USAA Homeowners Insurance Is a Joke - Way Overpriced

USAA recently sent me a notice that my homeowners insurance has increased (signficiantly). When I called them, they said that the cost to rebuild my house *changed*. In fact, they said from last year the cost to rebuild increased 40%!


When I asked them for an explanation, they said "we are using a new software that is better than the old one". Yah, better in that it vastly overcharges. When I aksed if the old software was then "very wrong" they said no, it was correct as well, which is logically impossible - both the old software and the new software cannot be 'accurate' if they differ by 40% estimating the cost of a rebuild. 


To be honest, it seems extremely scummy and scammy to be able to change the cost of a rebuild more than 40% all at once. In fact, they send you a 'note', but you actually dont even have to sign anything.


Let me reiterate, they can charge you much more, and they dont even need your permission, especially because these escrows are often bundled into your mortgage payment, it happens behind the scenes.


I feel bad for all the USAA customers whose rates increased "automatically" without even having to agree to it.


When I signed up with USAA - I didn't think I would be getting such blanket answers like "the new software told us that your house costs more, so there go you". I didn't think that it would be possible to raise the cost of a rebuild 40% overnight.


I've gotten much better quotes from other various insurance companies and will be switching shortly. USAA you used to be a great company in my eyes, but unfortunately you've joined the ranks of the other large terrible institutions.


thecomputerguy, we appreciate you taking the time to post in our community regarding your insurance policy. We value your feedback, and want to ensure your concerns are appropriately addressed. I am engaging a team of business specialists to review your concerns and policy and will follow-up with you to further discuss. We appreciate the opportunity to address your concerns. -Meredith