Nationwide vs. AAA

Nationwide vs. AAA comparison

When comparing Nationwide vs. AAA, it’s useful to list potential benefits and downsides as well as considering a comparison of average car insurance rates. We’ve highlighted some of the key pros and cons below for each company and have included average rate information for each under a variety of driver considerations.

Nationwide pros and cons

AAA pros and cons

Is Nationwide cheaper than AAA?

AAA's average car insurance rates are generally significantly higher than Nationwide's for full coverage, and just slightly lower than Nationwide for minimum coverage, based on rate data from Quadrant Information Services. Rates and discount opportunities can vary per state and factors such as age (where applicable) and driving record also play a significant role in rate determination. When looking for the cheapest car insurance company, make sure to provide accurate details regarding who will be driving your vehicle and every driver's driving history for accurate quoting.

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.

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 ten-program hour program.

Nationwide and AAA telematics programs

Many insurance companies offer telemetric 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 behind the wheel. Nationwide offers the SmartRide program, while AAA offers AAADrive.

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 2023 J.D. Power Auto Claims Satisfaction study.

According to our research, both companies offer strong online resources, but they differ when it comes to app functionality. In particular, Nationwide offers a variety of online tools, resources and articles via its app, 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.

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

AAA auto insurance customer complaints

Frequently asked questions

Methodology

Bankrate utilizes Quadrant Information Services to analyze the latest rates in July 2024 for all ZIP codes and carriers in all 50 states and Washington, D.C. Rates include the most recent approved rate changes filed by insurance companies that affect our profile. These revised rates are then weighted based on the population density in each geographic region so that policyholders can see the impact rates have in their areas. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:

• $100,000 bodily injury liability per person
• $300,000 bodily 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 minimum coverage that meets each state’s requirements. Our base profile drivers own a 2022 Toyota Camry, commute five days a week and drive 12,000 miles annually.

These are sample rates and should only be used for comparative purposes.

Credit-based insurance scores: Rates were calculated based on the following insurance credit tiers assigned to our drivers: “poor and good (base).” Insurance credit tiers factor in your official credit scores but are not dependent on that variable alone. Four states prohibit or limit the use of credit as a rating factor in determining auto insurance rates: California, Hawaii, Massachusetts and Michigan.

Incidents: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket and single DUI conviction.

Age: Rates were calculated by evaluating our base profile with the ages 25-70 (base: 40 years) applied. Depending on age, drivers may be a renter or homeowner. Age is not a contributing rating factor in Hawaii and Massachusetts due to state regulations.

Bankrate Scores

Our 2024 Bankrate Score considers variables our insurance editorial team determined impacts policyholders’ experiences with an insurance company. These rating factors include a robust assessment of each company’s product availability, financial strength ratings, online capabilities and customer and claims support accessibility. Each factor was added to a category, and these categories were weighted in a tiered approach to analyze how companies perform in key customer-impacting categories.

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 and home insurance companies satisfy these priorities, average 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 NAIC, were analyzed.
• 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 each company’s discount options listed on its 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 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.