You Asked We Answered: Guaranteed Renewal Endorsement


It is our hope in community, to be a knowledge base where our membership comes when they need clarification, have questions on military life topics or if they have a question or a concern regarding a service USAA provides. Each month, in our “You Asked We Answered” series, we look at the trending topics driven by your questions and comments.


I asked Terri Pearce, a USAA underwriting and policy specialist, to address some of the concerns raised by you all in community. I hope this adds some clarity and detail to the GRE questions and concerns:


Terri: I wanted to start by telling you all that we understand this might catch members off guard and give the impression we are not committed to them, but this is far from that. USAA intends to renew as many members as possible. To manage financial strength, USAA may non-renew more members once GRE is removed. Even with the removal of GRE, 99% of policies will continue to be renewed. In some cases, the GRE prevented USAA from taking underwriting action for risks in which USAA is not able to price adequately.



JP56: … What does this mean?  Assuming, USAA can just decide to discontinue my insurance coverage for any or no reason.  BTW, I have the lowest premium due to no accidents or infractions.  My parents were USAA members (active duty WW2 and Korea), and I have been a USAA member giving them ALL my insurance business since 1974.  My grown children are USAA members and have all their insurance with them…”


Terri: It is an honor to serve your family. We value our members, and we want to continue to have life-long relationships with members and their families. USAA made the decision to no longer offer the Guaranteed Renewal endorsement in the majority of states. All members in these states will no longer carry the endorsement on their auto policy. This decision was not done lightly and was done after much careful consideration and review. Ultimately, the decision was made to remove the endorsement so that USAA could remain competitive in the marketplace for all members. Our mission is to facilitate the financial security of our members, and we strive to do that by offering competitively priced and relevant products.


JOJO BECKI have been a customer for almost 10 years and have never had a wreck in my adult life until this year. I had two small bumper at fault accidents in the past 9 months, one under accident forgiveness. … I thought USAA would have my back by being honest and doing the right thing but now I'm disappointed and don't know what to expect. I picked a bad year to have a bad year…”

Terri: Thank you for your 10-year membership with USAA. Unfortunately, the Guaranteed Renewal endorsement did not allow the flexibility that is needed in order for USAA to remain competitive in the marketplace for all members. USAA will continue to renew 99% of all auto policies. We want members to be satisfied with their claims so I would encourage you to reach out to your adjuster for any questions that you might have.


Malthus: “…I have been a customer for nearly 30 years, and have had few claims, probably two fender benders, over that time. My father, mother, and wife are also members…This letter, sent with no explanation, is disrespectful and the complete opposite of how I have experienced, the up-to-now, fantastic customer service and support from USAA.”


Terri: Thank you for you and your family's long tenure with USAA. At USAA, our commitment to our members today is the same as when our great company was founded in 1922. The decision to remove the Guaranteed Renewal endorsement from the majority of states was a difficult decision, and it was not made lightly.  Like I mentioned to JOJOBECK above, USAA will continue to renew 99% of all auto policies and is not looking to cancel member’s policies. We want to continue to be able to offer you and all our members that fantastic customer service and support that you have rightly grown to expect for many years to come.


Akflyer: “I got mine in the mail last week. Not even sure what this endorsement is anyway. Odd thing is though, this decision that the Guaranteed Renewal Endorsement is no longer available for my location, doesn't apply to 3 of my neighbors….”


Terri: USAA made the decision to no longer offer the Guaranteed Renewal endorsement in the majority of states. All members in these states will no longer carry the endorsement on their auto policy. The removal of the endorsement does not mean that USAA is any less committed to members or providing world-class service.


We appreciate all the comments and engagement in community and we strive to provide transparent and informative answers to your questions and concerns.


If you have additional questions, please let us know in the comments and we will get the answer.



About the Blogger: Briana Hartzell is a Navy spouse, mother to two beautiful girls (4 years and 1 year), a former full time USAA employee and a graduate of Texas A&M University. Briana writes at Being Briana, a blog focused on the joys that military life and parenthood can bring.


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