USAA Home Insurance Review 2020

Last modified: November 22, 2020
  • Claims 10
  • Buying 8.5
  • Transparency 9
  • Coverage Variety 8.5
  • Value For Money 9.5
  • OVERALL RATING 9.1
  • Financial Strength A++
  • BBB Rating A-
  • Coverages 4/5
  • Flexibility Policy customization available
  • Discounts 2/5
  • Support Phone, online
  • User Ratings High customer satisfaction
  • Availability All 50 states
  • Pricing Affordable

If you’re looking for comprehensive USAA home insurance reviews, you’ve come to the right place. This post will give you a detailed overview of the company’s profile.

About the Company 

The United Services Automobile Association (USAA) is one of the leading homeowners insurance providers in the United States. It offers extensive insurance coverage for serving and retired military members, their spouses, and immediate children. 

The company has provided insurance, banking, retirement, and investment services since 1922. It operates with a large range of services, including auto insurance, homeowner and renter insurance, life, medical, and dental insurance. It even offers a personal umbrella policy.   

How We Reviewed

To compile this review, we followed the following steps:

  1. We browsed through the website to analyze features, services, and the types of coverage the company offers.
  2. We asked the company for quotes with different conditions.
  3. We analyzed the USAA insurance rating alongside customer reviews to get an idea of the customer satisfaction rate.
  4. We gathered data on the company’s financial strength.

Where Is It Available?

USAA serves all 50 states and Washington, D.C., although the availability of specific products and services varies by state. USAA is a private company that pays its members annual dividends.

 The company has around 34,000 employees worldwide and 12.8 million active members. All the members are military personnel and their spouses, or immediate children. The company has quite a few military affiliations and also has an extensive corporate network with 15 operational companies.

The location of the USAA insurance headquarters is in San Antonio, Texas.  

Home Insurance Coverage Types

The company provides complete basic coverage in its homeowner’s policy as do other service providers. You can also opt for coverage for detached buildings such as the shed, garage, fences, and driveways. The company even provides the option to opt for flood insurance coverage if you live in an area where floods are common. 

The company provides insurance for most weather-related events such as an earthquake and flood. Other covered events are:

  • Theft
  • Vandalism
  • Fire
  • Liability
  • Identity theft 

You can personalize your insurance package. Some of the options you can select are: 

  • Dwelling coverage – if the property is damaged by a covered event, USAA will cover repair and building costs.
  • Home-sharing coverage – the insurance coverage protects you and your guests from damage incurred on your property if you are renting out a room or your entire house.
  • Personal liability insurance – covers accidental injury or damage to another’s property that you are legally responsible for. 
  • Personal belonging coverage – you can get personal property insurance via USAA that covers the repair or building cost of personal belongings if damaged by a covered event.
  • Military uniform coverage – If your uniform gets in a covered event, the insurance company replaces it.
  • Loss of use coverage – if the cost of living rises after you incur a loss covered by the insurance, the company will pay the extra expense amount.

USAA Insurance Pricing

You have to be a member to log in to get a quote. USAA insurance quotes vary by location, coverage options, home type, and other factors. The package is customizable, and you can change it to fit your budget and tailor it for your specific needs. 

USAA Homeowners Insurance Discounts

USAA does not offer an extensive range of discounts. The 3 discounts the company offers are as follows:

  1. Multi-policy discount – you get 10% off your home insurance policy if you already have auto insurance by USAA. 
  2. Claim-free discount – you can save up to 10% on premium if you have not filed for a claim on a renters or homeowners policy in 5 years.
  3. Home age discount – you receive a USAA home age discount, which gets you a lower rate on newer homes.

You can also be eligible for some other discounts depending on various factors, including the location of your home.

  • USAA firewise discount – if you live in an area prone to wildfires and have taken steps to protect your property from excessive damage, you may be eligible for a discount.
  • Impact-resistant roof – you can also become eligible for discounted rates by installing a roof resistant to harsh weather conditions like storms.
  • Discount for protective devices – USAA offers a protective device discount for homes that have functional security and safety systems such as a fire alarm system. USAA has an alliance with ADT Home Security Systems. You can opt for home security and insurance at a discounted price. 
  • USAA membership discount – this is a membership loyalty program, where the longer you have been with the company, the lower your insurance rate will be.
  • Payment record USAA insurance gives you lower rates if you have an excellent credit record and good payment history.

Customer Service and Financial Strength Review

USAA has an excellent market reputation. The company is not BBB accredited but is very active in the resolution of complaints according to the Better Business Bureau. 

USAA insurance company is financially very strong and has an A++ rating from AM Best. The company’s rating by Moody’s Investor Service is an AAA. S&P gives the company an AA+.

According to USAA home insurance reviews, the company is known for its outstanding customer satisfaction rate and feedback on its claims process. 

Customer Support

To contact the company, you can dial the USAA insurance phone number, chat with a virtual agent on the website or you can send them a message by logging into your account. 

The customer service is very responsive, and almost all user reviews praise the company’s short response time and effective resolution of customer complaints.

A customer representative can help you with a variety of functions such as fill out the quotes form, online billing, filing of claims, and changing your coverage options. 

All USAA insurance customer service representatives are extremely courteous and patient according to the majority of user reviews. 

Ease of Buying and Claims Handling

The purchase and claims handling steps are very straightforward. To purchase a policy, you should log into your account and find your financial representatives. They will guide you through the rest of the process.  

Note that USAA does not have any third party insurance sellers so do not fall for anyone claiming to sell their insurance. Directly reach out to USAA insurance company through their customer service number for any queries you may have.

To file a USAA insurance claim, you must log into your account and select the claim option at the top of the screen. You will then fill out a form listing all the details. After you submit it a company representative will contact and assign you a confirmation number.

Comparison With Competitors

Here’s how USAA  compares to its major competitors on the market.

USAA vs GEICO 

GEICO is not an independent homeowners insurance provider. It partners with local vendors to offer the service to its customers. Online user reviews indicate high customer satisfaction, and the company has an above-average rating. In a comparison of the two companies, USAA appears to be a better option. 

USAA vs The Hartford

The two companies are tough competitors with The Hartford having more experience than USAA. They both have 5-star ratings from J.D. Power, but The Hartford does not offer 24/7 customer service, which is a downside. 

USAA vs Farmers Insurance

Farmers Insurance is a good option for those with lower credit scores. Here they may get better rates than with USAA. The latter is better for those with excellent credit scores.

USAA vs Progressive 

Progressive also partners with other companies to provide homeowners with insurance. Unlike GEICO, it ranks very low in terms of customer satisfaction. Progressive also offers the option to build customized policies, but the quality of service is not as good as USAA’s.

Pros & Cons

The Pros

  • Excellent financial strength rating by major agencies. It has the best ratings by J.D. Power, Moody’s, AM Best, and S&P. The customer satisfaction rate is also very high.
  • Mobile app – allows you to buy a policy, make a claim, update your package, and perform all the necessary functions.
  • Affordable rates – you can customize your policy to fit your budget and your requirements.
  • Coverage for all 50 states - USAA has a worldwide network of regional offices.
  • Identity theft insurance – you can opt for this plan with up to $5,000 identity theft coverage included.

The Cons

  • USAA has a B+ rating from the Better Business Bureau.
  • Only available to military personnel, and their families (spouses and immediate children).

Final Verdict

USAA has one of the highest customer satisfaction rates in the industry. It has an excellent rating track record by customers and offers industry-leading prices. You can customize your package to suit your budget and needs. 

FAQs

Does USAA use a credit score for insurance?

The company evaluates the applicant’s creditworthiness but does not check the credit score. 

Do I need to have served or currently be serving in the military to get USAA insurance?

No. You can also get USAA insurance if you are a spouse or an immediate child of a serving or retired military official. You can also get insurance if you are a widow of an officer.

What is covered by USAA homeowners insurance?

The insurance covers damage caused by fire, theft, vandalism, most weather-related incidents, liability, and identity theft. It also covers a range of events depending upon the location of the home, its age, and other factors.

Is USAA a good homeowners insurance company?

USAA is one of the best companies for homeowner’s insurance, as is indicated by the trust customers place in the service and its ratings and reviews by trusted platforms.

Does USAA have homeowners insurance in Florida?

Yes. The company provides insurance coverage in all 50 U.S. states

Does USAA home insurance cover mold?

Yes! The company provides the complete standard home insurance policy, which covers testing, removal, and treatment cost.

Is USAA the cheapest homeowners insurance?

No. It is not the cheapest, but it offers affordable rates, and you can customize your package to suit your budget.

Why is USAA home insurance so expensive?

USAA home insurance reviews show that the company offers affordable rates. In fact, you can get a variety of discounts and can even get a lower rate if you have a high credit score and creditworthiness.

Does USAA give senior discounts?

USAA does not offer senior citizen discounts.