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This auto insurer is a good fit for: Military members looking for the lowest auto rates. In operation since 1922, USAA has been protecting members (and former members) of the military and their families for nearly 100 years.
Monthly premium costs:
USAA rates are among the lowest in the industry. USAA members who switched from another insurance carrier saved an average of $707 a year, according to the company.
Based on the personal experiences we have gathered from USAA members, the insurer is a great choice for members who only want to insure their auto. Once a member owns a home (or other property) and wants to bundle coverage, they can sometimes find a better rate with another carrier. While this is not always the case, the ability to pay less with another carrier must be weighed against USAA's excellent customer service and the fact that they cover their members no matter where they are stationed in the world.
Love USAA? Check out The Ascent's USAA credit card review.
Each year, J.D. Power conducts an Auto Insurance Satisfaction Study. The company breaks the study down into 11 regions across the U.S. to learn which insurer has the highest customer satisfaction ratings in each region. In their 2021 study, USAA had more satisfied customers in all 11 regions -- a feat rarely accomplished by any other company.
USAA reports that their customers can save up to 10% by bundling home and auto insurance. In addition, USAA offers discounts for everything, from good students to family policies.
At no additional cost, members can opt for a flexible, affordable payment plan rather than pay six months' worth of premium at once.
USAA members can be stationed anywhere around the globe and know that their insurance follows them.
AM Best gives USAA a financial strength rating of A++ (superior) and S&P Global Ratings awards USAA auto insurance with a AAA rating. What this means is that members know their insurer has the financial resources to back claims.
Not everyone is eligible to take advantage of USAA's low rate and top-notch customer service. Here's a rundown of who can become a member of USAA:
Those who aren't eligible for USAA but want a highly ranked auto insurer: Geico provides some of the least expensive premiums in the industry.
For those who like perks: Liberty Mutual's perk offerings, like accident forgiveness and better car replacement, make it an attractive alternative for drivers looking for worry-free coverage.
At a glance, USAA beats the competition in auto insurance premiums. Still, it pays to shop around -- particularly for drivers who plan to bundle coverage. Many insurance companies, including Geico and Progressive, offer a military discount to their customers. Check their rates before deciding if USAA provides the lowest premium costs in your situation.
While premiums that fit your monthly budget matter, don't allow a low price to be the sole determining factor. Financial stability and customer satisfaction play a role in determining the best coverage for drivers. After all, inexpensive coverage that does not pay out when there's an accident does no good.
USAA offers a wide range of discounts, including:
USAA is the leading brand for customer satisfaction, according to J.D. Power, and has an A++ rating with A.M. Best and a AAA rating with S&P Global Ratings for financial strength.
Those who don't have access to a USAA membership can consider another nationwide insurer, like State Farm, Geico, Progressive, or Liberty Mutual.
Our Insurance Expert
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