USAA Insurance Review & Ratings (2024)

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.

We’re grateful for your interest in delving into our detailed assessment of USAA Home and Car Insurance. If you’re looking for trustworthy and affordable insurance for your home and car, you’ve landed in the perfect place. Plus, for inquiries about USAA occasional driver coverage or to file a windshield claim, don’t hesitate to reach out to the USAA windshield claim phone number.

• Has an A++ rating by AM Best and an AA+ by S&P.
• Superior customer service and ratings.
• Offers various discounts, such as safe driver and good student.

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. You can compare quotes from the best insurance providers in your area by entering your zip code below.

USAA’s Legacy: Serving the Military Community Since 1922

USAA 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.
• 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.

What types of home insurance does USAA sell?

No state requires a homeowners insurance policy, but you might need it if you don’t own your house outright. However, having home insurance is always a good idea. For military members and their families, USAA offers affordable home insurance rates.

USAA offers the following options for homeowners insurance:

• Dwelling coverage. Dwelling coverage protects your home’s physical structure from weather, fire, and vandalism. It also covers attached structures like decks or porches.
• Detached structure. If you have structures that aren’t attached to your home, you’ll need this insurance to protect them from damage.
• Personal liability. If a visitor gets injured on your property and you’re found legally responsible, personal liability helps pay for any lawsuits against you.
• Personal property. There’s more to your home than the walls and roof. Personal property coverage replaces personal items like furniture, appliances, and clothing.
• Loss of use. If damages make your home unlivable, USAA will pay for living expenses like hotel rooms and dining at restaurants.
• Replacement cost. This add-on ignores depreciation on items in your home and pays full price to replace them. USAA includes this add-on in every standard homeowners policy.
• Identity theft. USAA covers up to $5,000 for restoration expenses if someone steals your identity. Identity theft coverage is unavailable in North Carolina.
• Military uniforms. If your uniform gets destroyed or stolen in a covered event, USAA will replace it without charging a deductible.

Besides these basic coverage options, USAA also offers earthquake insurance and home-sharing coverage. Earthquake coverage is a good option for people who live in risky zones, while home-sharing insurance protects you if you use your home for short-term rentals.

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.

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:

• Excellent customer service: USAA is renowned for its exceptional customer service and dedication to its policyholders.
• Strong financial standing: With a solid financial foundation, USAA can fulfill its obligations to policyholders and provide the necessary financial support when needed.
• Wide range of coverage options: USAA offers comprehensive coverage and a variety of add-ons to ensure that you have the protection you need.
• Discounts and savings: USAA 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:

• Membership requirements: To be eligible for USAA homeowners insurance, you must be an active or retired military member, a qualifying family member, or a veteran with an honorable discharge.
• Limited availability: USAA is only available to military members and their families, which means that 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.

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.

Full coverage 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.

USAA often offers the lowest rates for both minimum insurance and full coverage. 

USAA’s rates are usually the cheapest in each state, regardless of other factors. For example, minimum insurance in Florida with USAA is about $33 a month. You’ll pay much more at other companies, with the most expensive option being Progressive at $130 a month.

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.

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. 

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.

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.

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.

How much does 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.

As you can see, 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.

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:

• Safe driver. You can earn a significant discount if you avoid traffic incidents for five years.
• Policy bundling. USAA offers much more than car insurance — you’ll earn a discount if you buy multiple policies.
• Defensive driver. USAA rewards drivers for taking a defensive driving class with a discount.
• Good student. Full-time students under 25 can save money on their insurance by maintaining a 3.0 GPA.
• New vehicle. You’ll earn a small discount if you sign your brand new vehicle up for insurance.
• Driver education. If you take a general driver’s education class, you’ll save on your policy.
• Multi-vehicle. Households with more than one vehicle can save money by adding them to the same policy.
• Low-mileage. USAA charges less for insurance if you drive fewer than 12,000 miles annually.
• Loyalty. You can save money simply by maintaining your USAA policy.
• Vehicle in storage. Made with active duty military members in mind, USAA lowers your rates significantly when you leave your car in storage. You’ll earn a bigger discount if you store your vehicle on a military base.
• Family. You’ll earn a discount if you split off a USAA family policy and start your own.
• Pay in full. If you skip the monthly payments and pay for your entire policy at once, you’ll save a small amount.

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.

What is USAA’s SafePilot?

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 the following behaviors:

• Touching your phone
• Making hands-free phone calls
• Harsh braking
• Speeding
• What time you drive
• Swerving
• Mileage

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 only available in 37 states, so you’ll need to check if you live in an eligible area.

What discounts does USAA offer for home insurance?

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

• Policy bundling. You can earn up to 10% off your monthly bill if you also have USAA car insurance.
• Home security. USAA provides credits to help make ADT security systems more affordable.
• Smart home. Earn a discount by installing certain smart-home features.
• Claims-free. If you go five years without making a claim, USAA will reward you with a 10% discount.

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.

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.

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.

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.

Competitors:

• Geico: 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.
• 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.
• Allstate: 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.
• 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.

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.

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.

Although looking at USAA car insurance and USAA home insurance reviews from customers is an excellent way to learn about the company, you should start with third-party ratings. By looking at third-party ratings, you can learn about a company’s financial strength, customer satisfaction, and ability to resolve complaints.

To start, A.M. Best rates companies by their financial strength, an essential aspect of insurance. The higher the A.M. Best rating, the more likely a company can pay future claims. A.M. Best gives USAA an A++, the highest rating available.

Another important rating to look at comes from the National Association of Insurance Commissioners, which creates ratings based on a company’s complaints compared to its size.

The national average is 1.0 — anything higher means the company gets more complaints than usual. USAA sits at 1.95, meaning it nearly doubles the national rate.

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.

Does USAA sell other insurance types?

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

With USAA, you can purchase the following policies:

• Motorcycle/ATV/UTV
• Boat
• Classic car
• Mobile home/renters/condo/motorhome
• Landlord
• Valuable personal property/collectibles
• Personal or business umbrella
• Life/annuity
• Health/Medicare
• Farm/ranch
• Small business
• Commercial auto
• Dental/vision
• Pet
• Travel
• Aviation
• Bicycle

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.