Powered by Coverage.com (NPN: 19966249)
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
Nationwide vs. AAA 2025
Edited by
Understanding the differences between AAA and Nationwide can help you make the most informed decision when buying car insurance.
Powered by Coverage.com (NPN: 19966249)
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
Nationwide was founded in 1926, although it had previously existed as the Farm Bureau Mutual Automobile Insurance Company. While it was initially geared toward farmers, the company has grown and developed into one of the largest insurance providers in the United States. Nationwide now offers a broad array of insurance products for a range of demographics. Nationwide underwrites its own auto insurance policies, representing 1.71 percent of the market share and $5.4 billion in direct written premiums, according to the National Association of Insurance Commissioners' 2023 market share report.
The American Automobile Association (AAA) was founded in 1902 in Chicago, Illinois. Most commonly referred to as AAA, the company specializes in coverage and services that cater to traveling and roadside assistance. AAA is divided into different clubs by region, with the clubs having different underwriting companies for their policies. AAA is a large insurance company, but due to its segmented structure, determining the market share for AAA can be difficult. However, the Automobile Club of Southern California is the largest AAA club with 1.53 percent of the market share and $4.8 billion in direct written premiums.
Our verdict
In general, Nationwide offers lower average rates for full coverage and more coverage options, but average rates can vary for AAA depending on which club a driver belongs to. In contrast, AAA has lower average rates for minimum coverage, although the difference is slight. Nationwide offers more additional lines of insurance, which works well for policyholders looking to bundle, whereas AAA has additional club benefits that can help policyholders save money in ways that go beyond insurance.
Nationwide vs. AAA comparison
When comparing AAA vs. Nationwide, it’s useful to consider potential benefits and downsides, as well as average car insurance rates. Below, we’ve highlighted some of the key pros and cons below for each company and average rate information for a variety of driver profiles.
|
Featured
Nationwide
4.0
Bankrate scores primarily reflect a weighted rank of industry standard ratings for financial strength and customer experience, in addition to average quoted rates. A secondary assessment of each provider's online and mobile resources and policy management options also contributed to overall ratings
Cost & ratings 4.2Coverage 3.5Support 3.5 |
AAA
3.8
Bankrate scores primarily reflect a weighted rank of industry standard ratings for financial strength and customer experience, in addition to average quoted rates. A secondary assessment of each provider's online and mobile resources and policy management options also contributed to overall ratings
Cost & ratings 4.6Coverage 3.0Support 3.0 |
|
|---|---|---|
|
OVERVIEW
Bankrate identified key carrier features, coverage offerings, discounts and more
|
||
|
Policyholders who value bundling insurance coverage, robust coverage options or have unique coverage needs might consider Nationwide as their company of choice.
Read More
|
AAA offers relatively affordable auto insurance options, as well as membership perks. Those who like convenience may also appreciate that some of AAA’s offices offer DMV transactions, notary services and travel planning.
Read More
|
|
|
STANDOUT FEATURES
These features are some of the carrier’s most impressive
|
||
|
Numerous policy endorsements
A variety of discounts
Local agents available
|
Local agents available
Robust roadside assistance
Access to additional AAA perks
|
|
|
AVG FULL COV. AUTO RATE
Average national annual cost of a full coverage auto insurance policy
|
||
$1,924 |
$2,415 | |
|
AVG MIN COV. AUTO RATE
Average national annual cost of a minimum coverage auto insurance policy
|
||
| $688 |
$657 |
|
|
J.D. POWER AUTO SCORE
J.D. Power’s Auto Claims Satisfaction Study assesses customer satisfaction with the claims experience on a 1,000-point scale
|
||
|
728/1000 |
701/1000 | |
|
AM BEST RATING
AM Best ratings assess companies’ financial strength based on historical ability to pay out claims, among other financial obligations
|
||
|
A+(Superior) |
A(Excellent) | |
AAA disclosure: AAA is composed of 32 regional motor clubs. Since each club operates independently of the other, customer service, coverage options and claim experience vary. To accurately reflect the “average” customer experience, the J.D. Power score mentioned in this article is the combined average from the three biggest AAA motor clubs: Auto Club of Southern California Insurance Group, CSAA Insurance Group and Automobile Club Group.
Nationwide pros and cons
-
Several endorsements and discount options available
-
Low average rates across multiple driver profiles
-
24/7 claims and towing assistance
-
Offers two telematics programs
-
Not available in all states
-
Below-average J.D. Power customer satisfaction scores in most regions
-
Does not have 24/7 customer service
AAA pros and cons
-
Available in all 50 states and Washington, D.C.
-
Local club structure may offer customizable coverage suited to your regional needs
-
Highly-rated roadside assistance program
-
AAA membership may offer additional saving opportunities for shopping and travel
-
Underwriting for insurance offered by different providers based on region
-
Coverage options and discounts may vary by region
-
High average rates across multiple driving profiles
-
Digital tools have limited functionality
Is Nationwide cheaper than AAA?
When looking at Nationwide vs. AAA, AAA's average car insurance rates are generally higher than Nationwide's for full coverage, based on data from Quadrant Information Services. Rates and discount opportunities can vary by state and based on factors such as age (where allowed) and driving record. If you’re on the hunt for the cheapest car insurance company, make sure to provide specific details regarding who will be driving your vehicle and every driver's driving history for accurate quoting.
|
|
|
|
|---|---|---|
|
Nationwide avg. full coverage premium
$2,385
|
AAA avg. full coverage premium
$2,892
|
|
|
Nationwide avg. full coverage premium
$1,823
|
AAA avg. full coverage premium
$2,370
|
|
|
Nationwide avg. full coverage premium
$1,924
|
AAA avg. full coverage premium
$2,415
|
|
|
Nationwide avg. full coverage premium
$2,453
|
AAA avg. full coverage premium
$4,963
|
|
|
Nationwide avg. full coverage premium
$2,775
|
AAA avg. full coverage premium
$3,267
|
|
|
Nationwide avg. full coverage premium
$2,772
|
AAA avg. full coverage premium
$3,353
|
|
|
Nationwide avg. full coverage premium
$4,769
|
AAA avg. full coverage premium
$4,324
|
Bankrate's take
Overall, average Nationwide car insurance rates are significantly cheaper than AAA. When comparing drivers with clean records and good credit, the premiums are closer, but AAA is still higher. Regarding high-risk drivers, like new drivers and drivers with below-average credit, Nationwide offers lower pricing. But those with DUIs may fare better with AAA insurance.
Not all insurance companies offer coverage for drivers with DUIs. However, both Nationwide and AAA do. Additionally both companies will submit SR-22 filings on behalf of policyholders if it is required.
Nationwide vs AAA: discounts
Nationwide and AAA both offer car insurance discounts that could help policyholders get a lower rate. Not all discounts are available in every state and how each carrier implements discounts may vary. When looking for ways to save on your car insurance, contact your agent for a review of your policy and discount opportunities.
Discounts available from both carriers
While each insurance company is different, they all usually have some core discounts in common that are inherent to car insurance. For example, Nationwide and AAA both offer discounts for vehicle safety features, defensive driving and incident fee discounts. However, eligibility and the percentage a policyholder can save may differ between the companies. Below is a breakdown of some of each carrier’s discount specifications.
Nationwide
- Paperless and automatic payments discount: Depending on the state, some policyholders can save money by receiving their policy online instead of in the mail or by enrolling in automatic payments.
- Multi-policy discount: Bundling your home and auto insurance with the same carrier often results in savings on both policies.
- SmartMiles discount: Through Nationwide’s usage-based insurance plan, infrequent drivers may receive up to a 10 percent discount after renewal based on the number of miles they drive each year. While this is not a discount, it is a smart way to save money if you tend to have a lower annual mileage.
- Good student discount: Young drivers between the ages of 16 and 24 may qualify for a discount if they are in school and have a grade average of B or above.
AAA
- AAA member discount: AAA memberships for a towing plan also provide discounts on travel, dining and more depending on your package level.
- Advanced shopping discount: Drivers who switch car insurance companies may get a discount from AAA if they get a quote more than seven days before the policy’s start date.
- Driver training discount: Young drivers may receive an additional discount when they complete AAA’s Auto Club Driving School six- or 10-hour program.
- Student away: If you have a covered college student in your household who attends school at least 100 miles away from home, you may be able to get a significant discount if they don’t have a car at school.
Nationwide and AAA telematics programs
Many insurance companies offer telematics programs that analyze how you drive. That data is then used to determine whether you qualify for potential discounts or savings. The idea behind these programs is that they will lead to greater savings for drivers who exhibit responsible driving habits. Nationwide offers the SmartRide program, while AAA offers AAADrive.
| Nationwide SmartRide | AAADrive | |
|---|---|---|
| Device | Mobile app, device or connected car | Mobile app |
| Can it raise your rate? | No | No |
| Availability | All states | CO, FL, GA, IA, MI, NE, NC, ND, SC, TN, WI, PR, VI |
| Discount | Up to 40% | Up to 30% |
| What it monitors | Miles driven, braking, accelerating, idling, night driving | Start and end time, location, accelerometer data |
Nationwide vs AAA: customer experience comparison
When considering customer experience, we looked at each company’s app ratings and functions and incorporated scoring from the 2024 J.D. Power U.S. Auto Claims Satisfaction Study.
According to our research, both companies offer strong online resources, but they differ in app functionality. Nationwide's app offers a variety of online tools, resources and articles, which can be helpful for first-time auto insurance buyers.
Overall, we found that Nationwide has a more useful app for insurance purposes, as AAA’s app does not include any insurance-related features. Nationwide scored below the segment average for claims satisfaction, but AAA's scoring is a bit more complex. Some of the carrier's clubs like the Auto Club of Southern California scored above the segment average, while others like the Automobile Club Group scored far below.
| Nationwide | AAA | |
|---|---|---|
| App store | 4.8 of 5 | 4.7 of 5 |
| Google Play | 4.5 of 5 | 4.4 of 5 |
| J.D. Power claims satisfaction | 728/1,000 |
Auto Club of Southern California: 706/1,000 CSAA Insurance Group: 704/1,000 Automobile Club Group: 692/1,000 |
Customer complaints
The National Association of Insurance Commissioners (NAIC) produces an annual complaint index report that tracks how many customer complaints an insurance company has filed against them. The scoring is a baseline model where 1.0 represents the industry average. Scores below 1.0 indicate that a provider had fewer complaints than expected for a company its size and vice versa.
Nationwide auto insurance customer complaints
Nationwide received fewer customer complaints than other auto insurers of similar size. Its score has been fairly consistent over the past three years, even decreasing in 2024. This could be an indication that policyholders are happy with the service they receive from Nationwide.
AAA auto insurance customer complaints
AAA auto insurance policies are underwritten by several companies depending on which AAA insurance club you belong to. With that in mind, we considered NAIC scores for two of the largest AAA insurers: Auto Club Property-Casualty Insurance Company and CSAA General Insurance Company.
Auto Club Property Casualty Insurance Company NAIC Complaint Index score
CSAA General Insurance Company Complaint Index
Frequently asked questions
Methodology
Rates
Bankrate utilizes Quadrant Information Services to analyze July 2025 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Rates are weighted based on the population density in each geographic region. Quoted rates for our base profile are based on the following characteristics and full coverage limits with bundling and paperless billing discounts applied:
Bodily injury liability
$100,000 per person$300,000 per accident
Property damage liability
$50,000 per accidentPersonal injury protection
$100,000 per accidentUninsured motorist bodily injury
$100,000 per person$300,000 per accident
Collision deductible
$500Comprehensive deductible
$500To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. These are sample rates and should only be used for comparative purposes. Your quotes will differ.
If otherwise specified, the base profile has been modified with the following driver characteristics:
Other profiles
Bankrate Score
Our 2025 Bankrate Score for auto insurance considers key variables that our insurance editorial team determined impact policyholders’ experiences with an insurance company. These factors include a robust assessment of each company’s cost of coverage, product availability, financial strength ratings, online capabilities and customer and claims support accessibility. We grouped these factors into three essential categories — cost and ratings, coverage and savings, and support — which we then weighted in a tiered approach.
Each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. Our scoring model provides a comprehensive view, indicating when companies excel across several key areas and highlighting where they fall short.
- Tier 1 (Cost & ratings): To determine how well auto insurance companies satisfy these priorities, our team analyzed quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best, Demotech and the National Association of Insurance Commissioners (NAIC).
- Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated the discount options listed on each company’s website.
- Tier 3 (Support): To encompass the many ways an auto insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored in a company’s corporate sustainability efforts.
Tier scores are unweighted to show the company's true score in each category out of a possible five points.
