USAA Auto Insurance Review: Complete Guide for Military Families

If you’re connected to the military and overpaying for car insurance, you’re not alone. Many eligible drivers don’t realize USAA consistently offers rates 41-51% below national averages while delivering exceptional service designed specifically for military life. Here’s everything you need to know about whether USAA is the right choice for your family.

Why USAA Car Insurance Stands Out for Military Members

USAA ranks first among car insurance companies nationwide, excelling in affordability and customer experience. But what makes this 100-year-old company different isn’t just low rates, it’s how deeply the organization understands military life, from deployment adjustments to overseas coverage.

The Reality: Insurance Built Around Military Service

Most insurers treat military deployment as a complication. USAA’s mobile app and website include military-specific features like deployment suspension options and overseas coverage management. When you’re stationed in Germany or Korea, your policy adapts automatically. When you store your vehicle during deployment, vehicle storage coverage can save up to 60%.

Who Can Actually Get USAA Insurance?

Here’s where USAA differs dramatically from competitors: you can’t just sign up. Eligibility requires active-duty military members, veterans with honorable discharge, or immediate family members of USAA members. This includes:

• Active military personnel: All branches, guard, and reserve members
• Veterans: Honorably discharged or separated under honorable conditions
• Pre-commissioned officers: Service academy cadets and ROTC candidates commissioning within 24 months
• Family members: Spouses, children, stepchildren, and even unmarried former spouses (if the former spouse joined during marriage)
• Widows and widowers of USAA members

If your parent is a USAA member, you’re eligible—even if you never served. This legacy membership feature means military families can pass down access for generations.

How Much Does USAA Car Insurance Actually Cost?

National Average Costs

USAA’s average monthly rates are $78 for full coverage and $31 for minimum liability coverage. Compare that to national averages of approximately $193 for full coverage and $67 for minimum coverage, and the savings become substantial.

Annual Cost Comparison

Real Costs by Driver Profile

Insurance companies price risk differently. Here’s how USAA rates compare across driver categories based on comprehensive industry analysis:

USAA ranks among the cheapest car insurance companies for all driver categories, including those with accidents, DUIs and bad credit.

State-by-State Rate Variations

Insurance costs vary dramatically by location. USAA ranks within the top five most affordable options for 48 out of 51 states and territories. Here are rates in major markets:

High-Cost States:

• Louisiana: $130/month full coverage
• California: $110/month full coverage
• Colorado: $94/month full coverage

Low-Cost States:

• Wyoming: $48/month full coverage
• Hawaii: $53/month full coverage
• North Dakota: $45/month full coverage

14 Ways to Save With USAA Discounts

USAA offers 14 car insurance discounts, with average savings of up to 60%. Here are the most valuable:

Military-Specific Discounts

1. Vehicle Storage Discount: Up to 60% off when storing your vehicle during deployment
2. Military Installation Discount: Up to 15% for vehicles garaged on base (comprehensive coverage only)
3. Family/Legacy Discount: Up to 10% for children of USAA members under 25 getting their own policy

Standard Discounts Available to All Members

4. SafePilot Telematics: Up to 30% for safe driving tracked via mobile app
5. Safe Driver: Up to 30% after maintaining a clean record for 5+ years
6. Good Student: Up to 10% for full-time students under 25 with 3.0+ GPA
7. Multi-Policy Bundle: Variable savings when combining auto with home, renters, or life insurance
8. Multi-Car Discount: Variable savings for 2+ vehicles on one policy
9. Low Annual Mileage: Variable savings for driving less than 12,000 miles yearly
10. New Vehicle Discount: Variable savings for vehicles less than 3 years old
11. Anti-Theft Device: Variable savings for qualifying security systems
12. Defensive Driving: Variable savings after completing approved courses
13. Away From Home Student: Variable savings for unmarried students under 29 living 100+ miles from home without a vehicle
14. Length of Membership: Variable savings for long-time customers

Real Savings Example

One long-term USAA policyholder with three vehicles reported saving $433 per six-month cycle through standard discounts, plus an additional $882 discount for multiple products, on-time payments, and longtime membership, totaling $1,315 in annual savings.

Customer Experience: What Military Families Actually Say

Industry Ratings vs. Reality

USAA ranks first nationwide for overall customer satisfaction, earning perfect scores. However, there’s nuance in the data. In J.D. Power studies, USAA scores 726/1,000 for claims satisfaction and 732/1,000 for digital experience, above average but not officially ranked due to eligibility restrictions.

What Customers Praise

Based on analysis of over 3,000 customer reviews across Reddit, Trustpilot, and military forums:

1. Competitive Rates: “USAA isn’t always the absolute cheapest, but when you factor in their service quality and claims handling, it’s incredible value. I’ve never had a bad experience in 15 years.”
2. Claims Processing: “Totaled my car on a Friday night and USAA had an adjuster out Saturday morning. Fair settlement, no hassles and they even helped coordinate the rental car pickup.”
3. Military Understanding: “Called USAA while deployed overseas about a billing issue. Not only did they fix it immediately, but the rep thanked me for my service and asked if there was anything else they could help with.”
4. Digital Experience: The USAA mobile app receives 4.8 out of 5 on the Apple App Store and 4.7 out of 5 on Google Play.

Common Complaints

1. Rate Increases: Some members report significant premium increases over time, particularly in recent years. This appears consistent with industry-wide inflation trends affecting repair costs.
2. Claims Complexity: CRASH Network gave USAA a D+ grade in 2025, indicating some collision repair shops find the company difficult to work with.
3. Customer Service Hours: Unlike some competitors, USAA customer service isn’t available 24/7 or on Sundays.
4. Claim Denials: Customer feedback indicates USAA faces criticism for claim denials, with policyholders reporting rejections for legitimate damages and lengthy approval processes, though comprehensive industry data on denial rates remains limited.

READ ALSO: GEICO Auto Insurance Review 2025: Is It Really Worth the Savings?

Coverage Options: Standard Plus Military-Specific Features

Basic Coverage

USAA offers all standard auto insurance coverages mandated by states:

• Liability Coverage: Bodily injury and property damage
• Comprehensive: Non-collision damage (theft, weather, vandalism)
• Collision: Damage from accidents
• Medical Payments: Medical expenses regardless of fault
• Uninsured/Underinsured Motorist: Protection when others lack adequate coverage

Valuable Add-On Coverage

USAA provides additional coverage options beyond standard policies:

1. Car Replacement Assistance (CRA): Pays 120% of your vehicle’s actual cash value if totaled or stolen, providing extra money for replacement. Average cost: included with comprehensive and collision coverage.
2. Accident Forgiveness: Free after 5 years accident-free with USAA; otherwise costs average $59 per year. Applies to whole policy, including teen drivers.
3. 24/7 Roadside Assistance: Covers towing (first 50 miles free), jump-starts, fuel delivery, tire changes, lockout service, and stuck vehicle assistance for average cost of $18 per year.
4. Rental Car Reimbursement: Covers rental car costs while your vehicle is being repaired after a covered claim, with average cost of $53 per year and easy Enterprise reservations via app.
5. Rideshare Coverage: Fills coverage gaps when driving for Uber, Lyft, DoorDash or other services, available in most states (excludes Hawaii, Michigan, Montana, North Carolina, New Mexico, New York, South Carolina, Virginia).
6. Total Loss Protection: Covers the difference between what you owe on your loan and your car’s actual cash value if totaled, with average cost of $40 per year, only available for USAA auto loans.

Real-World Coverage Example: Roadside Assistance

One policyholder with three vehicles and a popup camper pays roughly $100 yearly for roadside assistance across all vehicles. They’ve used the service multiple times:

• Jump-start more than 1,000 miles from home
• Mountain camping assistance
• Typical arrival time: within 60 minutes
• No additional costs beyond the premium

The service covers nationwide, works through the mobile app, and includes follow-up communication to ensure you weren’t stranded.

How USAA Compares to Major Competitors

Head-to-Head Comparisons

USAA vs. GEICO USAA edges out GEICO for affordability and delivers superior customer experience. While GEICO is accessible to all drivers, USAA’s military-specific features and comparable rates make it the better choice for eligible members.

USAA vs. State Farm USAA outperforms State Farm across all categories, with significantly lower rates and higher customer satisfaction scores.

USAA vs. Progressive USAA surpasses Progressive across affordability, customer experience and coverage options for military members. Progressive’s Snapshot program competes with USAA’s SafePilot, but USAA’s military discounts provide additional value.

Rate Comparison Table

The Digital Experience: Mobile App and Online Tools

USAA Mobile App Features

The USAA mobile app consolidates insurance management, banking, and investment services:

• Claims Filing: Submit photos, track status, communicate with adjusters
• Digital ID Cards: Instant access for traffic stops
• Roadside Assistance: Request towing or service with GPS location
• Policy Management: Adjust coverage, add drivers, update vehicles
• Payment Processing: Pay bills, set up autopay, view payment history
• Document Access: Download policy documents, view coverage details

App Ratings: 4.8/5 stars on both Apple App Store and Google Play Store

SafePilot Telematics Program

USAA offers two usage-based insurance options:

SafePilot: Offers discounts up to 30% upon renewal for good drivers based on driving score, which depends on factors like braking, phone use while driving, and driving frequency.

SafePilot Miles: Your rate changes monthly based on mileage, with sign-up bonus up to 20% and renewal discounts up to 20% for safe driving.

Both programs use the DriveSafe app to monitor:

• Hard braking events
• Rapid acceleration
• Phone usage while driving
• Time of day driving
• Total miles driven

Online Tools and Resources

USAA.com provides:

• Instant quote generation
• Coverage calculators
• Financial planning tools
• Educational content on insurance, retirement, and military benefits
• Live chat support during business hours

Financial Strength and Reliability

Industry Ratings

USAA received the highest possible score for financial strength from AM Best at A++ (Superior), indicating exceptional ability to meet financial obligations and pay claims.

Additional ratings:

• S&P Global Financial Strength: AA (very strong financial security)
• Moody’s Financial Strength: Aa1 (excellent grade with very low credit risk)
• AM Best Long-Term Credit: aaa (highest credit quality)

Complaint Data

USAA’s NAIC Auto Complaints ratio is 0.72, where 1.00 is average, indicating fewer complaints than expected for a company of its size.

Common Mistakes to Avoid When Choosing USAA

1. Not Checking Eligibility for Family Members

Many people assume only active military can join. If your parent, spouse, or even former spouse was a USAA member, you likely qualify. Check eligibility at usaa.com/join before assuming you don’t qualify.

2. Failing to Bundle Policies

USAA offers home, renters, life, umbrella, and other insurance products. Bundling multiple policies can unlock significant additional discounts beyond individual policy savings.

3. Not Utilizing Military-Specific Discounts

If you’re storing a vehicle during deployment or garaging on base, ensure these discounts are applied. They can save hundreds annually but require documentation.

4. Overlooking Usage-Based Insurance

If you’re a safe driver or drive infrequently, SafePilot or SafePilot Miles can save up to 30%. The app tracks your driving for personalized rates.

5. Not Shopping Periodically

While USAA consistently offers competitive rates, insurance markets fluctuate. Check rates every 1-2 years, especially after major life changes (moving, adding drivers, buying new vehicles).

6. Assuming USAA Is Always Cheapest

USAA ranks as the most affordable option for most driver categories, but individual circumstances vary. Always compare quotes from at least three companies.

How to Get Started With USAA

Checking Eligibility

1. Visit usaa.com/join
2. Provide sponsor information (parent, spouse, or your own military service)
3. Submit required documentation:
   1. DD214 (long version) for veterans
   2. Leave and Earnings Statement for active duty
   3. Government-issued ID (driver’s license or passport)

Getting a Quote

Online: Visit usaa.com/inet/wc/auto-insurance

• Complete online form (10-15 minutes)
• Receive instant quote
• Customize coverage options
• Purchase policy immediately

By Phone: Call 800-531-8722

• Speak with representative who understands military life
• Ask questions about coverage
• Get personalized recommendations
• Complete purchase over phone

Required Information

Prepare these details before requesting a quote:

• Driver’s license numbers for all drivers
• Vehicle identification numbers (VINs)
• Current insurance information
• Driving history for past 5 years
• Coverage level preferences

Typical Approval Timeline

• Quote generation: Instant online or 15-30 minutes by phone
• Policy activation: Can begin same day or future date
• Digital ID cards: Available immediately in mobile app

International Coverage for Stationed Military

USAA provides coverage in select international locations where military members are commonly stationed:

• Germany
• Italy
• United Kingdom
• Japan
• South Korea
• Spain
• Portugal
• Guam
• Puerto Rico
• U.S. Virgin Islands
• Belgium
• Netherlands
• Greece
• France
• Cuba (Guantanamo Bay)
• Azores

This international coverage eliminates the need for separate local insurance policies in many duty stations.

Beyond Auto Insurance: Other USAA Products

Insurance Products Directly Offered

• Home insurance
• Renters insurance
• Condo insurance
• Life insurance (term, whole, universal)
• Umbrella insurance
• Valuable personal property insurance
• Boat insurance
• Travel trailer insurance
• Identity fraud protection

Insurance Through Third-Party Partners

• Motorcycle insurance
• ATV/off-road vehicle insurance
• RV/motorhome insurance
• Pet insurance
• Travel insurance
• Health, dental, and vision insurance
• Classic car insurance

Financial Services

• Banking (checking, savings)
• Credit cards
• Auto loans
• Mortgages
• Personal loans
• Investment services
• Retirement planning
• Financial advising

Bundling Benefits

Combining multiple USAA products can yield substantial savings. One policyholder reported an additional $882 discount per six-month cycle for holding multiple USAA products beyond standard discount savings.

Is USAA Right for You? Final Analysis

When USAA Makes Perfect Sense

✓ You’re active military, veteran, or family member of USAA member 

✓ You value customer service specifically designed for military life 

✓ You deploy regularly and need flexible coverage options 

✓ You’re stationed internationally and need seamless coverage 

✓ You want significantly below-average rates with strong financial backing 

✓ You prefer digital-first insurance with robust mobile tools 

✓ You’re interested in bundling insurance with banking and investments

When to Consider Alternatives

✗ You’re not eligible for USAA membership 

✗ You strongly prefer in-person agent interactions (USAA has no physical offices) 

✗ You need 24/7 customer service including Sundays 

✗ You’ve found consistently cheaper quotes elsewhere for your specific profile 

✗ You primarily use independent collision shops (some report difficulties with USAA)

The Bottom Line

USAA ranks first among car insurance companies nationwide, excelling in affordability and customer experience with top scores in each area. For eligible military families, USAA combines significantly below-average rates with service designed specifically for military life, from deployment adjustments to international coverage.

However, recent customer feedback indicates some concerns about rate increases and claims processing. While USAA maintains strong financial ratings and overall satisfaction scores, it’s worth comparing quotes and reading recent reviews before committing.

The company’s digital tools, military-specific discounts, and century-long focus on serving military families make it difficult to beat for eligible members, but insurance is personal. Your ideal choice depends on your specific situation, coverage needs, and priorities.

Rates change daily, and your profile might qualify for additional savings others don’t receive. If you’re eligible for USAA, request a quote today to see your actual rates.

Frequently Asked Questions About USAA Auto Insurance

Is USAA only for military members?

Yes, USAA membership requires military affiliation. You must be an active-duty service member, veteran with honorable discharge, pre-commissioned officer, or immediate family member (spouse, child, stepchild) of a USAA member. Widows, widowers, and even unmarried former spouses of members may also qualify if the member joined during the marriage.

How much cheaper is USAA than other insurance companies?

USAA charges adults an average of $379 annually for minimum coverage and $924 for full coverage, representing rates 41-51% below national averages. However, individual savings vary based on your driving record, location, vehicle, and other factors.

Can I join USAA if my parent is a member?

Yes. If your parent is a USAA member, you’re eligible for membership even if you never served in the military. This legacy membership feature allows military families to pass down USAA access for generations.

Does USAA have physical offices or local agents?

No. USAA’s purchasing process is exclusively digital or phone-based, with no physical agents or offices. All interactions occur through the website, mobile app, or phone support.

What happens to my USAA insurance if I’m deployed?

USAA offers military-specific features for deployment, including vehicle storage coverage (up to 60% savings), automatic coverage adjustments, and the ability to manage your policy remotely through the mobile app or website.

Does USAA cover rideshare driving?

Yes, USAA offers rideshare coverage that fills gaps when driving for Uber, Lyft, DoorDash or other services. However, it’s not available in Hawaii, Michigan, Montana, North Carolina, New Mexico, New York, South Carolina, and Virginia.

How do I file a claim with USAA?

You can file claims through the USAA mobile app, online at usaa.com, by phone at 800-531-8722, or by fax at 800-531-8669. The mobile app allows you to submit photos, track claim status, and communicate with adjusters.

What is USAA’s SafePilot program?

SafePilot is USAA’s usage-based insurance program that tracks driving habits through a mobile app. It monitors factors like hard braking, phone usage, and driving frequency to determine discounts up to 30% for safe drivers.

Does USAA offer accident forgiveness?

Yes, USAA offers accident forgiveness free after 5 years accident-free with the company; otherwise it costs an average of $59 per year. The coverage applies to the entire policy, including teen drivers.

Can I get USAA insurance if I’m stationed overseas?

Yes, USAA provides coverage in select international locations including Germany, Italy, Japan, South Korea, United Kingdom, and other areas where military members are commonly stationed. This eliminates the need for separate local insurance.

What’s USAA’s customer service availability?

USAA customer service operates Monday through Saturday but is not available 24/7 or on Sundays. For emergencies, the mobile app provides self-service options for claims and roadside assistance.

Does USAA offer discounts for storing vehicles on military bases?

Yes, USAA offers a military installation discount of up to 15% for vehicles garaged on military bases, applicable to comprehensive coverage only.

How does USAA’s Car Replacement Assistance work?

Car Replacement Assistance pays 120% of your vehicle’s actual cash value if totaled or stolen. For example, if your car is worth $10,000, USAA pays $12,000. This coverage requires comprehensive and collision on your policy.

What’s USAA’s financial strength rating?

USAA received A++ (Superior) from AM Best, the highest possible rating, indicating exceptional ability to meet financial obligations and pay claims. The company also holds top ratings from S&P Global (AA) and Moody’s (Aa1).

Can I bundle home and auto insurance with USAA?

Yes, USAA offers multi-policy discounts when bundling auto with home, renters, life, or other insurance products. Policyholders report significant additional savings through bundling beyond standard discounts.

How long does it take to get a USAA insurance quote?

Online quotes are typically instant (5-10 minutes to complete the form). Phone quotes take 15-30 minutes with a representative. You can purchase and activate coverage the same day or schedule a future start date.

Does USAA raise rates over time?

Yes, USAA raises car insurance rates over time due to inflation impacting repair costs, increased claims from distracted driving and rising vehicle technology expenses. However, customer reports suggest increases remain competitive with industry trends.

What documentation do I need to join USAA?

You need acceptable military documentation (DD214 long version, discharge certificate, leave and earnings statement, or DD Form 4) and a government-issued ID such as a driver’s license or passport.

Is USAA good for young drivers?

Yes, USAA is an excellent choice for young drivers, ranking first for overall affordability with rates significantly below national averages. The company also offers good student discounts (up to 10% for 3.0+ GPA) and family/legacy discounts for young drivers.

How do USAA’s rates compare to GEICO and Progressive?

Based on industry analysis, USAA’s full coverage rates average $1,407-$2,059 annually compared to GEICO’s $1,731-$1,983 and Progressive’s $1,960-$2,189. For eligible members, USAA typically offers the lowest rates among major national insurers.

In another related article, Best Home and Auto Insurance Rates in Phoenix