USAA auto insurance review: Great for military families
USAA offers quality car insurance at some of the lowest rates in the industry, but coverage is only available to military members and their families.
By
Rachael BrennanRachael BrennanSenior Editor & Licensed Auto Insurance ExpertRachael Brennan is a senior editor and a licensed auto insurance expert at Policygenius. Her work has also been featured in MoneyGeek, Clearsurance, Adweek, Boston Globe, The Ladders, and AutoInsurance.com.
Edited by
Anna SwartzAnna SwartzSenior Managing EditorAnna Swartz is a senior managing editor who specializes in home, auto, renters, and disability insurance at Policygenius. Previously, she was a senior staff writer at Mic and a writer at The Dodo. Her work has also appeared in Salon, HuffPost, MSN, AOL, and Heeb.
Our proprietary ratings methodology takes multiple factors into account, including customer satisfaction, cost, financial strength, and policy offerings. See the “Ratings methodology” section for more details.
5.0
AM Best rating
AM Best is a global credit rating agency that scores the financial strength of insurance companies on a scale from A++ (Superior) to D (Poor).
A++
Cost
Using a mix of internal and external rate data, we grade the cost of each insurance company's premiums on a scale from least expensive ($) to most expensive ($$$$$).
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The bottom line
USAA is an excellent auto insurance company, with a wide variety of coverages and some of the lowest rates in the industry. USAA has plenty of auto insurance discounts as well, including the SafePilot program, which uses a tracking app to offer lower rates for safe driving behavior. USAA also offers its members numerous discounts and benefits through other companies, like Goodyear and Disneyland.
USAA is known for excellent customer service, with high scores on J.D. Power’s 2022 U.S. Auto Claims Satisfaction Study and U.S. Insurance Digital Experience Study to prove it.
The biggest downside for car insurance coverage through USAA is that it isn’t available to everyone; only active and retired members of the U.S. military (and their families) are eligible for coverage through USAA. But if you do qualify for USAA auto insurance thanks to your service, we recommend at least considering it.
Only available to military members and their families
Basic coverages offered
USAA offers all the basic types of coverage, including:
Liability coverage: Covers the costs if you damage someone else's car or injure another driver in an at-fault accident.
Personal injury coverage: Also known as PIP, this helps cover the cost if you or your passengers are harmed in an accident. PIP is required by law in no-fault states.
Uninsured/underinsured motorist coverage: Also known as UM/UIM, uninsured/underinsured motorist coverage pays for your repair bills or medical expenses if you’re in an accident caused by a driver who doesn’t have car insurance, or whose insurance doesn’t cover the full extent of the damage. UM/UIM is required in some states.
Comprehensive coverage: Covers the costs of non-collision damage done to your car, including weather, flood, fire, falling objects, animal-related damage, vandalism, and theft.
Collision coverage: Covers the cost of the damage to your car in the case of an accident, no matter who is at fault.
Additional coverages offered
USAA doesn’t list all of its available coverage types online, but it does mention the following coverages:
Roadside assistance: Covers towing, tire change, fuel delivery, jumpstarts, and lockout services if your car breaks down.
Rental reimbursement: Covers the costs of a rental car while your car is being repaired after a covered accident.
Rideshare coverage: Called Rideshare gap coverage with USAA, it covers drivers who are “in the gap,” referring to rideshare drivers who are on the clock but haven’t yet picked up a passenger.
Gap coverage: Gap coverage pays the difference between the actual cash value (ACV) of your car and the amount left on your loan or lease if your vehicle is totaled in an accident. USAA calls gap coverage total loss protection.
USAA also offers a variety of other types of insurance policies that can be bundled with your auto insurance for savings, including:
To determine rates for USAA, we used data provided by Quadrant to compare the average cost of a full coverage policy (50/100/50 coverage limits and $500 deductibles for comprehensive and collision coverage) to competitor rates for the same coverage with the same driver profile (single drivers aged 30, 35, and 45 driving a 2017 Toyota Camry LE about 10,000 miles per year.)
Customer experience
4.8/5
USAA scored 890 out of 1,000 on J.D. Power’s 2022 U.S. Auto Claims Satisfaction Study, which is well above average for the industry. In J.D. Power’s 2022 U.S. Insurance Digital Experience Study, which looks at customer satisfaction with a company’s digital offerings, USAA received a 736, the second highest score of any major insurance provider we reviewed. And according to the National Association of Insurance Commissioners (NAIC) National Complaint Index Report, USAA also had slightly more customer complaints than average in 2021.
Coverage options
3.1/5
USAA offers 13 different types of auto insurance coverage, giving it a good score when it comes to coverage options. In addition to the basic types of auto insurance coverage, including liability, comprehensive, and collision coverage, USAA offers add-ons like roadside assistance, rideshare coverage, and rental car reimbursement.
Financial strength
5.0/5
USAA has superior financial ratings, scoring an A++ with AM Best, AA+ with S&P, and Aa1 with Moody’s. This means USAA is in an excellent financial position to pay out its customers’ claims.
USAA’s unique perks and benefits
USAA offers a number of extra perks and benefits to auto insurance customers, including:
Car repair benefits: USAA offers discounts on tires through Goodyear, as well as providing access to digital platforms like RepairPal and CarAdvise to help repair and maintain your vehicle.
Home benefits: USAA members qualify for discounts on moving services through Pods, Enterprise Truck Rental, and Budget Truck Rental. USAA also offers home security discounts through ADT and SimpliSafe, as well as home repair discounts through Angi and Contractor Connection.
Screening benefits: If you’re renting out your property or hiring help around the house, USAA offers a discount on SmartMove tenant screenings and ShareAble for pre-employment screenings.
Personal benefits: USAA offers discounts with TurboTax, FedEx, GoodRx, Consumer Cellular, and other services.
Entertainment benefits: Discounts are available to Disneyland and other theme parks, as well as hotel, flight, resort, and cruise discounts through Member Travel Privileges.
How much does USAA auto insurance cost?
USAA costs an average of $87 a month ($1,044 a year) for a full coverage car insurance policy with $50,000 per person and $100,000 per accident in BIL coverage. When it comes to cost, USAA has some of the lowest auto insurance rates in the nation, significantly less than the national average premium of $1,638 for a policy with the same coverage limits.
Coverage amount
Average annual rate for USAA
Required state minimum
$369
Full coverage ($50,000/$100,000)
$1,044
Full coverage ($100,000/$300,000)
$1,191
Car insurance rates are based on a number of factors, including your age, ZIP code, and driving history. The best way to know how much you’ll pay for car insurance is to get a quote, and the best way to make sure you’re getting the cheapest possible rate is to compare quotes from multiple companies.
What discounts does USAA offer?
USAA offers several ways to save money on your car insurance through available discounts, including:
Bundling discount: Save up to 10% when you bundle auto and homeowners or other USAA property insurance policies.
Military on-base discount: Garage your car on base and save up to 15% on your auto insurance premium with USAA.
Annual mileage discount: Save on your USAA car insurance if you drive less than a certain number of miles per year.
Storage discount: If you put your car in storage and don’t drive it you can earn a discount with USAA.
Automatic payments discount: When you set up automatic payments you can save up to 3% on your car insurance premiums.
MyUSAA™ legacy discount: If your parents have auto insurance with USAA, you could be eligible for up to a 10% discount on your own policy.
Good student discount: In most states, policyholders with teen drivers can earn a discount on their USAA car insurance if their teen maintains good grades.
Multi-vehicle discount: You could qualify for a multi-vehicle discount if you insure two or more vehicles on the same USAA policy.
New vehicle and anti-theft discount: If you drive a new vehicle or one with certain safety features you could earn a discount.
No fees discount: Where most insurance companies charge customers a fee to break their premiums down into monthly payments, USAA allows their customers to choose their payment plan and due dates at no additional cost.
USAA SafePilot
SafePilot is a tracking app that USAA uses to help you save money on your insurance. SafePilot is designed to track your driving behavior and reward you for safe driving, just like other usage-based savings programs offered by similar large car insurance companies.
The better your behavior behind the wheel, the bigger the discount you can earn; USAA customers save 10% just by enrolling in the program, with the potential to save up to 30% at their next renewal.
Once you download the SafePilot app it will automatically track your trips and rate your driving behavior. The app will also let you know if it tracks any unsafe behavior and give you tips on how you can be a safer driver — and save more money — in the future.
The USAA SafePilot app can automatically detect data about your driving, like your speed and whether or not you are the driver or passenger, and it can even sense when you’ve been in an accident. If the SafePilot app detects a car accident, USAA will reach out to see if you are injured and you’ll have the option to dial 911 directly from the app.
USAA auto insurance state availability
USAA offers auto insurance coverage in all 50 states and Washington, D.C. USAA also offers coverage in some U.S. territories and even a few international locations, like France and Italy.
Who qualifies for USAA auto insurance?
USAA doesn’t offer car insurance for everyone. Only certain people qualify for USAA auto insurance, including:
Active military members and their spouses
Retired military members who received a discharge type of Honorable or General Under Honorable Conditions
Eligible former dependents of USAA members
State Department officials, foreign service officers, and their spouses
What to expect with USAA auto insurance
How to get a quote: Active and retired military who want coverage with USAA can get a quote online or call 800-531-8722 for assistance.
Customer service options: Both the USAA website and mobile app allow you to take care of basic customer service needs, like accessing ID cards and updating your personal information. You can also call USAA at 800-531-8722 Monday to Friday, 7 a.m. to 6:30 p.m. (in every time zone) to speak with a customer service representative.
How to file a claim: Customers can file a claim with USAA online or through the USAA mobile app. Drivers who have questions or need help filing a claim can call 800-531-8722 for assistance.
How to cancel your policy: USAA requires customers to call 800-531-8722 to cancel their car insurance policy.
USAA scores 890 out of 1,000 on the most recent J.D. Power Claims Satisfaction survey, indicating that customers are very happy with their claims experience. Also, USAA has some of the highest financial ratings in the industry, which means they should have no problem paying claims for the next several years.
Is USAA insurance a reputable company?
Yes, USAA is a reputable company with excellent financial ratings and customer service ratings. It’s a great option for people who qualify for coverage.
Is USAA car insurance really cheaper?
USAA has some of the lowest average rates in the industry, which means it is cheaper than a lot of competitors. But USAA isn’t available to everyone, so it doesn’t matter how cheap the rates are if you don’t qualify for coverage.
Rachael Brennan is a senior editor and a licensed auto insurance expert at Policygenius. Her work has also been featured in MoneyGeek, Clearsurance, Adweek, Boston Globe, The Ladders, and AutoInsurance.com.
Anna Swartz is a senior managing editor who specializes in home, auto, renters, and disability insurance at Policygenius. Previously, she was a senior staff writer at Mic and a writer at The Dodo. Her work has also appeared in Salon, HuffPost, MSN, AOL, and Heeb.
