AAA vs. Allstate Comparison

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AAA and Allstate have a long-standing reputation as leading car insurance companies in the industry. The American Automobile Association, more commonly known as AAA (“Triple A”), was founded in 1902 in Chicago. The organization now has regional car clubs across the country, each with a unique set of services for members, the most famous of which is the roadside assistance program. Auto insurance policies are available only to AAA members, and the policies are underwritten by the various AAA clubs.

The midwestern-based insurance company, Allstate was founded in 1931 in Northbrook, Illinois. Currently, it is the third-largest car insurer by market share. Allstate offers a full range of insurance products, which may allow consumers to meet multiple insurance needs with just one company. Coverage is available in every state, but product availability may vary.

AAA Rating

Allstate Rating

Bankrate Rating

AAA Rating: 2.9

Allstate Rating: 3.8

Tier 1 Rating

AAA Rating: 2.5

Allstate Rating: 3.5

Tier 2 Rating

AAA Rating: 2.5

Allstate Rating: 4.0

Tier 3 Rating

AAA Rating: 4.7

Allstate Rating: 4.3

Bankrate Ratings

The Bankrate rating for 2023 takes into account the variables that affect policyholders’ experiences with the insurance company. These factors include a strong evaluation of product availability for each company, financial strength ratings, internet capabilities, and access to customer service and claims. Each factor was added to a category, and these categories were distributed in a tiered manner to analyze company performance in key categories that influence customers.

Like previous Bankrate ratings, a scale was assigned to each category to determine performance, and the weighted total is added to get the company’s overall Bankrate score – out of 5 points. This year, our 2023 rating model provides a more comprehensive view, indicating that companies excel in several key areas and highlighting where they perform best.

Tier 1 Rating (Cost and Ratings)

To determine how well car and home insurance companies meet these priorities, the quoted premiums for 2023 from Quadrant Information Services (if available), along with any recent third-party ratings from J.D. Power, AM Best, and NAIC were analyzed.

Tier 2 Rating (Coverage and Availability)

We evaluated the coverage options available from the companies and their availability to help policyholders find a provider that balances cost and coverage. Additionally, we assessed the discount options listed on each company’s website.

Tier 3 Rating (Support)

To encompass the various ways insurance companies can support policyholders, we analyzed customer access methods as well as community support. These analyses included additional financial strength ratings from S&P and Moody’s and took company sustainability efforts into account.

Category ratings are not weighted to show the true rating of the company in each category out of a possible five points.

Information

Our View

When it comes to choosing between AAA and Allstate, it is worth mentioning that both companies receive similar ratings regarding customer service when considering claims satisfaction ratings and mobile app ratings. While Allstate is often cheaper on average, there are several categories where AAA offers lower average premiums. AAA provides strong roadside assistance coverage, but other coverage options and discounts may vary by area. Both carriers may be appealing to shoppers with teen drivers on their policies as they each offer driver education resources and potential discounts for young drivers.

Comparing AAA with Allstate

To compare AAA and Allstate, the Bankrate insurance editorial team looked beyond just pricing. We comprehensively analyzed each carrier by rating customer satisfaction ratings from J.D. Power, financial strength ratings from AM Best, coverage options, available discounts, digital tools, and more. Below you can see some of the main pros and cons identified for each carrier.

Advantages

Advantages and Disadvantages of AAA

Advantages:

  • Regional clubs may have coverage options specific to the area
  • Membership or coverage may come with additional benefits and perks
  • Local agencies are usually available for in-person customer service
  • Strong roadside assistance coverage available

Disadvantages:

  • Membership is required for coverage
  • Third-party customer service and financial strength ratings depend on individual regional AAA clubs
  • Digital tools may not be as advanced as some competitors
  • Coverage options and discounts may vary by region

Advantages and Disadvantages of Allstate

Advantages:

  • Offers multiple programs and discounts for potential savings
  • Strong online tools and mobile app
  • Offers a driver training program designed specifically for teens
  • Received above-average ratings in the 2023 J.D. Power claims satisfaction study

Disadvantages:

  • Has fewer additional coverage options compared to many large companies
  • Some coverage options may be limited by state availability
  • The National Association of Insurance Commissioners complaint index is higher than the industry baseline

Is AAA Cheaper than Allstate?

Based on average price data from Quadrant Information Services, AAA offers a slightly lower full coverage average rate than Allstate. However, Allstate is cheaper, on average, for minimum coverage. Full coverage rates for both carriers are above the national average of $2,014 annually, with AAA’s full rate exceeding the national average for minimum coverage of $622 annually.

Car Insurance

Average annual rate for full coverage:

  • AAA: $2,562
  • Allstate: $2,630

Average annual rate for minimum coverage:

  • AAA: $681
  • Allstate: $545

Methodology

Bankrate uses Quadrant Information Services to analyze 2023 rates for ZIP codes and insurance companies across all 50 states and Washington D.C. Prices are weighted based on population density in each geographic area. The quoted prices are based on male and female drivers aged 40 with a clean driving record and good credit with the following full coverage limits:

  • $100,000 personal injury liability per person
  • $300,000 personal injury liability per accident
  • $50,000 property damage liability per accident
  • $100,000 uninsured motorist bodily injury per person
  • $300,000 uninsured motorist bodily injury per accident
  • $500 collision deductible
  • $500 comprehensive deductible

To determine minimum coverage limits, Bankrate used the minimum coverage that meets requirements in each state. Our base file driver has a 2021 Toyota Camry, commutes five days a week, and drives 12,000 miles annually.

These are sample prices and should only be used for comparison purposes.

Allstate is generally cheaper for drivers with poor credit

Your credit history can affect car insurance rates unless you live in Massachusetts, Michigan, California, or Hawaii, where insurers are prohibited from pricing car insurance based on credit history. If you’re torn between AAA and Allstate, your credit history might be a deciding factor. Based on average price data, AAA may be cheaper for drivers with good or excellent credit, but Allstate could be the cheaper option for drivers with average or poor credit.

Credit Scores

AAA:

  • Poor: $5,470
  • Average: $2,822
  • Good: $2,562
  • Excellent: $2,162

Allstate:

  • Poor: $3,496
  • Average: $2,731
  • Good: $2,630
  • Excellent: $2,440

Credit Score Methodology

Prices are calculated based on the following insurance credit score tiers assigned to our drivers: “Poor, Average, Good (base), and Excellent.” Insurance credit score tiers consider your official credit scores but are not solely based on this variable. Four states prohibit or restrict the use of credit scores for insurance rating purposes: California, Hawaii, Massachusetts, and Michigan.

Allstate is generally cheaper for young drivers

Young drivers must
Younger drivers are required to pay higher auto insurance premiums due to their less experience and a greater likelihood of engaging in risky driving behavior. If you insure a young driver on your policy, you may find cheaper rates with Allstate. Both Allstate and AAA offer driver training programs for teens that may help reduce their accident risks. If you live in Hawaii or Massachusetts, insurance companies are not allowed to consider your age when calculating your auto insurance premium, but insurance companies in Massachusetts are permitted to consider the number of years you have held a driver’s license.

AAA

  • Age 16: $5,339
  • Age 17: $4,932
  • Age 18: $4,640
  • Age 19: $4,197
  • Age 20: $4,008

Allstate

  • Age 16: $4,461
  • Age 17: $4,267
  • Age 18: $4,184
  • Age 19: $3,997
  • Age 20: $3,888

* Rates are for drivers added to their parent’s policy with full coverage

AAA Generally Cheaper for Adult Drivers

If you are an older driver on your own policy, you may find cheaper auto insurance rates with AAA. Although the prices are close, AAA tends to outperform Allstate based on average pricing data. However, your personal insurance rates depend on a wide range of factors, so comparing quotes may reveal which carrier is actually cheapest for your personal circumstances.

AAA

  • Age 18: $6,706
  • Age 25: $3,067
  • Age 30: $2,620
  • Age 40: $2,562
  • Age 60: $2,246

Allstate

  • Age 18: $7,089
  • Age 25: $3,188
  • Age 30: $2,641
  • Age 40: $2,630
  • Age 60: $2,376

Age and Gender Methodology

Age: Prices were computed by evaluating our base profile with ages 18-60 (base: 40 years) applied. Drivers may sometimes be renters or homeowners depending on age. Age is not considered a contributing factor in Hawaii and Massachusetts due to government regulations.

Gender: The following states do not use gender as a factor in calculating premiums: California, Hawaii, Massachusetts, Michigan, North Carolina, and Pennsylvania.

Teenagers: Prices were determined by adding a teen aged 16 or 17 to their married parent’s policy aged 40. The displayed prices reflect the total cost of a driver of that age added to their parent’s policy.

Allstate Generally Cheaper for High-Risk Drivers

Your driving record is one of the primary metrics carriers consider when determining your auto insurance price. Safe drivers typically enjoy some of the lowest average rates, while tickets and accidents tend to raise your prices. Major violations, such as driving under the influence of alcohol or having multiple speeding tickets, can lead to very high rates or even non-renewal of insurance. For drivers with a DUI conviction considering Allstate vs. AAA, Allstate tends to be cheaper for high-risk drivers based on average prices. Some companies may refuse coverage for drivers with a DUI conviction, so you may need to check the company’s policy regarding high-risk driver coverage.

AAA

  • Clean driving record: $2,562
  • One speeding ticket: $3,131
  • Major accident: $3,717
  • DUI conviction: $5,569

Allstate

  • Clean driving record: $2,630
  • One speeding ticket: $3,123
  • Major accident: $3,397
  • DUI conviction: $3,817

Driving Record Methodology

Accidents: Prices were calculated by evaluating our base profile with the following incidents applied: clean record (base), one speeding ticket, major accident, and DUI conviction.

AAA

Against Allstate: Discounts

Most car insurance companies offer at least a few discounts, although the quantity and type can vary significantly among providers. Here are some notable discounts from AAA and Allstate.

Unique Discounts at AAA

  • TeenSmart: Teen drivers may be able to enroll in an online driver training program that helps young drivers learn more about defensive driving and complete an online course to save on car insurance. Eligible teens may save up to 20 percent.
  • Good student: Students who maintain a GPA of 3.0 or higher may qualify for a discount of up to 10 percent.
  • Education and profession: Certain educational credentials or types of employment may earn you a discount.

Unique Discounts at Allstate

  • New car: If you are the first owner of a brand-new car, you may receive a discount on your insurance.
  • Early signing: This may provide policyholders who purchase insurance from Allstate within seven days of the policy’s effective date.
  • Good student: Like AAA, Allstate offers a potential discount for high-achieving students who complete the TeenSmart driver education program.
  • Safe driving bonus: Although not an actual discount, Allstate may reward policyholders with a check every six months for having no accidents.

Usage-Based Insurance Comparison: AAA vs Allstate

Both AAA and Allstate offer usage-based car insurance options. These programs use modern technology to collect actual data from your driving patterns to determine things like driving safety and how far you drive. Here, we compare the AAADrive and Allstate Drivewise programs.

AAADrive

  • Telematics device: Not available in all states / unspecified
  • Monitored driving factors: Acceleration, speed, braking, phone usage, distance, time of day, and route traveled
  • Potential impact on rates: Lower
  • Potential discount: Up to 30%
  • Availability: Not available in all states / unspecified

Allstate Drivewise

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