USAA Insurance Review & Ratings (2024)

Our USAA insurance review found USAA an excellent choice for active or retired military members and their families, especially car insurance. While its home insurance isn’t as affordable, it offers valuable coverage.

With a solid reputation, exceptional customer service, and a wide range of coverages, USAA strives to provide policyholders with the protection and peace of mind they deserve.

You should still research your options even if you’re eligible for USAA membership. Comparing quotes is the best way to find affordable insurance. Enter your ZIP code to start.

What You Should Know About USAA

USAA, short for United Services Automobile Association, exclusively serves the United States Military community. Unlike other insurers, it focuses solely on military-affiliated individuals.

Ranked 189th for revenue and 78th for total assets in the Forbes 500, USAA boasts over $113 billion in assets and insured policies exceeding $9.1 billion in 2006. Notably, USAA offers perks like the USAA impact-resistant roof discount and is renowned for its favorable insurance claims reviews.

If you’re looking for trustworthy and affordable insurance for your home and car, you’ve landed in the perfect place.

Whether you own a home or a car, this article will look at the key features, available levels of coverage, price, and customer reviews of USAA home and car insurance.

USAA’s Legacy: Serving the Military Community Since 1922

USAA Car Insurance Coverage Options

As a major insurance company, USAA sells everything you need to meet your state’s minimum insurance requirements and full coverage.

USAA basics include:

• Liability. Liability pays for damage you cause to other drivers and their property in an accident. It doesn’t protect your car, but most states require you to carry a minimum amount.
• Collision. If you want your insurance to pay for repairs to your car regardless of fault, you need collision insurance.
• Comprehensive. There’s a lot more that can damage your car than accidents. Comprehensive insurance protects against fire, weather, theft, vandalism, and animal contact.
• Uninsured/underinsured motorist. While most states require insurance, not all drivers follow the law. This insurance covers you if a driver with inadequate insurance hits you. (Read more: Does USAA car insurance cover damage caused by a driver who is uninsured or underinsured?)
• Personal injury protection. Personal injury protection insurance covers medical bills for you and your passengers after an accident. Some states sell medical payments insurance instead.

These are your basic options for car insurance, and they offer a relatively complete package to protect your car. However, USAA offers a few add-ons if you wish to increase the coverage in your policy, including:

• Rental car reimbursement. If your car gets stuck in the shop after a covered incident, this coverage pays for your rental car.
• Rideshare. People who drive for Uber or Lyft need extra protection for their vehicles. This add-on extends insurance to your working hours.
• Roadside assistance. USAA’s roadside assistance coverage will come to the rescue if you get stranded with a flat tire, dead battery, or other emergencies.

It’s not the longest list of optional coverages, but a USAA policy can give you solid protection on the road. As a bonus, USAA is often the cheapest option on the market.

USAA Types of Home Insurance

No state requires a homeowners insurance policy, but you might need it if you don’t own your house outright. USAA offers the following options for homeowners insurance:

USAA Home Insurance Coverages

Having home insurance is always a good idea. For military members and their families, USAA offers affordable home insurance rates.

Detailed Analysis of USAA Homeowners Insurance Policies

Now, let’s take a closer look at the different aspects of USAA homeowners insurance policies.

When it comes to protecting your home and belongings, USAA offers comprehensive coverage options that go beyond the standard homeowners insurance policy.

Standard Homeowners Insurance Policy

The standard homeowners insurance policy offered by USAA provides coverage for your dwelling, other structures on your property, personal belongings, and liability in case someone gets injured on your property. This means that not only is your home protected, but also any detached structures such as a garage or shed.

For further details on USAA customer service reviews and USAA Eastman, you can consult additional resources or reach out directly to USAA.

USAA offers protection for personal belongings by covering replacement costs, guaranteeing that you can reconstruct your home and acquire new items to replace your belongings without depreciation.

This attribute is particularly valuable because it ensures that in case of a covered loss, you won’t need to compromise with older or pre-owned items. This feature has been positively highlighted in USAA homeowners insurance Florida reviews.

USAA acknowledges that unforeseen events can lead to temporary displacement from your home. That’s why they offer additional living expenses coverage, helping to cover the cost of temporary accommodations if your home becomes uninhabitable due to a covered event.

This ensures you won’t worry about finding a place to stay or the financial burden of unexpected housing costs, positively impacting the USAA homeowners insurance rating.

Optional Add-Ons and Special Coverages

In addition to the standard coverage, USAA homeowners insurance offers several optional add-ons and special coverages that allow you to customize your policy to fit your specific needs.

One notable add-on is the personal property coverage, which provides protection for your belongings both inside and outside your home, particularly beneficial if you have expensive items such as jewelry, artwork, or collectibles. With this add-on, you can have peace of mind knowing that your valuable possessions are safeguarded. This feature is crucial when considering USAA jewelry insurance reviews.

USAA also understands the growing threat of identity theft in today’s digital age. That’s why they offer special coverages such as identity theft coverage, which helps protect you against the financial consequences of identity theft.

This coverage assists with expenses related to credit monitoring, legal fees, and restoring your identity. In a time where personal information is increasingly vulnerable, having this coverage can provide an extra layer of security and peace of mind.

Moreover, USAA offers additional optional coverages such as earthquake coverage, which can be particularly important if you live in an area prone to seismic activity. This coverage can help protect your home and belongings in the event of an earthquake, providing you with the necessary financial support to recover and rebuild. Additionally, it’s wise to consider USAA auto insurance reviews when evaluating their coverage options.

Read more: Does USAA homeowners insurance cover events?

Overall, USAA homeowners insurance policies offer comprehensive coverage options that go beyond the standard policy. With additional add-ons and special coverages, you can tailor your policy to meet your specific needs and have the peace of mind knowing that you are protected in various scenarios.

Pros and Cons of USAA Homeowners Insurance

Now, let’s examine the pros and cons of USAA homeowners insurance, enabling you to make an informed decision.

Advantages of Choosing USAA

There are numerous advantages to choosing USAA homeowners insurance.

One of the major advantages is excellent customer service.  USAA is renowned for its exceptional customer service and dedication to its policyholders. It also has a solid financial foundation, so it  can fulfill its obligations to policyholders and provide the necessary financial support when needed.

USAA also gets high marks for its variety. With a wide range of coverage options, USAA offers comprehensive coverage and several add-ons to ensure that you have the protection you need. It also provides various discounts, allowing policyholders to save on their premiums.

Potential Drawbacks

While USAA homeowners insurance has many advantages, there are a few potential drawbacks to consider.

USAA has membership requirements for eligibility for USAA homeowners insurance. You must be an active or retired military member, a qualifying family member, or a veteran with an honorable discharge. This means that there is limited availability to getting USAA homeowners insurance since not everyone has access to their policies.

Considering the unique benefits and limitations of USAA homeowners insurance, it’s essential to evaluate if it is the right fit for your specific needs.

USAA Insurance Rates Breakdown

USAA has a reputation for excellent customer service, fast claims handling, and affordable rates. Rates are so affordable with USAA that they’re often the cheapest option on the market.

Most insurance companies offer lower rates for specific demographics, while prices are higher for other situations. However, USAA tends to be one of the most affordable options for everyone.

Here’s an explanation on why USAA has such competitive rates, as well as why they expanded their membership eligibility (in 2008):

You can explore how much USAA car insurance rates are in various situations below, but keep in mind that the prices you see might be different.

USAA Car Insurance Rates by Coverage

Most states require a minimum amount of car insurance before you can legally drive or register your car. Commonly, states require liability insurance, but some also require uninsured/underinsured motorist coverage, personal injury protection, or medical payments coverage.

Minimum insurance is your cheapest option when you need to keep your rates down. However, it doesn’t offer the best coverage for your car. You’ll need full coverage insurance to protect it from just about anything the road can throw at it.

Minimum Coverage Car Insurance Monthly Rates by Provider

Full coverage car insurance includes liability, comprehensive, collision, uninsured/underinsured motorist, and medical payments or personal injury protection insurance. While no state requires it, you’ll probably need full coverage if you have a loan or lease on your car.

Full Coverage Car Insurance Monthly Rates by Provider

USAA often offers the lowest rates for both minimum insurance and full coverage. Its rates are significantly lower than the national average — $15 a month lower for basic coverage, and a whopping $60 a month lower for full coverage.

USAA Car Insurance Rates by Age

Age is a crucial factor in your car insurance rates, with young drivers seeing some of the highest prices for any demographic.

Car insurance companies are often wary of young drivers as they’re more likely to file a claim, engage in reckless behaviors, and cause accidents. However, once you establish a driving history, your rates will drop if you keep your record clean.

Although its rates are lower than the national average for every age group, young drivers can particularly save with USAA. For example, the average 17-year-old male can save about $190 a month by choosing USAA insurance.

USAA Car Insurance Rates by Credit Score

Another important factor in your car insurance rates is your credit score. Unless you live in Hawaii, California, or Massachusetts, car insurance companies can check your credit score before offering you a quote.

Insurance companies consider low credit scores risky for two reasons. First, companies consider people with higher scores more likely to pay their bills on time. Second, people with lower scores are statistically more likely to file claims.

Drivers with low credit scores typically pay 60% more for car insurance than people with higher scores, although some companies are less forgiving than others. Car insurance for people with bad credit can be tricky, but you can check how your credit score might affect your USAA rates below.

Full Coverage Car Insurance Monthly Rates by Credit Score & Provider

The national average insurance rate for low credit drivers is about $230 a month. USAA is significantly cheaper, with an average rate of $155. Only Geico and Nationwide offer lower average rates for people with low credit scores.

Although you’ll see higher rates when your credit score is low, you won’t be stuck with high rates forever. If you increase your credit score, your rates will drop.

USAA Car Insurance Rates After a Traffic Incident

Crafting car insurance rates is about predicting risk — the more likely you are to file a claim, the more an insurance company will charge you for coverage. Your driving record is one of the most predictive ways to determine your chance of filing future claims.

People with serious or repeat incidents on their record pay much more for insurance because they’re statistically more likely to be involved in future traffic violations. 

Car Insurance Monthly Rates With One Accident by Provider

Incidents like a DUI or an at-fault accident impact your rates the most, but even minor tickets can increase your insurance bill.

USAA is generally one of the cheapest options when you have something on your record, but you can check how much you might pay below.

Car Insurance Monthly Rates With One Ticket by Provider

As you can see, USAA offers affordable rates after most violations. However, even USAA won’t insure every driver — if you have multiple DUIs or other severe infractions, you might have to look for high-risk insurance instead.

DUI Car Insurance Monthly Rates by Provider

While rates are higher with incidents on your driving record, you won’t be stuck with high prices forever. Your rates will eventually lower if you avoid additional infractions. It takes about three years for at-fault accidents and speeding tickets to fall off your record, while DUIs take about seven.

USAA Home Insurance Cost

While USAA is often the cheapest option for car insurance, other home insurance companies might offer lower prices. USAA is usually more affordable than the national average, but only barely.

Allstate and State Farm typically offer lower prices than USAA. However, you might find that USAA has the most affordable rates for your unique needs — the best way to find out is to compare quotes.

Read more: Does USAA homeowners insurance go up after a claim?

Factors Affecting the USAA Homeowners Insurance Premium

USAA takes several factors into account when determining the cost of your homeowners insurance premium. These factors include:

• Location of your home: The geographical location of your home plays a significant role in determining the insurance premium. Factors such as the proximity to natural disaster-prone areas, crime rates in the neighborhood, and the overall safety of the area impact the premium.
• Age of your home: The age of your home affects the insurance premium as older homes may have a higher risk of certain issues like plumbing or electrical problems.
• Construction materials: The type of construction materials used in your home can affect the premium. Homes made with fire-resistant materials may qualify for lower premiums.
• Level of coverage: The extent of coverage you choose for your home also influences the premium. Opting for higher coverage limits will result in a higher premium.

It’s crucial to highlight that USAA offers various discounts aimed at reducing your premium, thus enhancing affordability for policyholders. This facet underscores their commitment to providing competitive rates, particularly in aspects like USAA pet insurance reviews and USAA property insurance.

USAA Discounts Available

Car insurance companies offer discounts to help you save money, and USAA car insurance discounts feature an excellent selection. Availability varies by state, but you might qualify for the following:

USAA Car Insurance Discounts

When you apply for a USAA car insurance policy, a representative will comb through your details and ensure you get every eligible discount. If these discounts aren’t enough to lower your bill to where you want it, you can also try USAA’s usage-based insurance program SafePilot.

USAA’s SafePilot Program

Today, most insurance companies offer usage-based insurance programs. For example, USAA’s SafePilot program tracks your driving habits to lower your rates. The safer you drive, the more you’ll save. Everyone gets 10% off their insurance for signing up. You can save up to 20% more if you maintain safe driving habits.

SafePilot tracks behaviors including harsh braking, making hands-free phone calls, mileage, speeding, swerving, touching your phone, and noting what time you drive.

While you can save money with SafePilot, it’s not the best telematics program on the market. Most other usage-based programs don’t penalize you for making hands-free phone calls. Additionally, many users complain that the app struggles to differentiate between when you’re the driver or a passenger.

SafePilot is available in all but three states: California, Delaware, and New Jersey. See our USAA SafePilot Review: Pros, Cons, & Alternatives for details.

USAA Home Insurance Discounts

Compared to other major home insurance companies, USAA doesn’t have a long list of home insurance discounts. However, it does offer a few ways to save.

With policy bundling, you can earn up to 10% off your monthly bill if you also have USAA car insurance. USAA will also reward you with a 10% discount for being claims-free; specifically, if you go five years without making a claim.

Improvements to your home can also bring your rewards. You can earn a discount by installing certain smart-home features. And USAA provides credits to help make ADT security systems more affordable.

It might not be the longest list of add-ons, but USAA’s partnership with ADT provides a valuable opportunity to install security in your home.

Read more: Save Money and be Green at Home: Guide to the Three R’s of the Environment

USAA Effortless Claims Process

Ease of Filing a Claim

USAA makes filing a claim a straightforward process, offering multiple convenient methods for policyholders to report their claims. Customers can file claims online through the company’s website, over the phone by speaking with a claims representative, or even via the USAA mobile app.

This flexibility ensures that policyholders can choose the method that suits them best, whether they prefer the convenience of digital channels or a more personalized interaction over the phone.

Average Claim Processing Time

USAA is known for its efficient and prompt claims processing. On average, the company processes claims quickly, allowing policyholders to receive the compensation they need in a timely manner. The exact processing time can vary depending on the nature and complexity of the claim, but USAA’s commitment to speedy resolutions is a key advantage for its customers.

Customer Feedback on Claim Resolutions and Payouts

Customer feedback is a valuable indicator of an insurance company’s performance in handling claims. USAA consistently receives positive feedback for its claim resolutions and payouts. Policyholders often express satisfaction with the fairness and efficiency of the claims process, highlighting USAA’s commitment to providing excellent customer service even during challenging times.

USAA came in fourth place in customer satisfaction for claims (890 out of 1,000 points) in J.D. Power 2022 U.S. Auto Claims Satisfaction Study.

Read more: How do I appeal a car insurance claim with USAA?

Exploring USAA Digital and Technological Advancements

Mobile App Features and Functionality

The USAA mobile app offers a comprehensive set of features and functionalities designed to enhance the overall customer experience. Policyholders can easily manage their insurance policies, view and pay bills, access digital ID cards, and report claims directly through the app.

Read more: How can I pay my USAA insurance premium?

Additionally, the app provides tools for tracking finances, monitoring credit scores, and even offers safe driving features that can lead to potential discounts on premiums.

Online Account Management Capabilities

USAA’s online account management portal is user-friendly and robust, allowing policyholders to access and manage their insurance policies with ease. Through the portal, customers can review policy details, make policy changes, request quotes, and view important documents.

The online account management system ensures that policyholders have convenient and secure access to their insurance information whenever they need it.

Digital Tools and Resources

USAA offers a range of digital tools and resources to help policyholders make informed decisions about their insurance coverage. These tools include calculators for estimating insurance needs, educational resources to understand different types of coverage, and guides on how to navigate the claims process effectively. These digital resources empower customers to take control of their insurance and financial well-being.

How USAA Ranks Among Providers

USAA (United Services Automobile Association) primarily targets active or retired military members and their families. The company is known for offering car insurance, home insurance, and various other insurance products. These are USAA’s four main competitors.

Allstate

Allstate is known for its extensive network of agents and a strong advertising presence. Offering a variety of insurance products, including auto, home, and renters insurance, Allstate provides additional value through a range of discounts available to policyholders. See our article Allstate Drivewise vs. USAA Safepilot: Which Service Is the Best.

Geico

Geico is a prominent competitor known for its diverse insurance offerings, including auto, home, and renters insurance. It distinguishes itself through competitive rates and widespread advertising efforts, attracting a broad customer base that includes military members. Find out more in our article, Geico vs. USAA Homeowners Insurance.

Progressive

Progressive focuses on auto insurance and is recognized for its innovative use of technology, along with competitive rates. Its appeal extends to a diverse customer base, making it a notable player in the insurance market. Learn more in our Progressive vs. USAA Homeowners Insurance Review.

State Farm

State Farm, a major insurance provider in the U.S., stands out for offering a comprehensive range of insurance products, including auto, home, life, and health insurance. It is recognized for its agent-based approach, providing personalized services to its customers. Our article State Farm vs. USAA Renters Insurance provides details.

USAA stands out for its commitment to serving military members, backed by strong financial stability. However, its limited eligibility criteria and product offerings may restrict its market potential.

To remain competitive, USAA could consider strategic initiatives such as expanding eligibility and diversifying its insurance product portfolio.

Additionally, addressing potential weaknesses and staying abreast of industry trends will be crucial for long-term success.

USAA’s Standing

Is USAA a good company? Generally speaking, USAA is an excellent insurance company. Most customers plan to renew their policies with USAA, and overall satisfaction rates are high.

A.M. Best gives USAA an A++, the highest rating available. But the National Association of Insurance Commissioners, which creates ratings based on a company’s complaints compared to its size, has USAA sitting at 1.95, meaning it nearly doubles the national rate. The national average is 1.0 — anything higher means the company gets more complaints than usual.

While USAA gets more complaints, it does remarkably well in the J.D. Power study of overall customer satisfaction. USAA doesn’t technically get a rating due to its membership restrictions, but J.D. Power reports it as one of the best insurance companies on the market.

USAA Other Insurance Types

USAA offers various insurance products to help you insure everything important in your life.

With USAA, you can purchase quite the variety of insurance policies.

Insurance for vehicles goes way beyond regular car insurance. USAA also has classic car, commercial auto, motorcycle/ATV/UTV, and even aviation, boat, and bicycle insurance.

Additional types of insurance regarding property include farm/ranch, landlord, mobile home/renters/condo/motorhome, and valuable personal property/collectibles. They also extend insurance beyond vehicles and property with dental/vison, health/ Medicare, life/annuity, personal or business umbrella, pet, small business, and travel insurance.

USAA is the top pick for best life insurance for military dependents, and also ranks No. 2 for best life insurance for veterans.

USAA also provides banking services, investment management, and retirement planning advice. If you qualify, USAA offers an excellent selection of money management services that can help you at any stage in life.

See how much you could save on coverage by entering your ZIP code into our free quote comparison tool.