Pros and drawbacks of USAA auto insurance

The benefits and drawbacks of purchasing auto insurance through USAA.

Advantages Lowest-cost liability-only plans. The national average for stellar customer satisfaction is more than 30% higher at USAA. Several of the highest ratings obtained from J.D. Power’s customer surveys.
There is no deduction for monthly payments. If you pay your premiums monthly as opposed to per term, USAA doesn’t charge you extra, in contrast to other insurers.

auto insurance us

restricted suitability. Only veterans and their family are eligible for these policies.

Not any physical offices. Sundays and public holidays are not when customer assistance is available.

No coverage for gaps. Car replacement assistance, which is more costly than gap insurance but can pay more than your car’s actual cash value, is provided by USAA.

Who can apply for USAA?

You must enroll in USAA in order to obtain a policy. Usually, membership is restricted to:

Officers on active duty and enlisted staff
Enlisted personnel and officers in the National Guard/Reserve
Candidates for officers in commissioning programs
retired or divorced military individuals
Offspring and partners of active USAA members
Military members who were separated had to have gotten an Honorable Discharge or above.

Kind of USAA auto insurance

Veterans and families of military personnel can apply for USAA in all 50 states as well as Washington, D.C. Policies are offered for motorbikes, motorhomes, yachts, bicycles, and other vehicles in addition to cars.

fundamental protection

These plans, collectively referred to as full coverage auto insurance, are normally necessary if you loan or lease your vehicle.

Liability: Liability insurance covers losses in the event that you cause an accident and is the bare minimum of coverage permitted by most states.

Collision: Covers replacement or repair costs for your car following an accident.

Comprehensive: Covers losses or damages other than those resulting from collisions, such as theft, weather-related damage, and running into an animal.

Added protection

Certain states may mandate these policies, while others may not offer them or make them unavailable.

Replacement aid for cars: Gap insurance pays for the difference between the amount due on an automobile and its market value, but in the event that it is totaled or stolen, it also pays for a car’s full market value.
Accident forgiveness: One at-fault accident won’t result in an increase in your USAA rates if you haven’t had an accident for at least five years.

MedPay, also referred to as medical payments insurance, pays for medical expenses for you, your passengers, and any pedestrians, regardless of who is at blame.

Protection against personal injuries: PIP, or no-fault insurance, can pay for accident-related burial expenses, child care expenses, and lost income.

Get assistance with jump starts, fuel deliveries, lockouts, flat tires, towing, and winching when you need roadside assistance.

Rental car insurance: USAA will pay for the cost of a rental automobile while your vehicle is being repaired if it is damaged in a covered accident.

Insurance for ridesharing: Most of the time, ridesharing firms only insure drivers once they accept a ride request. This add-on broadens the scope of coverage to include any period while you use the rideshare app, including while you’re awaiting a request.

Repairs and medical expenses are covered in the event of an accident involving a driver who has little or no insurance by uninsured/underinsured motorist insurance. (Most states in the United States need it.)

Rates for USAA auto insurance

The USAA has far lower rates than normal. The average annual premium for a 40-year-old male driver with excellent credit and no moving violations is $1,709 for full coverage and $435 for minimal coverage. This contrasts with the national average, which is $637 for liability-only insurance and $2,299 for complete coverage.

However, a number of criteria, including your age, location, driving record, and many more, may affect your customized quotation.

DriverProgressive annual estimateIndustry average

drivers at high risk

Those who have been involved in at-fault collisions and speeding citations usually pay more for insurance. In addition to having cheaper premiums than other insurance, USAA will accept drivers with DUIs, something that other insurers do not.

DriverProgressive estimateIndustry average
40-year-old with clean record$1,709$2,299
40-year-old with speeding ticket$2,082$2,773
40-year-old with at-fault accident$2,484$3,280
40-year-old with DUI conviction$3,296$4,399

USAA auto insurance savings

USAA provides numerous cost-cutting incentives. Certain policies might not be combinable, and not all are available in every state.

Anti-theft devices: Installation of a car alarm or other security systems is discounted.

Autopay: By setting up autopay for your premium payments, you can save up to 3%.

Basic driver education: After finishing a basic driver education course, qualified drivers are eligible to save.

A discount is offered for finishing an authorized defensive driving course.

Deployment/storage: If you store your car while it’s being deployed, you can save up to 60% on storage fees (not available in Virginia, North Carolina, or Hawaii).

Excellent student: Up to 10% off is available to drivers under 25 who maintain a B or higher grade average.

Discount of up to 10% is offered for loyalty after three years as an insured.

Multi-vehicle: USAA offers a discount to customers who insure two or more automobiles.

Multi-policy: Customers can save up to 15% when they combine their USAA auto and house insurance.

Military on-base: If you store your vehicle on a military installation, you can receive up to 15% off comprehensive coverage.

Newer vehicle: Three-year-old or younger automobiles receive a discount.

Pay as You Drive: This pay-per-mile plan, which is geared toward individuals who don’t drive much, combines a fixed, cheaper base charge with a variable rate that is based on how far and how safely you drive.

Discount for at least five years of safe driving with a clean driving record

SafePilot: Track your driving behaviors with USAA’s usage-based insurance app, and receive up to 30% off for safe driving. (Not available in Delaware, New Jersey, or California.)

MyUSAA Legacy discount: If you take over as the new policyholder and were previously covered by your parent’s USAA insurance, you can receive up to 10% off.

accessible to motorists under 25 who haven’t committed any significant infractions in the previous three years.

Compare auto insurance costs.

USAA client contentment

USAA is frequently commended for its excellent customer service. In the J.D. Power 2024 customer survey, it received 711 out of a possible 1,000 points, which is much higher than the industry average of 676. USAA received a score of 900 out of 1,000 in a different poll on vehicle insurance claims, which is higher than the average of 878.

USAA received the highest rating possible from the Better Business Bureau (A+) for its public relations efforts, which included responding to customer complaints.

A.M. Best and S&P Global, two credit rating organizations, have given the company strong rankings, attesting to its sound financial standing and reliability as a claim payer.

Additional USAA insurance options

Despite being established by Army officers to cover their cars, USAA provides a wide range of other insurance options, such as:

insurance for homeowners

tenants’ insurance

Condo insurance

insurance against flooding

life assurance

Coverage under an umbrella

Insurance for long-term care

Commercial insurance

Embrace offers pet insurance.

Consumers can save up to 15% when they combine their auto and house insurance. In addition, USAA provides banking services and credit goods, such as vehicle loans and credit cards.

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