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Farmers vs. AAA

It’s time for another battle royale, insurance edition! 

In one corner, we have the marketing maven, Farmers, going up against the resilient American Automobile Association.

The clash is booked, so it’s time to look at the tale of the tape:

 

Farmers vs. AAA

                                                   Farmers                     AAA

Founded                                  1928                                1902

Hailing From                         Los Angeles                  Chicago

Corporate Structure             For Profit                      Not-for-Profit

Employees                              10,980                           40,000

 

AAA may be most commonly known for roadside assistance, but they have extensive insurance offerings as well. They offer automobile, home, life, and many other personal lines of insurance that serve their membership, which boasts nearly 60 million members in North America.

In fact, Consumer Advocate ranks AAA very highly in financial stability, a key indicator for an insurance company. While the roadside assistance (or accident assistance) is second-to-none in the marketplace, it is only the most recognizable feature of a storied, 118-year-old company. 

Farmers, on the other hand, is also a household name, one built on the foundation of growing out of the Great Depression, catering to customer needs, and building a brand that is recognizable from coast to coast, not just with a catchy jingle, but with a wide variety of coverage options for clients.

Getting the right level of protection for your family is better than "price shopping."

How They Cover You

The type of coverage AAA can offer will differ from state to state, due to the fact that AAA insurance comes from separate companies, but there are some standards that AAA maintains across the United States, such as offering Uninsured Motorist protection, Medical Payments coverage, rental car reimbursement, Comprehensive coverage, and Collision coverage. 

Farmers is constructed as exchanges, owned by the policyholders, offering coverage throughout the country via the main company and their subsidiaries. 

 

Discounts Are Available

Almost all AAA customers receive some sort of discount on their insurance for being a member of the motor club, which ranges from $20 – $96 annually.

Again, since AAA utilizes many different companies in different states to issue insurance, there are also fantastic discounts offered. For example, with AAA auto coverage, there are discounts for education and occupation, anti-theft devices, safe driving, students, multiple cars, multiple policies, and paying in full.

hand putting coin into piggy bank

AAA is also motivated to help you bundle your coverage to save even more money, such as adding in home and life insurance

Along the same lines, Farmers does offer discounts on automobile coverage for good students, multi-car, bundling, and even alternative fuel. When it comes to homeowners insurance, Farmers provides discounts for non-smokers, multiple lines (bundling, essentially) and discounts for business/professional groups. 

 

Insurance Company Confusion

At times, you may be thinking, “Why are there so many insurance companies offering the same coverage?”

The truth of the matter is simple (and in your best interest). Having companies compete for your business creates the free-market system that offers consumers more options in a wider price range.

While that is fantastic in depth and breadth of offerings, it can get complicated when looking at specific auto insurance coverages or exactly what options to include on a homeowners insurance policy. 

Both AAA and Farmers offer excellent coverage options, but the real key is figuring out which elements are most beneficial for your unique situation.

 

Having an Independent Agent on Your Side

The insurance landscape is complicated, with thousands of policy options ranging from the straightforward to levels of complication that require legal textbooks to decipher. 

When it comes to a legal matter, would you look to search online and solve the issue on your own or would you reach out to a lawyer? 

If your car was making unusual sounds, would you check under the hood yourself or take the vehicle to a mechanic? 

Independent insurance agents are like a lawyer or mechanic…but for insurance. Their knowledge and experience of the industry make them invaluable assets.

The more seriously you approach your insurance offerings with a focus on getting the best coverage for you and your family, the more you’ll benefit from having a partner in your journey. An independent insurance agent will do the research for you, listing many different options (across many different companies) for your insurance solutions.

In all honesty, most big insurance companies are unable to do that, as they are locked in to offering only their packages, policies, and options. 

Even better, your independent insurance agent is poised and ready to quote your insurance options with no obligation from you at all.

That’s right! A free consultation! 

 

Working with an Independent Insurance Agency

Independent insurance agencies, like Harry Levine Insurance, are motivated to find you the perfect coverage pairing because we only benefit if you choose a policy that we’ve found for you. Your goals are our goals! Finding the absolute best coverage options to protect all of your interests is the top priority for the Harry Levine Insurance team. 

So, what does it take to compare prices and options for the insurance needs on your mind? A quick call, stop by our office, or even our online quote form, where you can fill out some information and be served with valuable information quickly, ensuring that you’ll have the options you need to make the best insurance decision. 

Home, Auto, Life, and even Business Insurance can be a very complicated landscape of prices, limits, legal jargon, and high-pressure salespeople. That simply isn’t the case at Harry Levine Insurance.

As an independent insurance agency that only grows with your continued business, we are uniquely motivated to help you find the most protection-prominent, cost-effective policies available within the entire insurance marketplace, ensuring that you get the very best in service, information, and support. 

Swing by our offices, jump on our website, or shoot us a call. We can’t wait to help!

About the Author

Jason Levine

Jason received a Masters of Science & Management in Risk Management & Insurance from Florida State University. He has been with Harry Levine Insurance for 9 years and handles the leadership of daily operations. He was the 2013-2014 Florida Association of Insurance Agents Young Agent Council's Agent of the Year. Currently serves on FAIA Board of Directors.

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