USAA Homeowners Insurance Review 2023

USAA home insurance includes coverage that costs extra from other companies, but it’s available only to active-duty military members, veterans and their families.
Sarah Schlichter
By Sarah Schlichter 
Edited by Erica Corbin

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USAA

5.0

NerdWallet rating 
Offers perks and affordable rates for the military community.

Coverage options

Below average

Discounts

Average set of discounts

NAIC complaints

Far fewer than expected
insurance-product-card-logo

USAA

5.0

NerdWallet rating 
Offers perks and affordable rates for the military community.

Coverage options

Below average

Discounts

Average set of discounts

NAIC complaints

Far fewer than expected

One of the largest home insurers in the country, USAA offers policies to active-duty military members, veterans and their families. USAA home insurance policies include coverage that often costs extra when issued by other companies, but even so, the company’s rates are still lower than the national average, according to NerdWallet’s rate analysis. If you’re eligible to buy USAA homeowners insurance, it’s worth considering.

Our star ratings are based on consumer complaint data from the National Association of Insurance Commissioners; financial strength grades from AM Best; coverage and discounts available; and the overall consumer experience. See our criteria for evaluating home insurance companies.

Our writers and editors follow strict editorial guidelines that ensure fairness and accuracy in order to help you choose the financial products that work best for you. Here is a list of our partners, and here’s how we make money.

USAA home insurance star rating

5.0

NerdWallet rating 

USAA homeowners insurance earned 5 out of 5 stars for overall performance. NerdWallet’s ratings are determined by our editorial team. The homeowners insurance scoring formula takes into account policy coverage options and discounts, ease of filing a claim, website transparency, the financial strength of the company, complaint data from the National Association of Insurance Commissioners and more.

Based on this rating, USAA is among NerdWallet’s Best Home Insurance Companies for 2023.

State availability

USAA offers homeowners insurance in all 50 states and Washington, D.C.

USAA home insurance coverage

You can customize your homeowners policy with numerous add-ons, but below are the types of coverage that generally come standard:

Type of coverage

What it does

Pays to repair or rebuild the structure of your home.

Covers damage to unattached structures such as a shed or fence.

Pays to repair or replace personal belongings such as furniture or clothing.

Pays for hotel stays, restaurant meals or other expenses if you have to live elsewhere while your home undergoes covered repairs.

Covers legal expenses and damages if you're responsible for injuries to other people or their property.

Medical payments

Covers injuries to guests in your home, regardless of fault.

USAA offers homeowners insurance with all the standard features, plus:

  • Identity theft coverage. If you’re a victim of identity theft, USAA will cover up to $5,000 to pay expenses to restore your good name. This coverage is not available in all states.

  • Replacement cost coverage. If your belongings are damaged or stolen, USAA will generally reimburse the cost to replace them with new items rather than the depreciated value. USAA includes this coverage standard in all states but North Carolina rather than charging extra for it, as most insurers do. The company will pay to replace an item or to restore or repair it, whichever costs less.

  • Home-sharing coverage. Available as standard coverage in most states, this pays out for damage that occurs when you rent out a room or your entire home on sites such as Airbnb.

  • Military uniform coverage. If your uniform is damaged or stolen during a covered event and you are on active duty or deployed, USAA will reimburse you without a deductible.

Earthquake coverage is also available for an extra cost in most states.

USAA home insurance rates

USAA’s average annual homeowners insurance cost is $1,724, according to NerdWallet’s rate analysis. This is lower than the national average of $1,784 per year but higher than the average rates of State Farm and Allstate, two large national competitors. Below, see how USAA's rate stacks up to those of other large insurers.

Company

Average annual rate

$1,529.

$1,632.

$2,066.

$2,207.

$1,724.

*USAA homeowners insurance is available only to active-duty military members, veterans and their families.

The sample rates above were calculated for 40-year-old homeowners with a $1,000 deductible, $300,000 in dwelling coverage and $300,000 in liability insurance. Your rates will be different.

Discounts

Depending on where you live, you may qualify for discounts on your USAA home insurance policy for:

  • Insuring your car with USAA.

  • Buying and installing certain smart-home devices.

  • Being claims-free for at least five years.

  • Staying insured by USAA for three consecutive years.

  • Adding other USAA insurance products like renters, umbrella and life insurance.

You may also qualify for a protective device credit for an ADT home security system.

Consumer complaints

USAA had far fewer than the expected number of complaints to state regulators relative to its size for home insurance, according to three years’ worth of data from the National Association of Insurance Commissioners.

Consumer experience

Website: USAA’s site has an advice section where you can read up on topics like what homeowners insurance doesn’t cover and how to avoid water leaks. A chatbot is also available to answer quick questions. Log in to USAA’s user portal to pay your bill, manage your policies, file and track a claim, set up autopay or chat with a live representative.

App: You can use the USAA mobile app to pay bills and file and manage claims. Other USAA services such as checking, savings and credit card accounts are accessible through the app, which is available on iOS and Android.

Claims: You can file a claim on the USAA website, through the app or by calling 800-531-8722. You can track your claim or contact your adjuster through the site's claims center. For help, see how to file a home insurance claim.

Customer service: Help is available by phone at 800-531-8722 every day except Sundays and major holidays. You can also use USAA's virtual agent at any time for basic questions.

Where USAA stands out

Perks for members of the military. In addition to deductible-free coverage for your uniform, USAA also covers up to $10,000 worth of belongings destroyed in a war.

Value. USAA’s standard coverage is more generous than some other companies’, and yet it still costs less than the national average, according to NerdWallet’s rate analysis.

Where USAA falls short

Limited eligibility. The main drawback of USAA home insurance is that it isn't available to everyone.

USAA vs. competitors

USAA vs. State Farm home insurance

The biggest difference between USAA and State Farm home insurance is that USAA’s policies are available only to active-duty military members, veterans and their families, while State Farm sells to a broader population.

Each company includes a different but valuable type of coverage in its standard policies. USAA covers your belongings on a replacement-cost basis, ensuring that a claim payout will be enough to buy new items. State Farm offers this coverage but at a higher cost than actual cash value coverage.

State Farm also includes extended replacement-cost coverage for the structure of your home, providing a cushion in case your dwelling limit isn’t enough to rebuild your house completely.

Get more details in our State Farm home insurance review.

USAA vs. Allstate home insurance

The key difference between USAA and Allstate home insurance is that Allstate sells policies to the general population while USAA serves the military community. Beyond that, in most states, USAA includes certain coverage that Allstate charges extra for. Examples include personal property replacement cost and home-sharing coverage.

Allstate and USAA are among the largest insurance companies in America. Their websites offer a variety of useful features, including online quotes, bill payment and claim filing. Both companies also have robust mobile apps that can help you manage your policy.

Read our Allstate home insurance review for more information.

USAA vs. Geico home insurance

The primary difference between USAA and Geico home insurance is that USAA sells its own policies while Geico offers homeowners insurance through third parties. Your coverage options with Geico depend on the company you’re matched with, and if you need to file a claim, you’ll have to file directly with the third-party provider.

Geico serves a wide swath of homeowners, not just active-duty military members and veterans. Geico and USAA offer bundling discounts if you buy home and auto insurance.

Check out our Geico home insurance review to learn more.

Is USAA home insurance right for you?

If you’re an active-duty or former member of the military or there’s someone in your family who is, it’s probably worth getting a quote from USAA. The company’s combination of reasonable rates, low consumer complaints and generous coverage makes it worth considering for most eligible homeowners.

Frequently asked questions

It depends. If a tree falls on your home, USAA will generally pay to remove the tree from the structure to make repairs. Coverage to get the tree off your property may be more limited — often up to $500 for one tree or $1,000 total.

Removing a tree from your property to prevent potential damage is considered basic home maintenance and would not be covered.

USAA doesn’t restrict the type of dog it will cover under the liability portion of your homeowners policy, but if the animal has a history of aggression or property destruction, it may affect your eligibility for coverage. Learn more about homeowners coverage for dog bites.

USAA works with a partner company, Foremost, to insure manufactured and mobile homes. Learn more about mobile home insurance.

USAA typically won’t pay for damage related to mold or dry rot, but you may have limited coverage if the cause of the mold is a disaster covered by your policy. Mold coverage differs from state to state and may depend on which endorsements, or add-ons, you have on your policy. Learn more about homeowners insurance coverage.

USAA sells several types of coverage, from flood to umbrella insurance. You can read our USAA auto insurance review, USAA renters insurance review and USAA life insurance review for more information on those policy options.

USAA will pay to replace your roof if it has been damaged in a covered disaster, regardless of the roof’s age. The full repayment for reconstruction costs are paid after repairs have been made using materials similar to what’s already on your roof and up to the same build quality.

Methodology

Homeowners insurance ratings methodology

NerdWallet’s homeowners insurance ratings reward companies for customer-first features and practices. Ratings are based on weighted averages of scores in several categories, including financial strength, consumer complaints, coverage, discounts and online experience. These ratings are a guide, but we encourage you to shop around and compare several insurance quotes to find the best rate for you. NerdWallet does not receive compensation for any reviews. Read our full ratings methodology for home insurance.

Insurer complaints methodology

NerdWallet examined complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners in 2019-2021. To assess how insurers compare to one another, the NAIC calculates a complaint index each year for each subsidiary, measuring its share of total complaints relative to its size, or share of total premiums in the industry. To evaluate a company’s complaint history, NerdWallet calculated a similar index for each insurer, weighted by market shares of each subsidiary, over the three-year period. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC. Ratios are determined separately for auto, home (including renters and condo) and life insurance.

Homeowners insurance rates methodology

NerdWallet averaged rates for 40-year-old homeowners from a variety of insurance companies in every ZIP code across all 50 states and Washington, D.C. Sample homeowners were nonsmokers with good credit living in a single-family, two-story home built in 1997. They had a $1,000 deductible and the following coverage limits:

  • $300,000 in dwelling coverage.

  • $30,000 in other structures coverage.

  • $150,000 in personal property coverage.

  • $60,000 in loss of use coverage.

  • $300,000 in liability coverage.

  • $1,000 in medical payments coverage.

These are sample rates generated through Quadrant Information Services. Your own rates will be different.

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