Nationwide vs. AAA: Which Is Better for Car Insurance?

Depending on where you live, coverage through a AAA club may give you optional add-ons and access to valuable perks like a disappearing deductible and claims-free rewards. You might also get cheaper coverage with this provider, although that wasn't the case for me. However, AAA's car insurance products, pricing, and customer service will vary based on the club issuing the policy.

For those who are looking for more consistency, Nationwide stands out by offering lower car insurance rates and better customer satisfaction than AAA. It's also more widely available across the country.

How we evaluate products

FinanceBuzz researches a number of factors in each auto insurance provider to create our reviews. These factors include cost and discounts, complaints and customer satisfaction, coverage, and ease of use. We also gather information from sources such as Insurify, J.D. Power, AM Best, the National Association of Insurance Commissioners (NAIC), and the Better Business Bureau to ensure we provide the most useful information to our readers.

Nationwide pros and cons

Learn more in our Nationwide review.

AAA pros and cons

Learn more in our AAA review.

Which company is better?

Nationwide is one of the country's best-known insurers, but it's surprisingly not available everywhere. Residents of Alaska, Hawaii, Louisiana, and Massachusetts don't qualify for Nationwide car insurance policies.

AAA is better known as a membership club and roadside assistance service. However, through its regional partners, you can get insurance coverage from AAA in certain states. Availability, coverage, cost, and optional add-ons vary by the issuing club.

For example, my local club is the Auto Club Group, which serves residents in Puerto Rico and these 14 states: Colorado, Florida, Georgia, Illinois, Indiana, Iowa, Michigan, Minnesota, Nebraska, North Carolina, North Dakota, South Carolina, Tennessee, and Wisconsin.

If you live in a state where both Nationwide and AAA car insurance are available, consider how the companies compare in terms of financial stability, customer satisfaction, and accessibility.

	Nationwide	AAA
AM Best	A (Excellent)	A+ (Superior)
J.D. Power claims satisfaction	728/1,000	Varies from 692/1,000 (Automobile Club Group) to 706/1,000 (Auto Club of Southern California)
BBB	A+ (Accredited)	A+ (Accredited)
NAIC complaints (private passenger)	0.70	N/A

Financial stability

When you buy any insurance product — from car insurance to life insurance — you need to know that the company is stable and financially able to pay out any claims. AM Best is a credit rating agency that evaluates insurers' financial strength. AAA has a slight edge over Nationwide, but both insurers are rated "A" (Excellent) or higher.

Customer satisfaction

When it comes to customer satisfaction, Nationwide has the edge over AAA. Nationwide ranked fourth out of 21 insurers in the 2024 J.D. Power U.S. Auto Claims Satisfaction Study, while AAA's performance varied by club.

For example, the Auto Club of Southern California scored well; it was 7th out of 21 insurers. However, other clubs didn't perform as well. My club, the Auto Club Group, was 12th, with a score below the segment average.

According to the NAIC, Nationwide receives a lower-than-average number of complaints than expected for an insurer of its size. Since complaint data varies by AAA club, there's no overall NAIC complaint index for that insurer.

Accessibility

Nationwide allows you to get quotes online, over the phone, or through an agent. The company has over 11,000 agents located throughout the country.

With AAA, accessibility varies by club, though my local club allowed me to get quotes online or speak with an agent.

Which company is cheaper?

Comparing rates between Nationwide and AAA is difficult since AAA's rates can vary significantly by club. Nationwide generally has rates below the national average, but it's not one of the cheapest insurance companies. CSAA, one of AAA's regional clubs, charges much less on average than Nationwide for its policies, but that might not be the case for your local club.

Just for some context, though, here's a look at Nationwide's national averages broken down by driver type:

And here are CSAA's averages, but remember, these rates are representative of just one AAA club and may not line-up with what your local provider quotes:

Clean driving record

To try to get a better idea of AAA's rates in my area, I requested a quote through the Auto Club Group for my 2024 Mitsubishi Mirage.

I have a clean driving record, and AAA quoted me $216 per month for a full coverage policy — about 11% higher than the national average.

By contrast, Nationwide's policies average $176 per month for full coverage and $84 per month for liability-only insurance.

Speeding ticket on driving record

After a speeding ticket, your rates will usually increase. While AAA's rates after a speeding ticket will vary, liability-only coverage averages $100 per month with CSAA. With Nationwide, the same policy averages $103 per month.

At-fault accident on driving record

Similarly, Nationwide is relatively affordable after an at-fault accident. Its liability-only policies increase to $107 per month, which is still less than the average for all insurers. CSAA's liability policies average a bit higher at $110 per month.

DUI on driving record

Nationwide tends to be more affordable than several other insurers if you have a DUI on your record. Its liability-only policies average $135 per month. However, CSAA is slightly cheaper at $129 per month.

Teen driver

Teen drivers tend to pay less with Nationwide than with many other companies. The average liability-only premium is $160 per month. But if CSAA serves your area, it's cheaper with a $121 average monthly premium.

Senior driver

While neither Nationwide or AAA offers a discount for seniors, senior drivers may save money by choosing CSAA over Nationwide, but again, your rates will vary based on what AAA club you'll be getting insurance through. 

Discounts

Both Nationwide and AAA have multiple discount programs that you may be able to use to save money on your car insurance policy. With AAA, available discounts may vary by issuing club, but its list of discounts tends to be extensive. For example, you can get a loyalty discount and save money if you have certain vehicle safety features.

Discount	Does Nationwide have it?	Does AAA have it?
Loyalty	No	Yes
Multi-policy/bundling	Yes	Yes
Multiple vehicle	Yes	Yes
Airbag	No	Yes
Anti-lock brakes	No	Yes
Anti-theft	Yes	Yes
Safe driver	Yes	Yes
Good student	Yes	Yes
Away-from-home student	No	Yes
New car	No	Yes
Pay in full	Yes	Yes
Automatic payments	Yes	Yes
GAP insurance	No	Yes
Senior	No	No
Military	No	No
Defensive driving course	Yes	Yes

Nationwide SmartRide vs. AAADrive

Telematics or usage-based insurance (UBI) programs can be excellent ways to lower your car insurance premiums. These programs use devices or mobile apps to monitor your vehicle usage and driving habits, and those who drive conservatively can save money.

Nationwide has two programs:

• SmartRide: With SmartRide, you can qualify for a 10% discount just for signing up for the program. If you drive safely, you could slash your premiums by as much as 40% at policy renewal. Since this is a discount program, drivers never see increases under SmartRide.
• SmartMiles: SmartMiles is a pay-per-mile insurance policy for drivers who cover fewer-than-average miles per year. SmartMiles isn't available in Alaska, Hawaii, Louisiana, New York, North Carolina, or Oklahoma.

Some AAA clubs offer UBI policies. The Auto Club Group has AAADrive, a program that uses a mobile app to monitor your driving. It provides real-time feedback, helping you become a better driver over time. You could qualify for insurance discounts at renewal by driving safely.

Coverage

Nationwide offers a long list of coverage options, including standard coverages like collision, comprehensive, liability, and underinsured/uninsured motorist insurance. It also offers guaranteed asset protection (GAP), which is often required for financial protection in case you total your leased or financed vehicle or have it stolen.

With AAA, coverage depends on your club. Auto Club Group has many of the same coverage options as Nationwide, including GAP protection. Plus, it has optional add-ons, such as:

• Enhanced exterior repairs: This option allows you to repair your car with original exterior parts from the manufacturer rather than aftermarket parts.
• Enhanced total loss replacement: If your car is declared a total loss after an accident, AAA will pay to replace it with a newer model.
• Rideshare coverage: This is useful if you drive for a rideshare or delivery service.

	Nationwide	AAA (Auto Club Group)
Collision	Yes	Yes
Comprehensive	Yes	Yes
Liability	Yes	Yes
Medical payments	Yes	Yes
Uninsured/Underinsured	Yes	Yes
Rideshare	No	Yes
RV insurance	Yes	Yes
ATV & off-road vehicle insurance	Yes	Yes
Motorcycle insurance	Yes	Yes
Antique/collector cars	Yes, through Hagerty	No
GAP	Yes	Yes
Mexico coverage	No	No

FAQs

Bottom line

Both Nationwide and AAA are reliable, reputable insurance companies offering broad coverage options. However, Nationwide is a major brand available in most states, while AAA's policies, costs, and additional benefits vary by the issuing club.

For those focused on consistency and affordability, Nationwide may be the better choice. If you want more personalized coverage or add-ons like total loss replacement, AAA may be a better fit. You should request rates through your local club since AAA coverage may also be cheaper.

Before choosing any company, get quotes from the best car insurance companies to explore your coverage options.