Another Disappointment
 

Here's another USAA disappointment. Just added second son to auto policy. Was asked which vehicle to add him to. Told them the older kid car and all was well. Get the amended policy sheet and notice the newest most expensive car had its rate raised. Called them about it and they said they couldn't add him to the kid car because it already had a "youthful" (youthful being a 22 year old) driver and they couldn't put 2 youthful drivers on the same vehicle (even though they are driving THAT vehicle). So they didn't call me and ask which one to put him on and arbitrarily put him on the newest most expensive (hence highest premium) vehicle. Once I called them on it, all they could say was....Sorry. Kind of like my teen saying "my bad." Then I asked why my 22 yr old still had points on his vehicle when his ticket was over 3 yrs old. They acted all surprised and said, "It has been over 3 years so we will take it right off now." They waste no time adding points, but this is the 3rd time (out of 3) I have had to tell them to remove points for various things over 30 years. They NEVER do it on their own. I have to wonder how many people are paying for points that should have expired and been removed. Their attenion to detail and quality of service to the service man has steadily declined over the years. You can add me to the list of those starting to look around and shop. My guess is I'll find a local agent that will be able to save me some money and still provide at least the USAA level of service I am presently getting. USAA doesn't seem to be setting that high of a bar to compare to now-a-days.

Nothing but crickets...chirp...chirp

I'm looking hard for a new company, but the one thing I find hard to calculate is the effect of the USAA dividends on the effective rate. I have been getting dividends on my policy dollars and SSA for the past 30 years, ranging from a low of 2% to a high of about 30% (assuming that we treat dividends added to our SSA as real dollars).

What would be a reasonable way to calculate the expected effect of the potential dividend on todays premium?

Joe

What is the subscriber savings account?

As a young LT with a young LT car bought through USAA I thought I would go with them on car insurance. Bad idea. I was being charged $200 a month, never had a ticket, no accidents. I just thought young guy, expensive fast car.... well I shopped around when I got out. I got insured through liberty mutual for $1200 a year. Needless to say I switched. Wish I had USAA customer service at Liberty Mutual prices.

Update - I recently switched to progressive, im now paying half of what I was paying liberty mutual, and 1/4 of what I was paying USAA for the same thing.

I deposited a check at USAA using my iPhone. Say what you want...I thought that was pretty awesome!

It is a "savings" account that each USAA pays dividends into each year. It is automatic, and you only get it when you close your accounts (leave.) YOu get a statement each year, and it can be in the thousands of $$$ (total value) if you have been with USAA years and years.

Above a certain amount, which goes up each year and appears to also be some multiple of your current premiums, you do also get a check back. At the end of 2007, I had $8200 in my SSA. During 2008 I got a distribution of $200, and USAA also added $300 to my SSA, leaving me with $8300 in my SSA at the end of the year.

Joe

I have used USAA now since I was commissioned in 1997 and have NEVER had an issue with the company, whether it was Renters/Auto/Home Ownders, or Mortgage Services. If I were USAA I'd keep the drivers points on the record until the policy holder called me to tell me to remove it. As an insurance company it is in their best interest to do random record checks for tickets and add them appropriately. Conversely, I think it is the policy holder's responsibility to update the points being reflected on their policy just like a customer update their address if they moved. You wouldn't just expect USAA to know you moved would you?. I look at it this way, it's in YOUR best interest to remove them so why not pick up the phone when they expire and take care of it?

The fact that they couldn't put two drivers on the same vehicle might not be their fault at all. Many states mandate auto insurance laws and policies so insurance companies will often adopt those laws as internal policy to avoid any conflict with state law. The fact of the matter in the insurance company's eyes is this: It matters what vehicle the young driver drives, yes, however they could get in any car in your household and drive it. Therefore you as the policy holder should be responsible for that increased risk to the company in the way of higher premiums. Which car they choose to assign that one to is independant of what kind of cars you have isn't it; meaning they are going to assume the most risk are they not? Just my humble opinion, then again I've never had an issue with USAA...so perhaps I'm a bit biased until im wronged.

I'm Still Disappointed
 

Oh Yeah? I'll see your 1997 and raise you a 1978. 31 year member here. Until recently I've not had a problem with USAA and have been a staunch advocate for them. I have always had auto, homeowner and rental insurance with them depending on whether I owned or rented at the time. Their service used to be fantastic. Over time (as some others here who have been around a little longer than you) have noticed, their extremely high level of service seems to be eroding. Service has taken a back seat to growth and profit. Had you experienced what it was like 30 years ago you might have noticed this as well. I think most of us started noticing the erosion as they expanded their membership base beyond mil officers. As major companies expand, they eventually reach a point where they can no longer support the same level of individual "down home" service a smaller entity can. I still think they are a good company, just not as good as they used to be. I am starting to believe they have reached a point where you can find service that is "as good" for a lower cost. In 31 years (that's a lot of premiums and a lot of investment in the company), I've had to make 3 auto claims (2 minor fender benders and 1 no sh@t accident involving various family members, not necessarily their falult). The only thing USAA did that didn't sit well with me was when they insisted on using after market parts since my vehicle was more than 3 (I think that was the number) years old. My experience has been that most after market body parts fit like crud and have to be cut, bent, trimmed etc to "make" them fit. They couldn't get the after market parts to look/fit right so they ended up using OEM parts anyway and cost me an extra 3 weeks with the car in the body shop. Had they used the OEM parts in the first place like I asked, they would not have had to "eat" the after market parts and I would have had my car back 3 weeks earlier. Not a bad record for 31 years, but lately they have been making changes to limit coverage, raise deductables (wind and hail coverage for example), reduce market areas (Gulf Coast), and little nickel and dime changes. You sound like a "fine print" kind of guy. If the points on a policy were listed in a column like the coverage, it wouldn't be that big of a deal to monitor them, but they "hide/bury" them in a coded string of numbers associated with the vehicle number as opposed to the driver and they can be a little tough to decifer and monitor unless you know what you are looking for. They don't do random checks, tickets are reported by the state. They know...there is no hiding them or randomness. They also know when the 3 yr policy increase should expire. Why should I have to remind them. It is their policy to raise premium for a specified period of time. Removing them would come under the topic of "service to the policy holder." If it doesn't matter what vehicle the driver is assigned to, then why do they ask in the first place? Why don't they apply every driver to every vehicle? I don't have a problem with risk assumption, just don't ask me a question and blow off my answer. Then arbitrarily assign a driver to a vehicle they will not drive. (I know they "can," but they "won't"). If the kid was driving a Vette, I bet they would want him associated with that car instead of the family Taurus. With 31 years of premiums and thousands of dollars in my SSA I think I've pretty much covered the risk by now and they know it. I guess what I'm trying to say is...they need to stop trying to nickel and dime their loyal policy holders and then say I'm sorry when they get caught. They need to get back to the "attention to detail" they built their reputation on continue to "do the right thing" instead of prostituting themselves to the almight dollar like evey other company out there that is not USAA. If they don't, people will go where they can get service that is "just as good" for less as other posters here have done.