Lilah Butler, Car Insurance Writer
@lilah_c
USAA subrogation is the process through which USAA tries to recover money from the at-fault driver's insurance provider after paying a policyholder for a claim. If USAA subrogation succeeds, the policyholder will receive a refund for some or all of their deductible.
USAA does not disclose how long subrogation usually takes, since it varies by state and incident. Across the industry, subrogation takes six months, on average, though it can take longer for severe accidents, especially those involving injuries or disputed fault.
Factors Affecting How Long USAA Subrogation Takes
- State laws: Most states require claims to be paid within 25-45 days, though some allow up to 75 days or do not have a specific timeframe.
- The complexity of a claim: Subrogation after a serious, multi-vehicle accident generally takes longer than it would for a minor crash.
- Whether there are injuries: Accidents involving injuries take longer to subrogate than wrecks that only result in property damage.
- Fault determination: Subrogation will go faster if fault is discovered or admitted quickly, whereas disputes over fault can cause delays.
For more information, check out WalletHub's guide to subrogation.
People also ask
What is an example of subrogation?
An example of subrogation is when a car insurance company pays out a claim to a policyholder before fault is determined and then attempts to recover their costs from the other driver. Subrogation is the legal process by which insurers receive compensation from an at-fault party. Subrogation also occurs with business/general-liability insurance.
Simple Example of Subrogation in Car Insurance
Driver A hits Driver B, who did nothing wrong. Driver B files a claim...
read full answer by WalletHub, Financial CompanyDo I have to pay subrogation?
No, you do not have to pay subrogation if you have car insurance. Subrogation is when an insurance company recovers money that they paid out in a claim when their policyholder was not at fault, and if the drivers involved are insured, the process of subrogation will take place between their insurance companies. If the at-fault driver was uninsured, however, the other driver’s insurance company might attempt to make them pay for the damage out...
read full answer by WalletHub, Financial CompanyAre USAA insurance rates competitive?
Yes, USAA insurance rates are competitive, as the company is one of the 10 cheapest auto insurers nationally, according to WalletHub analysis. USAA car insurance customers pay an average of $487 per year for coverage. USAA's car insurance rates are based on your driving record and experience, along with factors like the type of car you drive, your ZIP code, your insurance history, and more. Your coverage and deductible choices also impact your final quote,...
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