U.S.A.A. Life Insurance: What You Need To Know

USAA, founded in 1922, provides insurance and financial services to U.S. military members, veterans, and their families. Although its insurance products are restricted to this group, its life insurance policies are available to the general public. USAA offers term, whole, and universal life insurance policies, with coverage ranging from $100,000 to $10 million. The company provides additional benefits for military personnel, including expedited coverage approval during deployment, coverage during wartime, and a $25,000 payout for certain severe injuries. USAA's life insurance rates are dependent on factors such as age, health, and location, and its policies may not be available in all states.

USAA life insurance policies

USAA offers term, whole, and universal life insurance policies. While USAA's insurance products are designed for military members, veterans, and their families, its life insurance policies are available to everyone.

Term Life Insurance

USAA's level term policy is available for 10, 15, 20, 25, or 30 years, with coverage ranging from $100,000 to $10 million. Depending on the state, additional benefits may include:

• Coverage for active-duty and reserve-duty military members and their spouses during wartime.
• A $25,000 payment for severe injuries sustained while on active duty.
• Guaranteed coverage after leaving the military.
• An option to add $100,000 in coverage for major life events like marriage, buying a house, or having a baby.
• The option to convert to a permanent policy.
• The option to replace service members' group life insurance (SGLI) with a USAA term life policy after leaving the military.

USAA also offers an Essential Term policy, which is a simplified issue life insurance policy that does not require a medical exam. This policy is only available to those aged 21 to 35 and expires when the policyholder turns 39. Coverage is capped at $100,000, and it is not available in Arizona or New York.

Whole Life Insurance

USAA offers two types of whole life insurance: Simplified Whole Life and Guaranteed Whole Life.

The Simplified Whole Life policy is available to applicants up to 85 years old, with coverage up to $10 million. Payments can be made for 20 years, until the policyholder turns 65, or for the full duration of the policy. Policyholders can increase coverage after certain life events, up to six times, with a free Life Event Option rider.

The Guaranteed Whole Life policy is available to applicants aged 45 to 85 (50 to 75 in New York) and provides coverage from $2,000 to $25,000. This policy does not require a medical exam or health questionnaire and is typically used to cover burial or funeral costs. It is not available in Montana.

Universal Life Insurance

USAA's Universal Life Insurance policy offers flexible payment options and a guaranteed interest rate of 1%. The policy is available to applicants up to 90 years old, with coverage starting at $50,000. A medical exam is required, and the policy is not available in New York.

Riders

USAA offers several life insurance riders, which provide additional coverage or payments. These include:

• Child Term Rider: Allows policyholders to add their children to their policy. Children may have the option to convert the rider to their own policy when they are older, regardless of their health.
• Waiver of Premium: Waives the premium if the policyholder becomes disabled.
• Military Severe Injury Benefit: Pays $25,000 if the service member sustains a severe injury while performing military duties.
• Accelerated Death Benefit: Allows early payout of a portion of the death benefit if the policyholder is diagnosed with a terminal illness.
• Accidental Death Benefit: Increases the death benefit if the death is accidental.

USAA life insurance rates

USAA offers a range of life insurance policies, including term, whole, and universal coverage. The cost of USAA life insurance depends on various factors, such as age, sex, and location. Here is a closer look at the rates and factors that influence USAA life insurance premiums.

Term Life Insurance Rates

USAA's term life insurance is available for 10, 15, 20, 25, or 30 years, with coverage ranging from $100,000 to $10 million. The monthly rate for a 20-year, $500,000 term life insurance policy from USAA is approximately $61.28 for a woman and $74.18 for a man, assuming they are non-smokers in excellent health. However, it is important to note that these are sample rates, and the final quote may vary based on individual factors.

Whole Life Insurance Rates

USAA's whole life insurance provides permanent coverage with fixed premiums. While the rates may vary, USAA's whole life insurance policies can start as low as $2,000 and go up to a maximum of $10 million. The cost of whole life insurance depends on factors such as health, lifestyle, and the desired coverage amount.

Universal Life Insurance Rates

USAA's universal life insurance is another form of permanent coverage that offers flexible payment options. The policy is available up to age 85, and the premium payment schedule and death benefit can be adjusted. The starting coverage for a universal life insurance policy from USAA is $50,000.

Factors Affecting USAA Life Insurance Rates

Several factors influence the rates for USAA life insurance policies. These include:

• Age: Younger individuals generally pay lower premiums than older individuals.
• Sex: Women often have lower rates than men due to differences in life expectancy.
• Health and Lifestyle: USAA considers health conditions and lifestyle choices, such as smoking, when determining rates.
• Location: The cost of life insurance can vary depending on the state or region.
• Coverage Amount: The desired coverage amount significantly impacts the premium, with higher coverage resulting in higher premiums.
• Policy Type: Term life insurance rates may differ from whole or universal life insurance rates due to the differences in coverage duration and features.

USAA life insurance financial stability

USAA has the highest possible grade from insurance credit rating agency AM Best: an A++ (Superior) rating. This is the highest possible rating and indicates the company's longevity and strong likelihood of being around to pay out future claims. USAA is one of only seven out of 45 life insurance companies evaluated by Investopedia to earn an A++ rating.

Over three years, USAA has had a complaint index of 0.283, according to a NerdWallet analysis of data from the National Association of Insurance Commissioners. This is lower than expected for a company of its size. Only 10 of the companies evaluated had a lower index than USAA.

USAA has been around since 1922, giving it a track record of financial stability. It was founded by a group of Army officers as a way to insure their cars and later expanded to include banking and investment services. Today, it has more than 13 million members.

USAA's life insurance policies are underwritten by other companies, including John Hancock and Mutual of Omaha, which also have strong financial stability ratings.

USAA life insurance accessibility

USAA life insurance is available throughout the US, and you don't need a military connection to qualify for its life insurance policies. However, the company does offer certain perks for veterans, members of the military, and their families. The only exceptions are that its universal life policy isn't available in New York, and its guaranteed whole life policy isn't available in Montana.

USAA life insurance eligibility also depends on your health. Some policies don't require a medical exam, which makes it easier to secure coverage if you have pre-existing health conditions. Age may also limit the availability of some policies. For example, the company's no-exam policies have stricter age requirements than USAA's traditional policies.

The USAA Life Insurance Company's phone number is (800) 531-LIFE (5433). USAA's life insurance customer service is available Monday through Friday from 7:30 a.m. to 8 p.m. CST. If you're calling to inquire about claims after a loved one's death, you can call (800) 292-8294 Monday through Friday from 7:30 a.m. to 6 p.m. CST. The USAA Life Insurance Company's mailing address is 9800 Fredericksburg Road, San Antonio, Texas, 78288.

USAA makes it easy to get life insurance quotes and for your beneficiaries to file claims after you die. You can access quotes and estimates online by filling out some simple forms. Each policy comes with access to USAA's Survivor Relations team. Before a loss, team members can help you with estate planning, terminal illness management, and funeral cost protection. During or after a loss, that team can help organize legal and financial business.

USAA life insurance customer satisfaction

USAA offers a range of life insurance policies, including term, whole, and universal. The company has a low volume of customer complaints relative to its size, indicating high customer satisfaction.

USAA's life insurance policies are available to the general public, although some policies are only available to military members. The company provides additional benefits for military members, including coverage during wartime and a $25,000 payment for severe injuries sustained during active duty.

USAA's life insurance products are designed to meet the unique needs of military service members and their families. The company offers guaranteed insurability, meaning policyholders can increase their death benefit without re-qualifying for coverage. This is especially useful for those whose health may change over time.

The company has received mixed reviews on consumer sites such as Trustpilot. While some customers praise USAA's customer service and claim handling, others complain about long wait times and difficult claims processes.

Overall, USAA's life insurance products offer strong financial security and customer satisfaction, particularly for those with military connections. The company's low complaint index and positive reviews from trusted sources make it a good choice for life insurance, especially for those seeking military-specific benefits.

Frequently asked questions