The Best Auto Insurance Company of the Year Didn't Win a J.D. Power Award
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Many consumers struggle to find cheap auto insurance from companies with fair policies and excellent customer service. Apps like Jerry and websites like J.D. Power can point them in the right direction. J.D. Power is considered an expert when it comes to vehicle reliability, and automotive reviews in general.
Despite performing well in customer surveys, the popular auto insurance provider USAA didn’t win J.D. Power’s Best Auto Insurance award. Does this mean you should be hesitant about enrolling in USAA’s auto insurance coverage?
What is USAA?
USAA (United States Automobile Association) is a provider that offers multiple types of insurance to U.S. Military members. Its auto insurance program includes safe driving discounts and cheaper rates when registering multiple vehicles. Accident forgiveness is also part of the plan, but only in certain areas.
In addition to cars, USAA members can get coverage for motorcycles, mopeds, scooters, and ATVs. Discounted rates are available with proof of taking driver safety courses.
USAA’s RV coverage includes 24/7 roadside assistance, as well as a disappearing deductible award in certain states. You can also get boat insurance through USAA, which covers theft and accidents.
USAA and customer satisfaction
According to J.D. Power’s auto insurance study last year, customers loved USAA the most. In each area of the country, USAA received the highest customer satisfaction score. USAA is most popular in the Southeastern states, where it receives 909 customer satisfaction points out of 1,000.
Even in the Southwest where it gets its lowest score of 876, USAA still beats several popular competitors. American Family and GEICO tied for first place in this region, with a score of 834.
GEICO was also the most popular provider in the Northwest and North Central areas of the country. However, its highest score doesn’t go beyond 851.
USAA was not eligible for J.D. Power’s award
Ultimately,USAA didn’t qualify for a J.D. Power award because it doesn’t meet the site’s winning criteria. Insurance providers in the study should be able to provide coverage for all consumers. USAA only offers coverage to U.S. military members, veterans, and pre-commissioned officers.
A military member’s family might be able to get coverage as well, but only under certain conditions. Spouses, widows, and widowers of military members are eligible, along with former spouses who haven’t remarried.
Any children of a military member are eligible for USAA insurance, including step-children. However, if the military member has passed away, a child can’t take out a policy in their parent’s name.
Military members and veterans have to enroll for USAA coverage while they’re still living. Other members of the policy holder’s family, such as their parents and siblings, are not eligible for USAA insurance.
Other findings from J.D. Power’s 2020 auto insurance study
Digital tools from auto insurance providers are now more important for policyholders than consistent agent availability. At least 34% of any provider’s score came from the ability to modify coverage online and through apps. Every auto insurance provider’s score was also higher than average thanks to digital tools alone.
Despite more accessibility options in recent years, insurance holders still struggle to trust their providers. Only 42% of consumers strongly agree that their insurance provider is trustworthy. The biggest factor to building trust with any provider was claim history.
USAA was found to be the leading auto insurance provider in terms of trust and online functionality. It offers a free mobile app as well as membership support by phone.
No matter which company you’re thinking of using for car insurance, make sure to use Jerry to compare multiple quotes to get the best deal. Jerry takes care of the whole process from start to finish, without bombarding you with frustrating spam mail or constant calls.