Costco car insurance review 2026

Core Insights - Costco has partnered with American Family Insurance to provide discounted car insurance to its members, offering benefits such as free roadside assistance and lifetime renewability for Executive Members, although the coverage is described as simple and lacks a mobile app [1][2][22]. Group 1: Insurance Offerings - Costco's auto insurance includes standard coverage options like liability, comprehensive, and collision insurance, with exclusive discounts for members, particularly for Executive Members who may receive enhanced benefits [3][11]. - The insurance features accident forgiveness after three years without an incident and includes optional emergency roadside assistance, which is free for Executive Members [11][22]. - There are nine types of auto insurance coverage available through Costco, including new car replacement and GAP insurance [13][11]. Group 2: Customer Satisfaction and Pricing - American Family Insurance, the parent company, has the lowest average monthly premium for full coverage at $151 and for basic liability-only coverage at $89, making it competitive among major insurers [15][16]. - J.D. Power's customer satisfaction scores indicate that American Family scored better than average in three out of five regions, while CONNECT by American Family was rated better-than-average in California [8][12]. Group 3: Discounts and Claims Process - Costco members can qualify for various discounts, including good driver, defensive driver, and multi-vehicle discounts, which can lower premiums significantly [17][12]. - Claims for Costco car insurance are managed by American Family Insurance, allowing members to file claims online or via phone, with a claims representative typically contacting them within one business day [18][20].