Originally Posted by
Riddler
Thought about USAA changing its client demographics. As we all have seen on this thread, USAA has expanded its services first from officers, then NCOs, and then family members and just about everyone else. Could it be that most military members live in higher risk areas that are subject to more severe weather, and that the company is trying to spread out its risk more evenly? Just take a look at the number of bases in FL, then there's tornado alley in TX and OK, and bases running all the way up the east coast that are subject to both hurricanes and blizzards/ice storms.
I would doubt that is much of a player. I would bet that 75% of USAA's subscriber base is not on active duty. Of course the insurance people all measure risk and what you mention must be taken into account. I think their rates are high for other reasons. Chiefly, spreading the cost of a risker subscriber base when the gates were opened. (A 25yr USAA employee confirmed that for me when I was called after witnessing a wreck. I mentioned that I was a former USAA member and we got to talking.)