Travel Deal of the Day (January 23, 2008)

Is AAA worth the annual membership fee? The answer to this question depends on how much you travel and, quite frankly, your luck.

AAA charges anywhere from $50 - $100 per year for membership. With a membership, you generally receive a free car towing service (within a limited area), maps and travel discounts. The value of the towing depends on your need to be towed – which likely depends on the age/reliability of your car and luck. If we take the value of the towing and maps out of the equation, then you must analyze the kind of discounts available with AAA.

I usually find that the best AAA discounts relate to car rentals and occasionally hotels. Car rentals usually provide a 10% - 15% discount with AAA. The value of this discount can be quite dubious as I usually find that some other membership club, such as Entertainment Card, CostCo, American Bar Association, AARP or Sam’s Club, provides an equivalent discount. For hotels, the AAA discounts vary quite a bit. Some hotels offer excellent AAA rates. Other hotels offer a very small AAA discount or even no AAA discount. At these same hotels, you may find that the Entertainment Card, AARP card or Priceline/Hotwire will beat AAA.

So, my overall advice is get AAA if you value the towing and will accept any additional travel discounts. But if you do not value the towing, the AAA discounts can be quite sparse, so only get the AAA card if you know of a specific discount that you will use during the year that will pay for the AAA membership fee.