Alternative to USAA
December 20, 2017 3:17 PM   Subscribe

I need to move my business from USAA to another insurer and/or banker. They've gone down hill... more inside...

For reasons I do not understand USAA just sent me a form letter stating:
Thank you for trusting us with your auto insurance needs. We're writing to let you know that the Guaranteed Renewal endorsement is no longer available in your location. Because we want to continue offering a competitively priced auto product for all members and to be the provider of choice for auto insurance, USAA has made the decision to not offer this endorsement in your location.

Apparently, I am not alone. I searched the web and found a lot of angry x-military types like myself who are leaving USAA's Insurance and Banking. Does anyone have a suggestion for an alternative insurer and or banking institution? I've been with them over 40 years but the service and value is sliding....bonus points for companys with both banking and insurance (auto, home, jewelry, etc.). I don't need a brick and mortar location...
posted by drthom to Work & Money (8 answers total) 10 users marked this as a favorite
I switched my banking from USAA to Ally a couple years ago, and have been very glad. I still have USAA auto insurance but will probably switch soon when my current policy ends; can’t vouch for Ally’s auto products yet.

I also know Navy Federal is a well-liked USAA alternative, although I haven’t used them personally.
posted by schroedingersgirl at 3:30 PM on December 20, 2017

Seconding Ally Bank. As far as insurance, you should get quotes from several insurers. No one company has the best prices for all drivers; it varies a lot depending on individual circumstances. I have found that in order to keep getting a good deal, it's necessary to shop around every 3 years or so and be willing to switch. All of the companies seem to raise your rates each year by however much they think they can get away with, even with no accidents or tickets.
posted by jkent at 4:25 PM on December 20, 2017

If Amica is available in your area, they're generally regarded as neck-and-neck with USAA in terms of quality and service.
posted by kevinbelt at 5:02 PM on December 20, 2017 [3 favorites]

Penfed is great for banking, and you'll be eligible since you're ex-military.
posted by reptile at 5:06 PM on December 20, 2017

Seconding Amica.
posted by 2 cats in the yard at 5:14 PM on December 20, 2017

Best answer: The Guaranteed Renewal Endorsement was never really worth much, at least IMO. It didn't stop them from raising your rates if you were a risk; so instead of dropping you completely, they'd just raise your rates until you moved elsewhere. Now, they just drop you, I guess, if they think you're a risk. I'm not sure as an insured that there's much in the way of a material difference between the two.

I got a similar letter, but TBH it didn't really register as a big deal. I hadn't thought to even read the forums and I guess I'm surprised at the number of people who are so upset. I suppose they could have handled it better.

I'd search around at some of the other high-touch insurance companies (Amica is one I've heard compared favorably; I'd mostly just stay away from the discount companies) and see what the rates are. If there's a significant cost savings, factoring in the USAA dividend, no reason not to switch. But I don't know if the lack of the Guaranteed Renewal Endorsement would necessarily lead me to switch, either. It was never a particularly meaningful benefit -- maybe back 50 years ago when insurance companies were largely intrastate operations and it was hard for servicepeople who moved around to get coverage at all, it was more of a big deal? I've always just assumed that if I have a really bad claim, I'm probably going to be shopping around for someone who doesn't know me quite so well.
posted by Kadin2048 at 6:33 PM on December 20, 2017 [2 favorites]

I use USAA for auto and renters insurance and have had positive experiences but how disappointing and frustrating for you right now!

I use Navy Federal for banking and love it. The quality of customer service and things like free checking and ease of access are important to me. I live near a branch but also do online banking; their help by phone is great, too. People are always friendly and helpful; sometimes there are long lines but it's surely no different from other banks or credit unions.
posted by smorgasbord at 6:59 PM on December 20, 2017

I really like Alliant Credit Union and have used their financial products for over a decade. I also use Lake Michigan Credit Union for checking since it earns 3% interest on up to $15K and have never had any problems with them.

I’m also a Penfed member and have used their credit cards and auto loans but stopped using them because their usability and customer service weren’t great.

I’ve found most insurers suck but have heard great things about State Farm. Unfortunately when I got a quote from them it was much higher than my current insurer (Liberty Mutual).
posted by rabbitrabbit at 6:11 AM on December 21, 2017

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