Best Car Insurance for Military Members and Veterans (2026)
USAA is the best car insurance for military members and veterans, with rates roughly 46% below the national average. If you do not qualify, Travelers and GEICO are the closest alternatives.
USAA: The Clear Choice for Military Families
USAA has topped J.D. Power's auto insurance satisfaction study for more years than any other insurer. With a 0.64 NAIC complaint index, it receives fewer complaints per dollar of premium than any major competitor. The 2025 J.D. Power Military Auto Insurance Study rated USAA 890 out of 1,000, far ahead of any civilian insurer. If you qualify, USAA is simply the best car insurance available in the United States.
USAA Eligibility: Who Qualifies?
- Active duty US military (all branches)
- Retired military (honorable discharge)
- National Guard and Reserve members
- US military cadets and midshipmen
- Spouses of current USAA members
- Children of current USAA members
- Widows/widowers of USAA members
- Veterans with other-than-honorable discharge
- Parents of USAA members (only children qualify)
- Siblings of USAA members
- Friends or roommates of members
- Civilian government employees
- Adult children retain membership after parents
- Stepchildren qualify with legal custody
- Former spouses lose eligibility after divorce
- Grandchildren of members do not qualify
USAA Military-Specific Benefits
When you deploy overseas and store your vehicle, USAA can reduce your premium by up to 60%. You retain comprehensive coverage for theft and weather damage while eliminating collision premium.
Military members who park on a US military base qualify for up to 15% off because on-base parking is considered lower risk than public streets or commercial lots.
USAA's telematics program tracks driving behavior via a mobile app. Safe driving scores (smooth braking, no distracted driving) earn up to 30% off your renewal rate.
Permanent Change of Station moves involve complex insurance logistics. USAA has specialists who handle policy transfers across states quickly, with no coverage gaps during the transition.
Eligible family members can be covered under a single USAA policy with multi-car discounts. Active duty members can add spouses and children with competitive household rates.
Deploying members can reduce or suspend collision coverage while maintaining comprehensive (for storage risks) and save significantly until they return and resume driving.
Alternatives for Non-USAA-Eligible Drivers
| Company | Military Discount | Avg Full Coverage | Best For |
|---|---|---|---|
| GEICO | Up to 15% | $2,112/yr | Cheapest rates after USAA |
| Travelers | None specific | $1,158/yr | Cheapest full coverage nationally |
| State Farm | None specific, but competitive | $2,394/yr | Agent support, telematics |
| Progressive | None specific | $2,546/yr | Drivers with any violations |
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Frequently Asked Questions
Is USAA car insurance only for military?
Yes, USAA is available exclusively to active duty military members, veterans who received an honorable discharge, National Guard and Reserve members, cadets and midshipmen at US service academies, and eligible family members of all of the above. Eligible family includes spouses, widows/widowers, and children of USAA members. Stepchildren qualify if the member has legal custody. Adult children can maintain their own USAA membership after their parent had USAA.
How much can military members save on car insurance with USAA?
USAA members save roughly 46% compared to the national average full coverage rate. At $1,670 per year versus the national average of $2,697, that is approximately $1,027 in annual savings. Additional savings are available through USAA's SafePilot telematics program (up to 30% off for safe driving), deployment storage discount (up to 60% off when your vehicle is stored while deployed overseas), and on-base parking discount (up to 15% off).
What should military members do with car insurance when deployed?
If you are deploying overseas and storing your vehicle, request USAA's deployment storage discount, which can reduce your premium by up to 60%. Do not cancel your policy entirely because maintaining continuous coverage history is important for your rates when you return. If you have a loan on the vehicle, your lender may require you to maintain comprehensive coverage even while stored. Reduce or suspend collision coverage while stored since the main risk is theft, fire, and weather (all covered by comprehensive).
What is the best car insurance for veterans who don't qualify for USAA?
Veterans who received an other-than-honorable discharge are not eligible for USAA. For these veterans, GEICO offers the best military discount among non-USAA insurers at up to 15% off for current and former service members. Travelers is consistently one of the cheapest for full coverage nationally. Progressive offers strong rates for drivers with any complications in their driving record.