Last Updated: August 2019
Disclaimer: We are not AAA Car Insurance Company. This is an unbiased and factual AAA car insurance review to help you determine if AAA is the car insurance company you should work with.
This AAA car insurance review is roughly a 6-min read.
AAA is a well known and established auto insurance provider in the United States that offers various lines of insurance.
Additionally, this AAA review will cover a wide range of topics involving AAA’s car insurance coverage options and pricing.
We have provided links directly below that will allow you to skip straight to any section of this article that you are interested in.
- Our AAA Car Insurance Review
- AAA Car Insurance History and Background
- AAA Insurance Company Financial Strength
- AAA Insurance Company BBB Rating and Complaints
- Car Insurance Coverage Offered by AAA Insurance Company
- Other Car Insurance Coverage Offered by AAA
- What Makes AAA Car Insurance Unique?
- Discounts Available with AAA Insurance Company
- Cost of AAA Car Insurance
- Who Should Consider AAA Car Insurance?
- Rideshare Coverage With AAA
- Pros of Choosing AAA Insurance Company
- Cons of Choosing AAA Insurance Company
- Final Thoughts on AAA Insurance Company
In this rushed and digitized world, we live in these days; we also understand that you may only want a quick synopsis on AAA car insurance coverage.
With that being the case, here is a 1 paragraph, 30-second overview of AAA insurance company.
AAA may be a fantastic option for you if you drive a low number of annual miles per year and have a clean driving record.
AAA is one of the top car insurance companies you can choose if you can qualify for one or several of their generous discounts.
On the flip side, AAA Insurance Company does not currently offer rideshare coverage, and cheaper car insurance companies are undoubtedly present in the market.
As always, we recommend comparing rates with multiple car insurance companies before ultimately making your final judgment call on who may be the best car insurance provider in your area.
That was the fast summary of AAA car insurance company.
If you do have a few minutes and need further information to decide if AAA is the best auto insurance provider you can choose, we recommend you read the remainder of our AAA car insurance review.
Here is what you need to know.
Our AAA Car Insurance Review
AAA Insurance Company has not only been around for quite some time but is also quite popular.
AAA is known as the American Automobile Association and is a federation of motor clubs spreading across the United States.
Currently, AAA is headquartered in Heathrow, Florida.
AAA offers not only automobile insurance but other lines of insurance as well that include homeowner’s insurance as well as life insurance solutions.
Although many recognize the AAA name, many consumers would be surprised to learn that AAA would be considered one of the largest insurance providers in the world.
Here is how it all began.
AAA Car Insurance History and Background
AAA Insurance Company was founded in 1902 under the name and brand of the American Automobile Association.
Currently, AAA has a total of 51 million active members and is known and extremely reputable for developing driver safety courses dating all the way back to 1920.
Currently, AAA offers homeowners insurance, car insurance, life insurance, health insurance, as well as other financial products and services.
AAA was initially off the ground and running due to the help of Harry S Truman who began by selling AAA memberships.
In recent years, AAA has moved its offices to St. Louis, Missouri.
AAA Insurance Company Financial Strength
AAA’s financial strength is more challenging to rate compared to other car insurance companies on the market due to having several different clubs and associations within the company.
Each “club” is considered independent of one another and would be given a separate financial strength/ credit rating from one another.
For example, the Automobile Club of Southern California is currently rated as an A-rated company per A.M. Best.
On the flip side, we can provide you with the current J.D. Power and Associates Rankings for a few of these AAA clubs.
AAA Club of Southern California- 838/1000 (Average)
AAA Club of Northern California- 854/1000 (Average)
Overall, AAA has been around for a substantial amount of time, and their current financial strength is stable and reliable and should be nothing to be overly concerned about.
AAA Insurance Company BBB Rating and Complaints
Currently, AAA Insurance Company is not accredited with the BBB, but we see this frequently with insurance companies.
Nonetheless, AAA is still being afforded an A+ rating with a total of 25 complaints closed in the last 3 years which is an overall low number of total complaints compared to some of the other car insurance companies we have reviewed.
Car Insurance Coverage Offered by AAA Insurance Company
Now is the time where we need to look at some of the car insurance coverages that AAA offers.
Currently, AAA offers car insurance coverage that’s similar to what all car insurance companies currently offer.
Here’s a look at that coverage.
- Bodily Injury Coverage
- Collision Coverage
- Comprehensive Coverage
- Medical Payments and Personal Injury Protection
- Uninsured Motorist Coverage
Other Car Insurance Coverage Offered by AAA
AAA does offer some other unique car insurance coverages that not all car insurance companies currently offer.
Here’s a look at those coverage options but always keep in mind that some of these coverages may be limited by the state in which you reside.
Gap Insurance Coverage- This coverage replaces your car at total value instead of replacing your vehicle at depreciated value.
Rental Car Coverage- This coverage reimburses you for the rental car expenses that you incur if your car is under repair and in the shop.
Nonowners Insurance- This coverage allows you to place liability only on drivers who may use a vehicle less frequently but who don’t own the vehicle.
Pet Coverage- This is a unique coverage that we haven’t seen with some of the big brands in the industry.
This coverage covers the cost for your pets’ injuries or medical care if they are involved or in the vehicle at the time of an accident.
Accident Forgiveness- This coverage will not raise your premiums for your first at-fault accident with AAA.
What Makes AAA Car Insurance Unique?
Pet coverage is certainly something that you don’t see with all car insurance companies.
Additionally, AAA is a car insurance provider that will lower your rates based on annual driver mileage, which is much like what you would see other companies offer such as Metro Mile.
In addition, AAA has several affinity partnerships that they will provide consumers with a discount for if they are also affiliated with the same groups.
Discounts Available with AAA Insurance Company
AAA compared to other car insurance companies, does offer some good possible savings and discounts depending on your eligibility.
Here’s a look at those discounts you could be eligible for with AAA.
Association with Professional Groups- Up to 10% Discount if you are associated with professional or affinity groups.
Low Mileage Discount- Up to 12% discount with verified low mileage driving.
Longevity Discount- Up to 12% off your premiums if you have three or more years with AAA or your previous car insurance company before making the switch to AAA.
AAA Onboard- 10-20% discount for equipping your vehicle with a telematics device for tracking your driving behavior and miles driven.
Advanced Purchase Discount- Up to 5% for paying your entire premium in full.
Good Student Discount- Up to 15% off your premiums for students or young drivers who currently are achieving above-average grades.
Student Away from Home Discount- 15% discount for students who currently live more than 100 miles from home while attending college.
Cost of AAA Car Insurance
AAA is not going to be your cheapest car insurance coverage possible, and they are by no means the most expensive car insurance you can purchase either.
Currently, compared to 3 other big-name car insurance companies, AAA would come in 4th place for average annual premiums.
Here’s a look at how that stacks up.
- Geico Insurance Company- 1st Place
- Progressive Insurance Company– 2nd Place
- State Farm Insurance Company- 3rd Place
- AAA Insurance Company– 4th Place
Keep in mind that these numbers for average annual premiums can likely be considered “not very accurate.”
Premiums are always based on your unique driving background, credit history, and the vehicle you are trying to insure so it’s also imperative to shop for the best car insurance rates in your area.
Who Should Consider AAA Car Insurance?
We think that one of the strongest selling points that AAA is currently working with would be considered their unique and generous discounts.
If you are a safe driver or a driver who drives a low number of annual miles per year, we highly recommend considering running a quote with AAA car insurance company.
If, however, you don’t feel confident that you can qualify for these discounts listed above, it would be a good idea to consider shopping around with several other car insurance companies before ultimately making any decisions.
Rideshare Coverage With AAA
Currently, AAA is not a company listed as offering car insurance coverage for uber or lyft drivers.
This is one of the downfalls about the company, but several companies have not entered into this market yet.
AAA does, however, seem to be relatively innovative and tends to keep pace with competition well so we wouldn’t be surprised if this is an additional perk they decide to add soon.
Only time will tell.
Pros of Choosing AAA Insurance Company
All car insurance companies have unique pros and cons.
With AAA, we put together a quick list of the top advantages of choosing them for car insurance coverage.
- Generous and Wide Variety of Discounts
- Top Ten Cheapest Car Insurance Providers
- Reputable Brand and Time in The Industry
Cons of Choosing AAA Insurance Company
On the flip side, we have made another short list of what we would consider the biggest downfalls of AAA insurance company.
- No Rideshare Coverage
- Other Car Insurance Providers May Be Cheaper
- Not the Most Innovative Purchasing and Rate Comparison Platform
Final Thoughts on AAA Insurance Company
AAA Insurance Company surely should be one of your top considerations when running quotes for your car insurance.
Especially when you factor in the potential savings from their nice list of discounts.
Not only is AAA an established car insurance provider, but they have a reputable and well-known name across many insurance verticals.
At the end of the day, the only way to know who your best option for car insurance may be is to compare rates with multiple companies based on your specific criteria.