USAA Life Insurance Review 2024
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USAA
on Nerdwallet
Financial strength rating
Online purchase
NAIC complaints
Policies offered
on Nerdwallet
USAA
Financial strength rating
Online purchase
NAIC complaints
Policies offered
USAA's products are designed specifically for active military members, veterans and their families, but the company's life insurance policies are available to everyone. Most term and whole life policies are available nationwide. The company's universal life is not available in New York, and its guaranteed issue policy is not available in Montana.
» MORE: Compare life insurance quotes
USAA life insurance rating
USAA earned 4.5 stars out of 5 for overall performance. NerdWallet’s ratings are determined by our editorial team. The scoring formula takes into account consumer experience, complaint data from the National Association of Insurance Commissioners and financial strength ratings.
USAA life insurance policies
Term life insurance. USAA's level term policy is available for 10, 15, 20, 25 or 30 years with coverage ranging from $100,000 to $10 million. Depending on the state, you may receive additional benefits, including:
Coverage for active duty and reserve duty military members and their spouses during wartime, which is often excluded from life insurance polices.
A $25,000 payment if you suffer a severe injury while on active duty.
Guaranteed coverage after leaving the military.
An option to add $100,000 in coverage if you have a baby, get married or buy a house between the ages of 18 and 35.
The option to convert to a permanent policy.
The option to replace your service members’ group life insurance (SGLI) with a USAA term life policy if you leave the military.
Whole life insurance. USAA sells simplified whole life insurance, with coverage up to $10 million. You have the option to make payments for 20 years, until age 65 or for the full duration of the policy. You can also increase coverage after certain life events — up to a total of six times — with a free Life Event Option rider.
Universal life insurance. USAA’s universal life insurance policy comes with flexible payment options and a guaranteed interest rate of 1%. USAA also sells an indexed universal life insurance policy, which ties the cash value growth to a market index like the S&P 500.
Guaranteed issue life insurance. Policies are available to applicants 45 to 85 (50-75 in New York) in all states except Montana. These policies are issued by Mutual of Omaha and do not require a medical exam or health questionnaire to qualify for coverage. Face amounts range from $2,000 to $25,000. Often called final expense life insurance, guaranteed issue policies can help cover burial or funeral costs.
USAA made our list for best life insurance for seniors of 2024.
USAA life insurance riders
Depending on your state, USAA may offer additional life insurance riders, including:
Child term rider, which allows you to add all of your kids to your policy. Your children may have the option to convert it to their own policies when they’re older, regardless of their health.
Waiver of premium benefit, which waives your premium should you become disabled.
USAA life insurance rates
Below are monthly rates for a 20-year, $500,000 term life insurance policy from USAA. These are sample rates for a nonsmoking man and woman in excellent health — the final quote you’re offered will depend on factors like your age, health, lifestyle, occupation and driving record.
Age | Monthly rate - man | Monthly rate - woman |
|---|---|---|
20 | $19.57 | $21.65 |
30 | $21.24 | $24.15 |
40 | $32.49 | $36.65 |
50 | $82.90 | $76.65 |
60 | $222.90 | $185.40 |
Source: Insurer's site. Rates reflect the super preferred class and were generated on 10/24/24. | ||
USAA customer complaints and satisfaction
Over three years, USAA has drawn fewer than the expected number of complaints to state regulators for a company of its size, according to a NerdWallet analysis of data from the National Association of Insurance Commissioners.
» MORE: Best life insurance companies
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 life 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.
Opinions on Reddit about USAA life insurance are mixed. Some commenters praise the company’s low premiums, while others find their prices too high. Opinions are similarly divided over USAA’s customer service. A few people say they’ve had good experiences, but many others complain that USAA’s treatment of its policyholders has gone downhill in recent years.
Questions from Reddit: Our experts answer
Is USAA the best life insurance option for people in the military?
Active members of the military generally have access to life insurance through Servicemembers’ Group Life Insurance, or SGLI. But for those who want or need additional coverage beyond those policies, USAA life insurance may be worth considering. USAA policies have several features that may be attractive to active-duty military, including $25,000 in severe injury benefits and coverage during wartime. Learn about the best life insurance for veterans.
What happens when I reach the end of my USAA life insurance term?
If you outlive the term of your policy, your coverage will expire unless you choose to extend it, convert it to a permanent life insurance policy or buy another policy. You may want to let your coverage lapse if you don’t need life insurance anymore (for example, if you’ve paid off your mortgage and put your kids through college). But if you still need coverage, you can expect your premiums to go up because you’re older than you were when you first bought your term policy.
Where USAA stands out
USAA’s website gives detailed information about all of its policies, laying out term lengths, coverage amounts, issue ages and more. You can get an online quote without entering your personal contact information, such as an email or phone number. And while the company offers specialized coverage for active duty and retired members of the armed forces, policies are also available to non-military personnel.
Where USAA falls short
Some of USAA’s policies are not available in Montana or New York.
More about USAA
You can get a quote and apply for a life insurance policy online, plus manage your account, from the USAA website and iPhone and Android mobile apps. USAA also has a survivors relations team that can assist families of deceased USAA members, including help with any survivor benefits.
Other USAA insurance products include:
Boat insurance.
Classic car insurance.
Condo insurance.
Flood insurance.
Mobile home insurance.
Motorcycle and ATV insurance.
Pet insurance.
RV insurance.
Umbrella insurance.
How to contact USAA
USAA can be reached by:
Phone: Call 210-531-8722 or 800-531-8722 on weekdays from 7:30 a.m. to 8 p.m. CT.
Email: No customer service email available.
Live chat: Not available.
Life insurance buying guide
Before you start comparing companies, choose the type of life insurance you want, such as term or whole life. Decide which life insurance riders, if any, you want the policy to include. Calculate how much life insurance you need and how long you want the coverage to last. Check that the insurers you’re considering offer the coverage you’re looking for.
When comparing rates, be sure the quotes are for the same amount of coverage over the same period of time. It’s also important to make sure the policy’s medical requirements match your needs. For example, if you want to skip the life insurance medical exam but don’t mind answering health questions, confirm that the application process for each policy you're comparing aligns with that.
Price may not be the biggest driver behind your decision to buy. Look at the number of consumer complaints each company receives, as high numbers can be a red flag about the quality of service.
For more guidance, see our life insurance buying guide.
Methodology
Life insurance ratings methodology
NerdWallet’s life insurance ratings are based on consumer experience, complaint index scores from the National Association of Insurance Commissioners for individual life insurance, and weighted averages of financial strength ratings, which indicate a company’s ability to pay future claims. Within the consumer experience category, we consider ease of communication and website transparency, which looks at the depth of policy details available online. To calculate each insurer’s rating, we adjusted the scores to a curved 5-point scale.
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 editorial guidelines.
Insurer complaints methodology
NerdWallet examined complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners in 2020-2022. To assess how insurers compare with 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.
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