How Does Usaa Insurance Compare to other leading insurers? COMPARE.EDU.VN provides an in-depth analysis of USAA’s car insurance offerings, comparing coverage options, customer service, and cost-effectiveness. Explore a comprehensive comparison to make well-informed decisions about your insurance needs, looking at financial stability and customer ratings.
1. USAA vs. Geico Auto Insurance: A Detailed Comparison
USAA and Geico are two prominent players in the auto insurance industry. While both offer comprehensive coverage and competitive rates, several key differences set them apart. This article dives deep into comparing USAA insurance against Geico, focusing on availability, coverage options, pricing, customer satisfaction, and more.
1.1. Overall Ratings and Industry Standing
Our team at COMPARE.EDU.VN assigns USAA an overall rating of 4.8 out of 5, while Geico receives a 4.5. These ratings reflect each company’s performance across various categories, including industry standing, availability, coverage, cost, discounts, and customer experience.
| Feature | USAA | Geico |
|---|---|---|
| Overall Rating | 4.8 | 4.5 |
| Industry Standing | 4.9 | 4.8 |
| Availability | 3.5 | 5.0 |
| Coverage | 4.9 | 4.3 |
| Cost & Discounts | 5.0 | 4.4 |
| Customer Experience | 5.0 | 4.6 |
USAA stands as the fifth-largest car insurance provider in the U.S., commanding about 6.3% of the market share, according to the National Association of Insurance Commissioners. Geico nearly doubles this, holding 12.3% of the market, making it the third-largest in the nation.
Both USAA and Geico boast A++ (Superior) financial strength ratings from AM Best, which indicates a strong ability to meet their ongoing insurance obligations.
| Feature | USAA | Geico |
|---|---|---|
| Year Established | 1922 | 1936 |
| Availability | 50 states | 50 states |
| AM Best Financial Strength Rating | A++ | A++ |
| Better Business Bureau Rating | A+ | A+ |
1.2. Availability and Eligibility
One of the most significant distinctions between USAA and Geico is their eligibility requirements. USAA insurance is exclusively available to:
- Active-duty military personnel
- Retired veterans
- Cadets and officer candidates
- Spouses and children of USAA members
Geico, on the other hand, offers coverage to a broader range of customers, including government employees and the general public. This makes Geico more accessible for those who do not qualify for USAA membership.
1.3. USAA Overview
Founded in 1922 by 25 Army officers, USAA has a long-standing tradition of serving the military community. Their deep understanding of the unique needs of military families makes them a popular choice for those who qualify.
1.4. Geico Overview
Geico, established in 1936 as the Government Employees Insurance Company, has expanded its reach to provide coverage to drivers nationwide. They continue to offer discounts for federal employees, honoring their roots.
2. Coverage Options: USAA vs. Geico
Both USAA and Geico offer the six standard car insurance coverages:
- Bodily Injury Liability
- Property Damage Liability
- Collision
- Comprehensive
- Medical Payments
- Personal Injury Protection (PIP)
- Uninsured and Underinsured Motorist Coverage
However, they also offer various add-on coverage options to tailor policies to individual needs.
2.1. Standard and Add-on Coverage Comparison
| Coverage | USAA | Geico |
|---|---|---|
| Bodily Injury Liability | ✓ | ✓ |
| Property Damage Liability | ✓ | ✓ |
| Collision | ✓ | ✓ |
| Comprehensive | ✓ | ✓ |
| Medical Payments | ✓ | ✓ |
| Personal Injury Protection | ✓ | ✓ |
| Uninsured/Underinsured Motorist | ✓ | ✓ |
| Roadside Assistance | ✓ | ✓ |
| Rental Car Reimbursement | ✓ | ✓ |
| Rideshare Insurance | ✓ | |
| Usage-Based Insurance | ✓ | ✓ |
| Accident Forgiveness | ✓ | ✓ |
| Glass Coverage | ✓ | |
| GAP Insurance | ✓ | |
| Car Replacement Assistance | ✓ | |
| Mechanical Breakdown Insurance | ✓ |
2.2. Unique Coverage Options
- USAA: Offers coverage for glass repair or replacement, as well as Guaranteed Asset Protection (GAP) for leased vehicles and Car Replacement Assistance.
- Geico: Provides Mechanical Breakdown Insurance (MBI), which is similar to an extended car warranty, covering repairs due to defective materials or workmanship. Geico also has rideshare insurance for drivers working for companies like Uber and Lyft.
2.3. Usage-Based Insurance Programs
Both USAA and Geico offer usage-based insurance programs that use telematics to monitor driving habits and provide discounts for safe driving.
| Feature | USAA SafePilot | Geico DriveEasy |
|---|---|---|
| Device | Mobile app | Mobile app |
| Rate Increase? | No | Yes |
| Availability | 47 states + DC | 37 states + DC |
| Discount | Up to 30% | Varies |
| Monitoring | Speed, acceleration, braking, swerving, cornering, distance, location, phone use | Distracted driving, hard braking, cornering, smoothness, road type, distance driven, time of day, weather |
USAA SafePilot only offers discounts for good driving habits and will not raise your rates. In contrast, Geico DriveEasy can increase your premium if you are deemed a risky driver based on the data collected.
3. Cost Comparison: Is USAA Cheaper Than Geico?
Generally, USAA offers cheaper car insurance than Geico. For an average driver, the annual rate for full coverage is $1,722 with USAA, compared to $1,939 with Geico. However, remember that USAA eligibility restrictions apply.
3.1. Annual Cost Estimates
| Driver Profile | Geico Annual Cost | USAA Annual Cost |
|---|---|---|
| 35-year-old, good credit, clean driving record | $1,939 | $1,722 |
| 25-year-old, good credit, clean driving record | $2,148 | $1,965 |
| 35-year-old, recent car accident | $3,215 | $2,371 |
| 35-year-old, poor credit | $2,872 | $3,079 |
| 35-year-old, recent DUI | $3,898 | $3,258 |
These estimates are sourced by Quadrant Information Services and represent a 35-year-old driver with good credit insuring a 2023 Toyota Camry.
Driving profile details used by insurance companies to set premiums
3.2. Factors Affecting Car Insurance Rates
Your car insurance rates depend on various factors, including:
- Driving history
- Age
- Coverage options
- Deductible amount
- Credit score
3.3. Discount Opportunities
While Geico offers a more extensive list of discounts, this doesn’t automatically translate to lower rates. USAA often provides the cheapest option, even with fewer available discounts.
| USAA Discounts | Geico Discounts |
|---|---|
| Multi-Policy | Multi-Policy |
| Multi-Vehicle | Multi-Vehicle |
| New Vehicle | New Vehicle |
| Good Student | Good Student |
| Good Driver | Good Driver |
| Driver’s Education | Driver’s Education |
| Defensive Driving | Defensive Driving |
| Legacy | Air Bags |
| Length of Membership | Daytime Running Lights |
| Low Annual Mileage | Anti-Lock Brakes |
| Military Installation | Anti-Theft System |
| Vehicle Storage | Passive Restraint |
| Seat Belt Use | |
| Membership & Employee | |
| Federal Employee | |
| Military | |
| Military/Emergency Deployment |
3.4. Military Discounts: USAA vs. Geico
USAA doesn’t offer a specific military discount for veterans, but provides other savings opportunities, such as a 15% discount for garaging your car on a military base. Geico provides a 15% discount to active military members and veterans, plus a 25% discount for deployment into an imminent danger pay zone.
USAA’s support for military life extends beyond discounts, offering an extensive knowledge base and checklists for military-related events, as well as a job-finding program and discounts on partner services.
4. Customer Reviews and Satisfaction
Customer satisfaction is another area where USAA generally outperforms Geico. J.D. Power studies consistently rank USAA higher in overall customer satisfaction.
4.1. J.D. Power Ratings
- J.D. Power Insurance Shopping Study: USAA scored 711 out of 1,000, while Geico scored 656, below the industry average of 676.
- J.D. Power U.S. Auto Claims Satisfaction Study: Geico scored 692 out of 1,000, just below the study average of 697. USAA’s score of 726 ranked 5th overall.
USAA’s eligibility restrictions prevent it from being officially ranked in J.D. Power studies, but its scores consistently outperform many ranked companies.
4.2. Other Customer Ratings
| Rating | USAA | Geico |
|---|---|---|
| BBB Customer Review Rating | 1.2/5 | 1.1/5 |
| App Store Rating | 4.8/5 | 4.8/5 |
| Google Play Rating | 4.7/5 | 4.6/5 |
While BBB customer review ratings for both companies appear low, this is common for major national car insurance companies. Dissatisfied customers are more likely to leave reviews than satisfied ones, and these reviews represent a small fraction of each company’s overall customer base.
5. Alternatives to USAA and Geico
If you don’t qualify for USAA or want to explore other options, Travelers and Progressive are excellent alternatives.
5.1. Travelers: Best for Most Drivers
Travelers offers a wide range of coverage options and policy add-ons, allowing drivers to customize their insurance to their specific needs. Their IntelliDrive program also helps drivers stay safe and earn discounts.
5.2. Progressive: Best for Safe Drivers
Progressive is a strong option for careful drivers, offering driver-specific discounts and a telematics insurance option called Snapshot that rewards safe driving habits with significant discounts. They also offer unique add-ons like pet injury coverage and rideshare insurance.
6. Frequently Asked Questions (FAQ)
6.1. Is USAA a good insurance company?
Yes, USAA consistently performs well in insurance studies and boasts high financial strength ratings, indicating its stability and reliability.
6.2. Who is eligible for USAA auto insurance?
Eligibility is limited to members of the U.S. military, veterans, and their immediate family members.
6.3. Is USAA insurance a good deal?
For those who qualify, USAA insurance generally offers excellent value, with competitive rates and high customer satisfaction.
6.4. Is Geico an affordable car insurance provider?
Yes, Geico is generally considered one of the more affordable car insurance providers, with average annual costs below the national average.
7. COMPARE.EDU.VN: Your Partner in Informed Decision-Making
Choosing the right car insurance can be overwhelming. COMPARE.EDU.VN simplifies the process by providing comprehensive, unbiased comparisons of insurance providers, coverage options, and pricing. We empower you to make informed decisions that protect your assets and fit your budget.
7.1. How COMPARE.EDU.VN Helps
- Detailed Comparisons: We offer in-depth comparisons of various insurance companies, highlighting their strengths and weaknesses.
- Unbiased Information: Our team is committed to providing objective and accurate information to help you make the best choice for your needs.
- Personalized Recommendations: We help you identify the factors that matter most to you and find the insurance provider that aligns with your priorities.
7.2. Ready to Compare?
Visit COMPARE.EDU.VN today to explore our comprehensive insurance comparisons and find the perfect coverage for your needs.
Don’t leave your insurance decisions to chance. Trust COMPARE.EDU.VN to provide the information you need to make a smart and confident choice.
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8. Our Methodology
COMPARE.EDU.VN employs a comprehensive rating system to rank car insurance companies, ensuring objective and accurate information. We gather data on numerous providers, grading them across various ranking factors to determine an overall rating.
8.1. Ranking Factors
- Coverage (30%): Companies offering a wide range of coverage options are favored.
- Cost and Discounts (25%): Rate estimates and discount opportunities are considered.
- Industry Standing (20%): Market share, expert ratings, and years in business are evaluated.
- Customer Experience (15%): Complaint volume and customer satisfaction ratings are analyzed. We also assess the responsiveness and helpfulness of customer service teams.
- Availability (10%): Companies with broad state availability and minimal eligibility requirements score higher.
8.2. Credentials
- 800+ hours of research
- 130+ companies reviewed
- 8,500+ consumers surveyed
Data accurate at the time of publication.
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