USAA Homeowners Insurance Review 2024
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Coverage options
Discounts
NAIC complaints
USAA
Coverage options
Discounts
NAIC complaints
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About USAA home insurance
USAA homeowners insurance earned 5 out of 5 stars for overall performance.
USAA offers policies to active-duty military members, veterans and their families. Its home insurance includes 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.
USAA’s homeowners policies also include special benefits 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.
Based on this star rating, USAA is among NerdWallet’s Best Home Insurance Companies for 2024.
What’s new with USAA?
As of March 2024, USAA will write new policies in California only for homeowners with the lowest possible wildfire risk. It’s just one of many companies choosing to reduce their risk in the state of California, where some insurers have been losing money on homeowners insurance. Learn more about California home insurance.
How USAA home insurance stacks up
Policies include standard coverage that often costs extra elsewhere.
Far fewer customer complaints to state regulators than expected for a company of its size.
Average rates are below the national average, according to NerdWallet’s analysis.
Available only to active military members, veterans and their families.
Where USAA home insurance stands out
Few consumer complaints. The relative lack of complaints to state regulators suggests that most USAA policyholders are satisfied with their coverage.
Perks for military homeowners. Unique offerings from USAA include personal belongings destroyed by war and deductible-free coverage for your uniform.
Where USAA home insurance falls short
Availability. USAA’s restricted eligibility is its main drawback. It’s not open to the general public, only to the military community.
State availability
USAA offers homeowners insurance in all 50 states and Washington, D.C.
Standard 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:
Dwelling. Pays to repair or rebuild the structure of your home.
Other structures. Covers damage to unattached structures such as sheds or fences.
Personal property. Pays to repair or replace personal belongings such as furniture or clothing.
Loss of use. Pays for hotel stays, restaurant meals or other expenses if you have to live elsewhere while your home undergoes covered repairs.
Personal liability. 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.
For more details, see What Does Homeowners Insurance Cover?
USAA offers homeowners insurance with all the standard features, plus:
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 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.
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.
Home-sharing coverage. Available as standard coverage in certain states, this pays 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.
Optional USAA home insurance coverage
Depending on where you live you may be able to customize your USAA home insurance policy by adding the following types of coverage:
Extra insurance for valuables. Items like jewelry, musical instruments and fine art may need additional coverage. Learn more about jewelry insurance.
Flood insurance. USAA can help you get a flood policy from the federally funded National Flood Insurance Program or through a private insurer. Learn the difference in our guide to the best flood insurance.
Earthquake insurance. This coverage may be worth adding if you live in an at-risk area.
Home Protector coverage. This upgrade includes extra coverage for debris removal and bringing your home up to the latest building codes after a claim. It also comes with additional dwelling coverage in case it’s more expensive than expected to rebuild.
Construction costs often go up due to increased demand for labor and building supplies after a disaster. That could leave you underinsured if your dwelling coverage limit isn’t high enough. Adding extended replacement cost coverage can offer a financial cushion.
What’s not covered
Like other home insurers, USAA doesn’t cover damage from flooding or earthquakes in its standard policies. In certain high-risk areas, it may also exclude coverage for wind damage, requiring you to buy that insurance separately.
While homeowners policies include liability coverage, it may not apply to lawsuits for libel or slander. For this type of coverage, you may want to consider umbrella insurance.
USAA home insurance rates
USAA’s average annual homeowners insurance cost is $1,875, according to NerdWallet’s rate analysis. This is lower than the national average of $1,915 per year and cheaper than many of the company's large national competitors. Below, see how USAA's rate stacks up to those of other large insurers.
Company | Average annual rate |
|---|---|
$1,815 | |
$1,935 | |
$2,010 | |
$2,205 | |
$2,270 | |
$2,415 | |
USAA* | $1,875 |
*USAA homeowners insurance is available only to active-duty military members, veterans and their families. | |
The sample rates above are for 40-year-old homeowners with good credit, 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 be able to save money on your USAA home insurance policy by:
Insuring your car with USAA.
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.
Another way to lower your premium is to raise your homeowners insurance deductible, the amount that will be subtracted from your payout if you ever file a claim. Just be sure to choose an amount you’d feel comfortable covering out of your own pocket.
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.
What Reddit users say about USAA
Reddit is an online forum where users share their thoughts in “threads” on various topics. The popular site includes plenty of discussion on financial subjects like home insurance, so we sifted through Reddit forums to get a pulse check on how users feel about insurers. People post anonymously, so we cannot confirm their individual experiences or circumstances.
Reddit comments about USAA homeowners insurance tend to be on the negative side, with numerous posts complaining about hefty premium increases. (As some respondents note, home insurance prices have gone up across the board in recent years due to inflation and expensive natural disasters.)
Other people report problems getting their homeowners insurance claims resolved, particularly a lack of communication from representatives at USAA. Thanks to issues like these, some Redditors say they’ve left USAA after decades of membership. However, other USAA members speak up in the company’s defense, saying they’ve had good service and their rates are still reasonable.
Questions from Reddit: Our experts answer
Why are USAA’s rates going up so much?
Various factors affect how much you pay for homeowners insurance, including where you live, the size of your home, your credit history and whether you’ve filed any recent claims. Broader economic trends matter, too. For example, if an insurer loses money in a particular state due to massive wildfires, it may raise future rates for everyone in that state. Inflation has also made it more expensive to repair or rebuild houses, which means insurance premiums have gone up accordingly.
See what to do if you can’t afford your homeowners insurance.
Will I have trouble getting or keeping a USAA policy if I’ve filed multiple claims?
You might. In general, the more claims you have on your record, the less appealing you are as a prospective customer to insurance companies. Someone who files frequent claims is more likely to cost them money in payouts, so insurers may raise your rates or refuse to cover your home at all after multiple claims. To avoid this, consider paying for minor home damage yourself instead of filing smaller claims.
Digital and consumer experience
USAA’s site has an advice section where you can read up on topics like what homeowners insurance doesn’t cover and preparing for a hurricane. 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.
USAA also has a mobile app, which you can use 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.
We had a difficult time getting coverage information from USAA’s phone agents. When we called the company’s customer service line, it took four minutes before we were connected with a human. We asked whether USAA homeowners insurance covers personal property on an actual cash value or replacement cost basis. The agent told us she would transfer us to the home insurance department for an answer, but first we had to either verify existing USAA membership or sign up as a new member.
The second time we tried calling, it took three minutes to connect with a person. We were told we’d be transferred to an agent in our state to go over membership details and coverage. But after five minutes on hold and an “all agents are currently busy” message, we hung up.
We tried one more time and waited five minutes for a human. The rep couldn’t answer our question about actual cash value vs. replacement cost coverage but was able to address our second inquiry, verifying that USAA offers water backup coverage. Although she said we’d have to speak with a licensed agent for more details, she didn’t volunteer to connect us with anyone.
We also reached out via chat. However, the virtual assistant was unable to answer our initial coverage question and instead referred us to other contact channels.
How to file a claim with USAA
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.
How to contact USAA 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.
USAA home insurance vs. competitors
USAA home insurance vs. State Farm
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.
State Farm 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. USAA also offers this coverage, but it costs extra.
Get more details in our State Farm home insurance review.
Current Product
|  |
|---|---|
NerdWallet rating 5.0 /5 | NerdWallet rating 4.5 /5 |
Complaints to NAIC Far fewer than expected | Complaints to NAIC Fewer than expected |
Coverage About average | Coverage More than average |
Discounts Average set of discounts | Discounts Average set of discounts |
Bottom line Offers perks and affordable rates for the military community. | Bottom line Well-established insurer with a lengthy list of coverage options. |
USAA home insurance vs. Allstate
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 home 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.
Current Product
|  |
|---|---|
NerdWallet rating 5.0 /5 | NerdWallet rating 4.5 /5 |
Complaints to NAIC Far fewer than expected | Complaints to NAIC Close to expected |
Coverage About average | Coverage About average |
Discounts Average set of discounts | Discounts Great set of discounts |
Bottom line Offers perks and affordable rates for the military community. | Bottom line Widely available across the U.S. with lots of ways to customize your policy. |
USAA home insurance vs. Geico
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. But both Geico and USAA offer bundling discounts if you buy home and auto insurance.
Check out our Geico home insurance review to learn more.
Current Product
|  |
|---|---|
NerdWallet rating 5.0 /5 | |
Complaints to NAIC Far fewer than expected | Complaints to NAIC No data |
Coverage About average | Coverage No data |
Discounts Average set of discounts | Discounts No data |
Bottom line Offers perks and affordable rates for the military community. | Bottom line Best for Geico car insurance customers looking to bundle their auto and homeowners policies. |
Other home insurance companies to consider
Not ready to make a decision? You may be interested in these other homeowners insurance companies:
Other USAA products
Whether you're looking to bundle coverage or explore other financial products from USAA, NerdWallet's reviews can help you make the best decision for your needs:
How we rate homeowners insurance
NerdWallet’s star ratings reward companies for consumer-first features and practices. We evaluate factors such as financial strength, consumer complaints, coverage, discounts and customer experience.
In our research, we analyzed:
More than 270 million homeowners insurance rates.
More than 50 insurance companies.
Nearly 200 homeowner profiles.
View our complete homeowners insurance rating methodology.
Methodology
Homeowners insurance star 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.
Here’s how we weighted each category to come up with our list of the best home insurance companies:
Consumer complaints (30%).
Financial strength (30%).
Coverage (20%).
Consumer experience (10%).
Discounts (10%).
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 2021-2023. 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 calculated median rates for 40-year-old homeowners from various insurance companies in every ZIP code across the U.S. All rates are rounded to the nearest $5.
Sample homeowners were nonsmokers with good credit living in a single-family, two-story home built in 1984. 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.
We made minor changes to the sample policy in cases where rates for the above coverage limits or deductibles weren’t available.
These are sample rates generated through Quadrant Information Services. Your own rates will be different.
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