State Farm vs AAA: Who has better car insurance? |

Who has the best car insurance, State Farm or AAA?

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State Farm vs AAA car insurance

State Farm and AAA are well-known companies. But not everyone is aware that AAA also provides auto insurance, not just travel discounts and roadside assistance.

About State Farm and AAA

State Farm is the largest insurance company in the country, and it’s good at what it does. It is well-liked by its customers, earning a B+ from the Better Business bureau and an A++ rating from A.M. Best.

You’ll need to be a member to get insurance through AAA, which isn’t free. Memberships range from $57 to $100 annually. But with that membership you’ll get perks like emergency check cashing, 24 hour concierge services, entertainment discounts and more.

  • Excellent rating and top choice in the US
  • Full range of financial options
  • Available in 50 states

Our top pick: State Farm

Get personalized, one-on-one support from your local State Farm agent.

  • Excellent rating and top choice in the US
  • Full range of financial options
  • Available in 50 states

State Farm

State Farm



About the provider
About the provider Get personalized, one-on-one support from your local State Farm agent. Known for travel and roadside assistance, AAA is also one of the largest auto insurance providers in the world.
States served
States served All 50 states All 50 states
User satisfaction
User satisfaction 3 stars 5 stars
J.D Power ratings
J.D Power ratings 5 stars 5 stars
Roadside assistance
Roadside assistance Optional Included free
New car protection
New car protection Yes Yes
Bundling discount
Bundling discount Yes Yes
Student discount
Student discount Yes, Up to 25% Yes, up to 14%
Defensive driver discount
Defensive driver discount Yes Yes, up to 20%
Good driver discount
Good driver discount Yes Yes
Paid in full discount
Paid in full discount Yes Yes
Multi car discount
Multi car discount Yes, Up to 20% Yes, up 27%
Military discount
Military discount No No
Home owner discount
Home owner discount No Yes, up to 37%
Anti theft device discount
Anti theft device discount Yes Yes
Safety device discount
Safety device discount Yes, up to 40% Yes
Special employment discount
Special employment discount No No
Usage based discount
Usage based discount No No
Other discounts
Other discounts
Accident forgiveness
Accident forgiveness Yes, 9 years accident free Yes, optional extra
Learn more
Learn more

* Based on Better Business Bureau’s company rating
** Based on the 2016 U.S Auto Claims Satisfaction Study

Bottom line

If you want the perks that come with a AAA membership and you’re prepared to pay the annual fee, then AAA is a great option. But if you’re not interested in paying an annual membership fee, then State Farm is the way to go. If neither is right for you, compare other car insurance options to find the best deal.

Compare alternatives to State Farm and AAA

Name Product Roadside assistance New car protection Accident forgiveness Available states
Yes, 3 years accident free
All 50 states
Save up to 31% with safe driver discounts and bundling all your rides in one convenient policy.
All 50 states
Enjoy having your own dedicated agent to help you get the best discounts and coverage.
Drive less than 30 miles a day? Save on the coverage you need with pay-per-mile insurance from Metromile. Get a low monthly rate then pay just a few cents per mile. Available in AZ, CA, IL, NJ, OR, PA, VA and WA.
Yes, 5 years accident free or bought
All 50 states
Car insurance through Liberty Mutual will give coverage options for almost any situation.
Yes, history based
Root offers simple, affordable insurance that’s ideal for good drivers. Try the Root app for 2 weeks and see how much you could save. Available in 24 states.
All states except AK, DE, HI, MT, NH, VT, WY
Esurance offers a modern online and mobile experience that helps you take your insurance on the go. Available in 42 states.
All 50 states
Backed by nearly 100 years in the business, Farmers Insurance aims to offer options and support to help you find the coverage you need.
All states except Hawaii, Massachusetts, Michigan and New Jersey
The General offers affordable coverage for nearly any driver who needs car insurance.

Compare up to 4 providers

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