters insurance costs may vary. The following factors may affect the final quote you receive from this insurance provider:

• Dwelling size: Insurance companies expect a larger home will typically have more personal items for a policy to cover. This is why renters insurance for a house usually costs more than you might pay for an apartment.
• Location: Location-related risks may include crime rates or the likelihood of natural disasters. Renters in expensive areas may also face higher premiums due to higher living expenses.
• Building age and construction materials: Renters insurance does not cover home construction, but building age and material play a role. The older the home or apartment building, the more likely it is that an incident could occur and damage your possessions. For example, old wiring or plumbing could result in electrical fires or leaks.
• Policy customization: The more coverage you add to a renters insurance policy, the higher your premiums. American Family provides three tiers of insurance: Economy, Traditional, and Premier. Since Premier offers more comprehensive coverage, it costs more at $61 per month, based on our quotes.
• Liability claims history: AmFam may view you as a riskier client if you have filed multiple liability claims in the last five years. Consequently, you may have higher premiums than someone without a claim within the same period.

American Family Renters Insurance Discounts

American Family offers several discount options that can help you save big on your policy:

• Multiproduct (or bundling) discount: You can reduce your total insurance costs by bundling renters insurance with other American Family coverage, such as car insurance or life insurance.

• Smart home devices discount: Renters receive a special discount if they live in homes with eligible smart devices. However, the company’s website lacked information about this deal at the time of writing.

• Generation discount: If you are between 18 and 30 years old and your parents are American Family Insurance policyholders, you may get a cheaper rate.

• Loyalty discount: The longer you stay with American Family, the more you can save. It offers policyholders a discount after a full year of coverage. You may also qualify for a diminishing deductible.

• Insurance premium discounts: Like most insurance companies, American Family offers discounts based on how you pay your premiums. It offers incentives for setting up auto-pay, paperless billing or paying your policy in full instead of monthly.

Ideally, landlords insure the structure of your building with a homeowners insurance policy. But even if your landlord does not have homeowners coverage, renters insurance covers you and your personal belongings. These are some types of coverage included in an American Family renters policy:

• Personal property: Pays to replace your belongings if stolen or damaged in a fire or natural disaster. Coverage differs depending on your plan and ranges from $15,000 to $50,000, based on quotes we gathered.
• Loss of use: Similar to home insurance, this coverage pays for temporary housing and other expenses if you have to vacate your home due to a covered event. Coverage ranges from $4,500 to $20,000, based on our research.
• Accidents: Pays for property damage or medical bills if a person is injured in your home. Coverage does not extend to injuries you cause outside the boundaries of your property. Coverage amounts ranged from $300,000 to $500,000, based on our research.
• Medical expense: Pays for medical bills if a person is injured in your home. Coverage amounts ranged from $5,000 to $10,000, based on quotes we gathered.

Additional Coverage

You may need more than just a base renters insurance policy. American Family offers multiple add-ons to fit additional coverage needs. Here are a few notable options:

• Building additions and alterations: Pays to replace or repair certain upgrades you make to a home, such as a new deck or patio. Coverage maxes out at $1,000 across all policy tiers.
• Dangerous dog and exotic animal liability: This is not pet insurance. Instead, it provides up to $25,000 in legal coverage if your pet causes damage or an injury on the property.
• Fungi or bacteria: Pays up to $5,000 in damages caused by mold or bacteria contamination as a result of a covered event.
• Identity theft protection: Reimburses you for losses caused by fraudsters and helps pay to restore your identity. This add-on offers coverage up to $25,000 across all policy tiers.
• Electrical appliance: Pays to repair or replace appliances after equipment breakdowns due to a covered reason. Available to add to Traditional and Premier level plans with a $100,000 coverage limit.

To help give renters an idea of customer experience, we pulled real reviews from sites like the BBB and Trustpilot. American Family customers praised the company’s policy options, discounts and ability to bundle renters insurance with other optional coverages like roadside assistance and pet liability. They also enjoy the user-friendly MyAmFam mobile app and the ease of getting a quote.

However, some negative reviews complain about policy pricing and customer service issues.

Here are some examples of what renters insurance customers had to say about American Family Insurance:

“We have been with American Family Insurance for over 15 years. We made a claim three or four years ago [for] roof and water damage. The adjuster came out quickly [and] was very polite and professional… American Family quickly paid the claim.” —Rick C. via Trustpilot

“I’ve been with American Family Insurance since 2005 and it is the only affordable home and car coverage I could find.” —Nikkie L. via the BBB

“We have received good service with American Family agents in Colorado and experienced good support and follow through with home and auto claims or concerns.”—Becky W. via Trustpilot

“Overpriced and understaffed. Difficult to get [American Family] to pay claims in a timely fashion.”—Cole via Trustpilot

“[American Family] doesn’t follow through with what it says it will do. It omits information from you when speaking to [representatives]. It won’t give you the whole picture or be honest with you.”—Kyle F via Trustpilot

With a diverse portfolio of insurance products and nearly 100 years of experience, American Family offers insurance products and expertise to customers in many different situations — including renters. Its steady growth over the years is a testament to its long-term financial strength. The company handled $2.8 billion in liability insurance claims in 2022 and brought in a revenue of $14.4 billion.

The company offers three tiers of renters insurance coverage that vary in cost. According to our research, a policy can cost anywhere between $13 and $60 per month. Customer reviews indicate that American Family provides suitable coverage options, policy discounts and customer service. But some customers have reported issues with high pricing and company communication.

However, if you do not live in one of the 19 states where AmFam operates, you may need to look elsewhere for renters insurance coverage. American Family Insurance provides comprehensive coverage for most renter insurance needs, including personal property and liability coverage. Here’s how it compares to other renters insurance companies:

Bradford Cuthrell is a meticulous researcher and writer specializing in pet and home finance topics. He’s surveyed thousands of pet owners and homeowners, listened to hundreds of customer service calls from various home service companies and spoken with dozens of industry experts to understand homeowners’ common pain points and needs. When he’s not helping his readers make informed decisions, he’s reading a book a week, planning a camping trip or working on his novel draft.

Tori Addison is an editor who has worked in the digital marketing industry for over five years. Her experience includes communications and marketing work in the nonprofit, governmental and academic sectors. A journalist by trade, she started her career covering politics and news in New York’s Hudson Valley. Her work included coverage of local and state budgets, federal financial regulations and health care legislation.