USAA is one of the best insurance companies for current and former members of the United States military, has an 3.3/5 rating from WalletHub and solid scores from organizations like the Better Business Bureau (BBB) and J.D. Power.
USAA stands for United Services Automobile Association, and the company offers a variety of coverage options, including auto, homeowners and life insurance policies, as well as banking, investment and retirement services. USAA is also known for its competitive rates and generous discounts. However, USAA insurance policies and other services are only available to active duty military members, retired veterans, and their spouses and children.
USAA Insurance Reviews and Ratings
- Reviews on WalletHub: 3.0/5
- J.D. Power: 4.5/5
- NAIC: 2.35
- BBB: B+
- A.M. Best: A++
- S&P: AA+
- Moody’s: Aaa
USAA isn’t the best when it comes to customer service, though. Many consumers have complained about slow communication, feeling ignored, and unsatisfactory settlement offers. Also, the company’s NAIC rating is 2.35, so USAA has received more complaints than the average car insurance provider. The overall high number of complaints lost USAA quite a few points in this category.
To its credit, USAA is on great financial footing, as it earned the highest possible rating of A++ (Superior) from A.M. Best, one of the nation’s leading credit rating agencies for the insurance industry. USAA has also earned A ratings from Standard & Poor’s and Moody’s.
USAA Car Insurance Quotes
|Driver Profile||Average Quote|
|18-Year-Old||$130 / month|
|21-Year-Old||$77 / month|
|45-Year-Old||$53 / month|
|45-Year-Old with a Speeding Ticket||$58 / month|
|45-Year-Old with a DUI||$153 / month|
|55-Year-Old||$52 / month|
|65-Year-Old||$53 / month|
USAA received a score of 30/30 in the cost portion of this review, as its premiums rank in the cheapest quartile among major car insurance providers that WalletHub evaluated. Learn more about WalletHub’s Methodology.
Types of USAA Insurance Policies
- Auto insurance
- Motorcycle insurance
- Boat insurance
- Commercial auto insurance
- Cyber risk protection
- Homeowners insurance
- Renters insurance
- Flood insurance
- Life insurance
- Long-term care insurance
- Valuable personal property insurance
- Professional liability insurance
- Travel insurance
- Umbrella insurance
- Workers compensation
Given USAA’s extensive list of insurance options, as well as its generous discounts for bundling multiple policies, the company scores well in this category. On that note, let’s talk more about USAA’s performance as a car insurance provider.
USAA offers the major coverage options required by states, including bodily injury liability, property damage liability, uninsured/underinsured motorist, collision, and comprehensive. There are also several supplemental coverage options you can add to your policy.
Supplemental USAA Car Insurance Coverage Options:
- Emergency Road Service: Covers 24/7 emergency roadside services, including towing, fuel delivery, jump-starts, tire repairs, and locksmith services.
- Rental Reimbursement: Covers the cost of a rental car (up to the class you choose) while your vehicle is being repaired due to a covered claim.
- Accident Forgiveness: Covers a claim if your household has not had any at-fault accidents in the past 5 years.
- Extra Passenger Protection: Provides personal injury protection (PIP) and covers certain non-medical expenses caused by an auto accident, no matter who was at fault. In addition to medical expenses, it can cover lost wages ($1,250 per month for up to a year), child care expenses ($25 per day up to $750), and funeral expenses (up to $1,000 per person).
While it may be tempting to add all of USAA’s supplemental coverage options, it’s important to only get what makes sense for your situation and your budget. You don’t want to pay for coverage you won’t realistically need. The same goes for the specialty car insurance policies USAA offers, too.
Specialty Types of USAA Car Insurance Policies:
- Rideshare Driver Coverage extends your personal auto policy to protect you while you’re working for a delivery or ridesharing company.
- USAA Collector & Classic Car Insurance: for classic, exotic and muscle cars, as well as kits and replicas, street rods and vintage motorcycles. There are certain driver qualifications and other stipulations for a vehicle to qualify for this coverage (driven on a limited basis for pleasure only, not in races or timed events, and it must be stored properly).
USAA also insures motorcycles, boats, and a variety of other recreational vehicles. Just keep in mind that the availability of these supplemental and specialty insurance options varies by state.
- Multi-policy discount
- Multi-vehicle discount
- Safe driver discount
- Defensive driving discount
- Driver training discount
- Good student discount
- SafePilot discount
- New vehicle discount
- Annual mileage discount
- Vehicle storage discount
- Family discount
- Length of membership savings discount
- Military installation discount
- No payment plan fees discount
While USAA offers more than a dozen discount options, it doesn’t have quite as many as some of its industry peers, so the company didn’t score as well as it could have in this category. Also, keep in mind that not all discounts are available in all states.
With USAA, you can only file a claim online. You can’t file a claim over the phone, and there isn’t even a claims support line to call. This lack of accessibility lost USAA points in this category, per WalletHub’s grading criteria.
You can find some, but not all, key information on the USAA website quickly and easily, so it gets an average score in the transparency department. If you need more information, there’s a live agent you can speak with at 800-531-USAA (800-531-8722), Monday-Friday from 6 a.m. to 10 p.m., and Saturday from 8 a.m. to 8 p.m. CST. There is also an online agent available to chat 24/7 on the website or mobile app.
USAA is a solid insurance company for military members, both active and retired, as well as their eligible family members. USAA scores well when it comes to the types of insurance options and discounts available to customers, but there’s room for improvement in the customer service and claims processing departments. USAA doesn’t have a claims department you can call on the phone, for example.
Summary: USAA Scores by Review Category
|Customer Service & Reviews||10/30|
|Types of Insurance and Additional Service Offered||5/5|
Now that you’re familiar with USAA’s scores in each of our review categories, let’s see how the company compares to top competitors in a handful of key areas. Hopefully, this will help you find the best insurance company for your needs.
USAA Car Insurance vs Competitors
|Average Annual Premium*||$956||$1,060||$1,337||$985|
|Number of Car Insurance Discounts||12||16||11||13|
|Offers Home Insurance||Yes||Yes||Yes||Yes|
|Complaints Score (lower is best)||1.81||1.34||1.28||1.33|
*Average annual premiums are based on a variety of driver profiles. Individuals premiums may differ, but these rates illustrate how costs from these insurers typically compare. Learn more about how these rates were calculated in the methodology section below.
For more car insurance research, check out WalletHub’s Cheap Car Insurance Study. And if you have experience with USAA that you think might help other consumers, you can also write a USAA insurance review.
In order to provide fair, helpful reviews of insurance companies such as USAA that can lead consumers to the best insurance coverage for their needs, WalletHub rates each insurance company in seven major categories: Cost, Insurance Types, Customer Service & Reviews, Discounts, Claims, Financial Stability and Transparency. Below, you can find an overview of what each section in our scoring rubric entails.
- The “Cost” section includes information about how expensive the insurance policies are. USAA’s average premiums and quartile rankings are based on data from California, the largest state USAA operates in. Rate information is provided by Quadrant Information Services. Individual rates will be different.
- The “Insurance Types” section examines what types of insurance policies the company offers.
- The “Customer Service & Reviews” section measures the insurance company’s reputation as well user reviews and information from watchdog organizations.
- The “Discounts” section examines how many and what types of discounts the company offers. It also takes into consideration whether or not there are discounts for bundling policies.
- The “Claims” section examines the ways in which customers can make claims with the policy. It considers whether or not customers can make claims by phone or online, as well as whether or not the company has a 24/7 support line.
- The “Financial Stability” section considers the company’s status with credit rating agencies A.M. Best, S&P and Moody’s.
- The “Transparency” section measures how clearly the insurer discloses key information on its website.
The final score takes these seven categories into account and reflects how close an insurance company is to WalletHub’s definition of a 5-star insurer. For more information, please read WalletHub’s full insurance company methodology.