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7 minutes ago, viper154 said:

I cut my car insurance in half with Gieco, they also gave me the best rate I could find for my boat. Home owners I had to go local, all big companies wanted almost double what local companies were quoting. (Hurricane prone area). I still use USAA for banking, although my wife uses Navy Federal for her business and personal account,  no complaints this far. 

We’re the same but use All State Insurance for our auto and a local company for our home owners insurance.  
Use Schwab for all investments.  
My wife uses Eglin FCU for her business accountants and we still use USAA for general banking (checking, savings, credit card).  
 

No complaints…

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So I just switched. Still have USAA for banking but not for insurance. I took the emotion out of it and assumed all insurance companies can have customer service issues from time to time. I just compared rates.

For both home & auto I used my existing USAA coverages and got estimates that matched (apples to apples). I got quotes from Progressive, Geico, Nationwide, Liberty Mutual, All State, Farmers and State Farm. All had easy, online systems for adjusting coverage to match my USAA policies. I examined costs for auto/home bundles and separate policies. I also looked at each company's app just to make sure it didn't suck. I ended up choosing Liberty Mutual (31% less than USAA) for auto and Nationwide (35% less than USAA) for home. Bundling with one company did not save money overall.

Surprisingly, in the comparison USAA had the highest rates by far for both -- and it was even close. They were 24% above the average of all the auto quotes and 17% higher than the next closest competitor. For home they were 22% higher than the average and 16% higher than the closest competitor. For bundling they were better as it seems each company tends to have better rates for one or the other. For bundling they were only 9% above average and within 7% of the next closest competitor. However, the bundling appears to be a red herring as none of the companies had a deal anywhere close to the combined rates when using two separate companies.

With my switch I'm saving so much that I decided to increase my coverage. For example, I was able to reduce my auto deductible to just $250 for each vehicle for both comprehensive and collision, zero deductible for glass, twice the liability, add uninsured motorist, add rental car reimbursement, upgraded towing (100 miles free), and "better car replacement" (next year model newer and 15,000 less miles if car is totaled) and still save 26% over my crappy USAA coverage. For home I increased my overall coverage by $265K, reduced my wind/hail deductible to $1500 (USAA was at $12,500), add increased coverage for guns, tools and jewelry (and a bunch of other extras) plus guarantee rebuilding regardless of building cost. That Cadillac coverage still saved me 26% over USAA's crappy coverage.

What I learned is that I've been wasting a lot of money with my loyalty to USAA and false assumptions about their competitiveness. I recall looking into this 15 years ago and found nobody could come close to their rates. Now they are not competitive. The were significantly higher than every other company. It's also not small change. As a bonus, my USAA Subscriber Savings Account (some profit sharing thing) pays out in full with give me over $10K cash. That's actually a nice incentive to switch.

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So I just switched. Still have USAA for banking but not for insurance. I took the emotion out of it and assumed all insurance companies can have customer service issues from time to time. I just compared rates.
For both home & auto I used my existing USAA coverages and got estimates that matched (apples to apples). I got quotes from Progressive, Geico, Nationwide, Liberty Mutual, All State, Farmers and State Farm. All had easy, online systems for adjusting coverage to match my USAA policies. I examined costs for auto/home bundles and separate policies. I also looked at each company's app just to make sure it didn't suck. I ended up choosing Liberty Mutual (31% less than USAA) for auto and Nationwide (35% less than USAA) for home. Bundling with one company did not save money overall.
Surprisingly, in the comparison USAA had the highest rates by far for both -- and it was even close. They were 24% above the average of all the auto quotes and 17% higher than the next closest competitor. For home they were 22% higher than the average and 16% higher than the closest competitor. For bundling they were better as it seems each company tends to have better rates for one or the other. For bundling they were only 9% above average and within 7% of the next closest competitor. However, the bundling appears to be a red herring as none of the companies had a deal anywhere close to the combined rates when using two separate companies.
With my switch I'm saving so much that I decided to increase my coverage. For example, I was able to reduce my auto deductible to just $250 for each vehicle for both comprehensive and collision, zero deductible for glass, twice the liability, add uninsured motorist, add rental car reimbursement, upgraded towing (100 miles free), and "better car replacement" (next year model newer and 15,000 less miles if car is totaled) and still save 26% over my crappy USAA coverage. For home I increased my overall coverage by $265K, reduced my wind/hail deductible to $1500 (USAA was at $12,500), add increased coverage for guns, tools and jewelry (and a bunch of other extras) plus guarantee rebuilding regardless of building cost. That Cadillac coverage still saved me 26% over USAA's crappy coverage.
What I learned is that I've been wasting a lot of money with my loyalty to USAA and false assumptions about their competitiveness. I recall looking into this 15 years ago and found nobody could come close to their rates. Now they are not competitive. The were significantly higher than every other company. It's also not small change. As a bonus, my USAA Subscriber Savings Account (some profit sharing thing) pays out in full with give me over $10K cash. That's actually a nice incentive to switch.

What liability coverage are you carrying? Last time I looked, none of the online quotes would match the $1M bodily injury and $300k for property I have with USAA.


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5 hours ago, skibum said:

 

What I learned is that I've been wasting a lot of money with my loyalty to USAA and false assumptions about their competitiveness. I recall looking into this 15 years ago and found nobody could come close to their rates. Now they are not competitive.

Not a spear, but just a general comment to anyone browsing in the future that an annual financial self-examination can be a helpful way to avoid losing out.

There are plenty of small charges that creep, and we switched insurance agencies after a similar scenario.

 

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11 hours ago, JBueno said:

Not a spear, but just a general comment to anyone browsing in the future that an annual financial self-examination can be a helpful way to avoid losing out.

There are plenty of small charges that creep, and we switched insurance agencies after a similar scenario.

 

Great point, and I feel pretty stupid for just assuming I was getting a deal. I'll not make that mistake again. These are just businesses making money, and the capitalist world turns on competition. I shouldn't act like a socialist consumer. I dumped the BX and commissary decade ago, and here I am hanging out in front of USAA for nostalgia sake.

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12 hours ago, CaptainMorgan said:


What liability coverage are you carrying? Last time I looked, none of the online quotes would match the $1M bodily injury and $300k for property I have with USAA.


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That's pretty astute! I did an online draft change to my USAA policy to make it $300K/$500K (all the online quotes had this option) to see what the USAA rate was and then compared that estimated rate in the online systems. I then called the companies and asked how much more it would be for the $1M. In the end, the cost was insignificant for all companies but is included in my percentage figures. Because my assets still exceed coverage I carry an additional umbrella policy but that is separate.

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  • 1 month later...

Gotta love the newest USAA commercials with Gronk. “It’s only for the military community.” I’m guessing their barrage of ads over the past years has resulted in plenty wasted time of the phone with prospective customers. Maybe advertising to a TV demographic that is largely ineligible for your product is a waste of ad $.


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On 10/3/2021 at 10:15 AM, CaptainMorgan said:

Gotta love the newest USAA commercials with Gronk. “It’s only for the military community.” I’m guessing their barrage of ads over the past years has resulted in plenty wasted time of the phone with prospective customers. Maybe advertising to a TV demographic that is largely ineligible for your product is a waste of ad $.


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Yeah I don't get it.  They have decreased a lot of their services offered while at the same time it seems they are advertising everywhere.  Nobody in the military is not with USAA because they've never heard of them.  

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8 hours ago, uhhello said:

Yeah I don't get it.  They have decreased a lot of their services offered while at the same time it seems they are advertising everywhere.  Nobody in the military is not with USAA because they've never heard of them.  

Name recognition and the aura of exclusivity.

 

That way, when they eventually stop being a military-only bank, people will view it as a great opportunity to join an organization they weren't previously allowed into, but "always" knew about.

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