32 and Gone…

I recently closed 3 homeowners policies, closed 3 auto policies, migrated most of my money out of USAA FSB, and switched my direct deposit from USAA.  I stayed the last few years out of some twisted sense of loyalty that USAA no longer earns from its members as it once did.  Very poor service overall epitomized by the artificially un-intelligent phone robot  and multiple "associate " handoffs in search of answers to basic questions.  And, to top it all, USAA rates are not all that competitive.  To be sure, I would pay more if the service was what it once was, but poor service plus higher rates just makes no sense at all.  It is just a matter of time before USAA moves beyond the military only community and goes completely publc, completing the transformation to just another insurance company that has already started about 10 years ago. None of the new board members served in the military.  This is not a coincidence. It is USAA's future, by choice.   Good luck, USAA!

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Sadly I am moving on as well.  Started with the closing of the investment arm; then the ridiculous mortgage (and other) rates while other institutions were dropping rates during 2020..2022.  Last draw is the newly retooled interface.  It's gotten so much worse over the last year or so; this latest update is insufferable.  How?  How do create a user interface so terrible, and move to it intentionally?  Paid off the debt last month.  Just need to migrate insurance policies then I'm out.  :(  D*mmit.  It was so good for so long.  I've hung around hoping that it would get back to good, but, ... :(

We began the process a year and a half ago. Switched our basic savings from USAA (interest rate 0.01%) to Ally Bank (0.5%)- that's 50 times USAA! Ally is an internet based bank and doesn't pretend to be otherwise, whereas USAA pretends to be lots of things but is nothing but a low-end internet company of questionable repute (in for 38 years, and it truly used to be a wonderful company that inspired loyalty). Our main checking is now a local bank- no interest (don't really miss those 4 cent a month earnings) which, if there's a question or concern, an friendly and competent person will answer the phone after 2-3 rings, and they won't lie to you! Switched to GEICO for house and auto- better rates and a little more flexibility.


There is no reason to remain with USAA- we maintain a few accounts because they are tied to a few other things, and having extra debit/credit cards helps in running our small charity project in Central America.




How are things working for you on the insurance side? I'm looking as well. Tired of financing high deductibles and very basic coverage with higher premiums. Loyalty only goes so far--and it shouldn't only be one-way.


USAA CSR: No need to respond or escalate.

Very well stated.  Smart move leaving USAA.

Thank you for taking the time to provide this valuable feedback @DGM. I regret to hear of your disappointment in the rates you were provided, as it's never our intent to make our members feel this way. I will forward this feedback to our social team, as we always look for ways to improve and serve our members better in the future. We hope that you will check back with us as we do value your membership and strive to provide and give the best in class service to our members - Ralph 

After wrestling with the homeowner insurance quote which did not allow me to enter relevant information, I spoke to a one of USAA's "licensed agents". She was unwilling to discuss anything besides the content of the forms I filled out, did not understand that in some parts of the US homeowners tell their insurance companies how much coverage they need, could not even discuss that rebuilding costs in my zip code are $350-$400/sf. After wasting almost an hour going over the form I had already filled out, she gave me a number 100k below the amount I have thru another company (and is too low for actual replacement). When I asked USAA to value my home as a base to negotiate replacement cost, the form said it was UNABLE to provide a value. I guess USAA does not want to insure homes in the nicer parts of Colorado. Too bad there isn't a way to discuss this with someone who has the authority to correct such glaring problem. This undervaluation has happened 3 times  during the last 10 years and clearly, I will NOT ask again.

Read it more closely, please.  It's not the rates but the POOR CUSTOMER SERVICE that is the problem.  Thank you.