Kudos has partnered with CardRatings and Red Ventures for our coverage of credit card products. Kudos, CardRatings, and Red Ventures may receive a commission from card issuers. Kudos may receive commission from card issuers. Some of the card offers that appear on Kudos are from advertisers and may impact how and where card products appear on the site. Kudos tries to include as many card companies and offers as we are aware of, including offers from issuers that don't pay us, but we may not cover all card companies or all available card offers. You don't have to use our links, but we're grateful when you do!
USAA Homeowners Insurance 2025 – Is It the Best Choice for Military Families?
July 1, 2025
Coverage and Benefits of USAA Homeowners Insurance
USAA homeowners insurance is known for its comprehensive coverage options, including some coverages that other insurers often charge extra for. Policies include all the basics – dwelling coverage, personal property, liability, and more – to protect your home and belongings from fire, theft, storms, and other perils. USAA even offers coverage perks tailored to military members, such as deductible-free coverage for military uniforms and up to $10,000 for personal belongings damaged in war.
USAA also provides certain coverage options that are not standard with every insurer. For example, earthquake insurance can be obtained through USAA in select states, and home-sharing coverage is available for members who occasionally rent out their homes (e.g. via Airbnb). In terms of add-ons, customers can opt for umbrella liability policies for extra protection, and even identity theft coverage to safeguard personal finances.
Rates, Discounts, and Savings
USAA’s average homeowners insurance premium is about $1,954 per year for a $300,000 dwelling, significantly cheaper than the national average of $2,584 for the same level of coverage. In independent analyses, USAA’s rates have been found to be below the national average for comparable policies. This means eligible homeowners often save money with USAA compared to other insurers.
USAA offers several ways to save on premiums. You can qualify for discounts by installing protective devices (like alarm systems), adding smart-home technologies, or staying claim-free for a few years. Bundling your homeowners policy with USAA auto insurance can also knock up to 10% off your rate, and using other USAA products (like life insurance or banking) may earn additional savings. While USAA’s discount selection isn’t as extensive as some larger insurers, most members find its overall costs competitive for the coverage quality.
It’s important to note that USAA membership is required to get its insurance. USAA homeowners policies are only available to active-duty military, veterans, and their immediate families. This exclusivity is the main drawback – if you’re not part of a military family, you won’t qualify for USAA coverage. However, for those who are eligible, the combination of reasonable rates and special coverage perks can make USAA a top choice.
Shopping around is key. If you’re looking for homeowners insurance (or any financial product), Kudos can help you compare top carriers and uncover hidden perks – quickly and for free. This ensures you get the most value from providers like USAA or any alternative.
Customer Satisfaction and How USAA Compares
USAA has a stellar reputation for customer satisfaction. In fact, it consistently earns the highest customer satisfaction scores among home insurance companies. In J.D. Power’s home insurance survey, USAA scored 884 out of 1,000 – far above the industry average of 819 and higher than any other insurer’s score. (USAA isn’t officially ranked alongside other companies in some surveys because not everyone can purchase its policies, but its scores outshine the competition.) Additionally, USAA receives far fewer consumer complaints than expected for an insurer of its size, indicating that most customers are very happy with its service and claims handling.
When it comes to financial strength and reliability, USAA also excels. It holds an A++ (Superior) rating from AM Best for its ability to pay claims, giving policyholders peace of mind. Third-party ratings from outlets like NerdWallet (5.0/5) consistently give USAA a perfect 5-star score for performance and value. These accolades reflect USAA’s strong track record in honoring claims and supporting its customers.
- Pros: USAA offers high-quality coverage at a lower cost than many competitors, and it includes unique benefits for military families (such as war-related protections and uniform coverage). It also earns top marks for customer service and smooth claims handling.
- Cons: The restricted eligibility is the biggest drawback – USAA is only available to military members, veterans, and their families. Also, its discount options are slightly less comprehensive than some competitors (for example, certain bundling discounts only apply in select states).
How Does USAA Stack Up Against Other Insurers?
.webp)
For those who can choose USAA, it often beats other big insurers on both price and coverage. For example, USAA includes full replacement cost coverage in standard policies, whereas a competitor like Allstate charges extra for that. In a rate comparison, a typical $300,000 home policy costs about $1,954/year with USAA, versus approximately $2,401/year with Allstate for the same coverage. That difference makes USAA roughly 20% cheaper in that scenario. In terms of customer satisfaction, USAA often outpaces well-known insurers like State Farm and Allstate by a wide margin.
However, if you aren’t eligible for USAA, there are other highly rated insurers to consider. Companies such as Amica and State Farm also earn strong satisfaction scores and offer a broad range of coverage options. Some non-military households might find competitive rates with these insurers. The key is to compare quotes and features. Every insurance company evaluates risk differently, so prices can vary for the same home. This is where taking the time to compare pays off – you may discover that another insurer offers a similar level of coverage at a better rate for your particular situation.
FAQ: USAA Homeowners Insurance
Is USAA homeowners insurance good?
Yes. USAA is widely regarded as one of the best homeowners insurance providers in the nation. It has earned top marks in industry rankings and customer satisfaction surveys, reflecting its excellent coverage and service.
Can anyone get USAA homeowners insurance?
No. USAA home insurance is only available to eligible members of the military community. This includes U.S. active-duty military, veterans, and their immediate families. If you don’t have a military connection, you unfortunately cannot purchase USAA homeowners coverage.
Does USAA offer homeowners insurance discounts?
Yes. USAA provides several discounts on homeowners policies. You can save by bundling your home and auto insurance (up to 10% off) and by installing protective devices or smart-home systems in your house. USAA also offers savings for long-term members and those who stay claims-free, which can further lower your premium.
Is USAA home insurance cheaper than other companies?
Yes, in many cases USAA’s rates are lower than those of comparable insurers. For example, its average annual premium (~$1,954) is substantially cheaper than the national average. Many policyholders find USAA to be a more affordable option for the amount of coverage and service it provides. However, it’s still wise to compare quotes from multiple insurers, as individual rates will vary.
Conclusion
.webp)
USAA homeowners insurance offers a combination of excellent coverage, military-focused benefits, and competitive prices. If you’re eligible for USAA membership, it’s arguably one of the best choices to protect your home. USAA stands out as a trustworthy insurer that often delivers more value for your premium dollar.
It never hurts to compare your options. Every homeowner’s needs are different, and factors like your location, home features, and claims history can affect which insurer is best for you. By shopping around (for instance, using a tool like Kudos to compare personalized quotes), you can ensure you’re getting the ideal coverage at the best possible price. In the end, the right homeowners insurance gives you peace of mind – and USAA is a strong contender for those who have the opportunity to join.
Supercharge Your Credit Cards
Experience smarter spending with Kudos and unlock more from your credit cards. Earn $20.00 when you sign up for Kudos with "GET20" and make an eligible Kudos Boost purchase.
Editorial Disclosure: Opinions expressed here are those of Kudos alone, not those of any bank, credit card issuer, hotel, airline, or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post.
