Subscriber's Account Scam: USAA holding onto my money; won't give me a good answer why or when I will get it back!


After many years with USAA I've decided to get my insurance elsewhere (cut my premiums in half by going to the other company but that's a different topic). I terminated my policy on March 5th, 2019 and I was told by the person who cancelled my insurance that the $4000 of capital I had in the subscriber's account should be returned to me after cancelling.  I called USAA on March 8th to inquire when I will get my subscriber's account balance back.  The first time I called, after putting me on a long hold to inquire of her Senior Billing Rep, the phone rep told me that it normally takes about six months to get a return of premium, but that I won't be getting anything back unless I cancel all "products"  I have with USAA.  I inquired what she meant by "products" and she said, "Life insurance, Banking accounts...everything".  I told her that the person I cancelled my insurance with told me otherwise and that I should be getting it back.  She said, "I don't know why they would have told you that.  You won't be getting anything back."  I ended the call a bit confused but decided to check into it on my own.  From the information on USAA's website and in my most recent Subscriber's Account Annual Statement I got from them in the mail, it became clear to me that the money I have in that subscriber's account is my own money that is held for casualty membership only (AUTO and Homeowner's insurance) and that "a distribution is made after termination of membership in accordance with USAA Bylaws."  So I called back to inquire once again, when will I get my premium back?  The rep said that my account closed on March 5th and usually it takes about six months for them to get it back to me so I should call back in September.  What??? I have to wait six months to call and find out when I might be getting my premium back?  This was unsatisfactory.  I told her that I watnt to know now the date that I will get it back and how it will be returned to me.  She put me on a long hold to talk to her Senior Billing Rep again.  When she got back to me she couldn't give me any more details so I asked to speak with this Senior Billing Rep.  Senior Billing Rep came on and all she could tell me was that my money cannot be returned to me any sooner thatn September 5th and that they will send me a check sometime after that, for the amount that was shown on last year's annual statement.  I asked, about the current balance as of march 5th since I paid for january and february but she explained that since the account is paid annually there isnt anything in there for this year.  Okay fine, but why can't I get my money now instead of USAA holding onto it for six months, but she said that's just USAA's policy.  I said I disagree because I don't recall signing any agreement allowing USAA to hold my premium for six months after termination policy.   She re-itereated that is just the policy and it can't be returned any earlier than six months, and that it's actually, "a bonus to you."  I told her I disagreed again and that it's not my bonus, it's my money and it's really a bonus to USAA for holding onto my money for an additional six months.  I asked her where I can disbute this and she said that I cannot dispute it and she hung up on me.  I feel that USAA's "POLICY" regarding how they distribute their member's capital is not right.  I don't even feel confident from the answers that I have recieved that I will see that money back after six months or if ever even!  I wonder that if members don't know about their subscriber's account or forget about it and don't call back after six months to get their money back, does USAA their money indefinetely or for as long as they like? I was very dissatisfied with the answers (or lack thereof) from the representatives and with how rudely I was treated by the senior rep.  Thinking to look at my other "products", life, banking etc, and maybe take my business elsewhere.


@MountainFlower, I regret to hear that we no longer hold your insurance and I can understand your concerns regarding the Subscriber's Account payout. So that we may have the opportunity to clarify the payout process and procedures I have escalated your concerns. You will be contacted directly to discuss further. Thank you! -Cynthia

MountainFlower, Check out this document. No need to escalate unless they plan to give you your money now and that won't happen for some time. In the mean time--look at link below. It contains the pdfd for subscriber accounts. Hope it helps.

Subscriber Savings Document

I read in the bylaws that rules for disbursement of the Subscriber's Account.



Section 1. The Surplus accruing from the operation of USAA shall be allocated and/or segregated in the Surplus Account as required by regulatory authorities or as the board of directors may determine.


Section 2. The Surplus in excess of that required by regulatory authorities or for the financial stability of USAA as determined by the board of directors shall be returned to members under rules formulated by the board of directors.


Section 3. In the event membership in USAA is terminated for any reason for a period of six months, the amount accumulated in the Subscriber's Account will be paid to the member. If membership is terminated by the death of a member, payment will be made to the widow(er) or, if there is no surviving spouse, to the estate. However, if a widow(er) entitled to such payment chooses to continue membership in his or her name, at the option of the widow(er), such amount may be paid to the widow(er) or retained in the subscriber's account; any election to receive such payment must be made in conjunction with the decision to continue membership in such widow(er)'s name


If the bylaws apply to all of us, then they must be followed and applied to all members in the same manner.  I cannot see this being a scam if all member who cancel all of their property and causalty polices must wait a period of six months.  This is just following the bylaws of being a member.  This is what we signed up for when we became members  I do not know of any other insurance company that will provide this kind of payment back to their customer/member.  I do not beleive the subscriber's savings account is like a pass book savings account that can be used for withdrawls on demand but a means to return the final account surplus back to the member from the membership when all P and C policies are terminated.  Six months is a long waiting period but every member who cancels their policy will/should get their account balance sent to them.  The only way I see this changing is if the bylaws are changed.  Member's who have cancelled their policies only needs to have a little patience.  However, if the subscriber's savings account is not sent after and around six months then we have a whole different topic to discuss with USAA.