Allstate vs. USAA Car Insurance: Expert Recommended (2024)

Allstate Car Insurance

Pros:

• Coverage Options: Allstate offers a wide range of coverage options, including roadside assistance, personal umbrella policies, sound system insurance, and rental reimbursement.
• Claim Satisfaction Guarantee: Allstate provides a Claim Satisfaction Guarantee, allowing customers to get their money back if they are not satisfied with a claim, with no questions asked.
• Local Agent Network: With over 19,000 agents nationwide, Allstate focuses on providing local service to customers, offering a personal connection with agents.

Cons:

• Higher Rates: Allstate’s rates are generally higher than USAA’s, making it less cost-effective for budget-conscious customers.
• Military Exclusion: Allstate doesn’t cater exclusively to military members, limiting its accessibility compared to USAA.

USAA Car Insurance

Pros:

• Lower Rates: USAA consistently offers lower rates compared to Allstate, making it a more budget-friendly option.
• Military Focus: Exclusive to military members and their families, USAA provides specialized coverage and discounts for this demographic.
• Accident Forgiveness: USAA offers free accident forgiveness for drivers who go five years without an accident, providing added value.

Cons:

• Limited Accessibility: USAA is only available to military members and their families, excluding a significant portion of the general population.
• Fewer Local Agents: USAA lacks the extensive local agent network that Allstate possesses, relying more on online and phone interactions.

Best Overall Car Insurance: Allstate vs. USAA

When assessing the overall value and effectiveness of car insurance providers, it becomes evident that one company stands out as the superior choice USAA. Here’s a decisive breakdown considering rates and offerings.

Affordability: USAA takes a significant lead in terms of affordability. Consistently offering lower rates compared to Allstate, USAA ensures that customers, especially military members and their families, can enjoy comprehensive coverage without breaking the bank.

Coverage Diversity: While both companies provide a range of coverage options, Allstate offers a more diverse set of add-ons, including roadside assistance, personal umbrella policies, sound system insurance, and rental reimbursement.

Accessibility and Service: Allstate’s extensive local agent network provides a personal touch, catering to those who prefer face-to-face interactions. On the other hand, USAA’s online and phone-based services ensure convenience for a broader audience, albeit with fewer local agents. The military focus of USAA aligns well with the needs of its specific customer base.

Specialized Benefits: USAA’s offerings, such as accident forgiveness for safe drivers and additional benefits for military members, contribute to its overall appeal. While Allstate’s Claim Satisfaction Guarantee is noteworthy, the exclusivity of USAA’s benefits tips the scale in its favor.

Taking all factors into consideration, USAA emerges as the best overall car insurance provider. Its unbeatable affordability, focus on customer needs within the military community, and solid set of benefits make it the preferred choice. The cost-effectiveness and specialized advantages of USAA make it the clear winner for those eligible for its services.

Allstate

Founded in 1931 as a subsidiary of Sears, Roebuck & Co., Allstate has evolved into one of the largest and most well-known insurance providers in the United States. Originally established to provide auto insurance for Sears customers, Allstate has expanded its offerings to include a comprehensive range of insurance products, including home, life, and business coverage.

Over the years, Allstate has built a substantial network of over 19,000 local agents, emphasizing a personalized approach to customer service. With a strong presence in all 50 states, Allstate has positioned itself as a go-to choice for those seeking a wide array of insurance solutions coupled with a focus on individualized assistance.

USAA

USAA (United Services Automobile Association) has a unique history rooted in serving the needs of military members and their families. Established in 1922 by a group of Army officers who struggled to find insurance due to their high-risk professions, USAA was created to fill this gap.

Originally providing coverage exclusively for military officers, USAA expanded its eligibility criteria over the years. Despite its initial focus on auto insurance, USAA has grown into a full-service financial institution, offering not only insurance but also banking and investment services.

The company remains committed to its military roots, providing specialized benefits, discounts, and a strong sense of community for those who have served or are currently serving in the armed forces.

How do Allstate and USAA auto insurance rates compare?

Auto insurance rates from any company will depend on a lot of different factors, including where you live and what’s on your driving record. To take a look at Allstate vs. USAA auto insurance rates, we’ll start with averages for a clean driving record compared to several common violations.

Next, let’s see how Allstate vs. USAA auto insurance quotes compare based on age, gender, and marital status.

USAA’s rates are cheaper across the board, and often significantly cheaper at that.

What is included with a basic car insurance policy from Allstate or USAA?

Since Allstate and USAA are such large companies, drivers can expect coverage options to match. Their basic policies each have options to include the following types of auto coverage:

• Bodily injury liability coverage and property damage liability insurance
• Personal Injury Protection and Medical Payments
• Uninsured/Underinsured Motorist coverage
• Collision coverage
• Comprehensive insurance coverage

Wherever you live, Allstate and USAA will both offer the minimum coverage required by law in your state at competitive rates.

Read more: How does the car insurance claims process differ for uninsured/underinsured motorist coverage with Allstate?

What additional coverage do Allstate and USAA offer?

Many drivers choose to purchase additional coverage add-ons so that they can ensure their vehicle is covered no matter the scenario.

Allstate and USAA insurance both have many different additional coverage options to choose from. The following is an overview, and options will differ by state.

Drivers insured with Allstate can choose to upgrade their policies to include roadside assistance, personal umbrella policies, sound system insurance, and rental reimbursement among other options.

Allstate’s Claim Satisfaction is included at no additional cost. If drivers aren’t happy with a claim they can get their money back with no questions asked. Allstate also has an app called Drivewise that lets safe drivers earn cash rewards.

Shoppers looking for additional information can read a comprehensive Allstate review.

USAA gives drivers the option of adding accident forgiveness onto their policies which is free for drivers who go five years without an accident. Rideshare insurance, roadside assistance, and personal injury protection can also be added to policies.

Our USAA insurance review gives a thorough overview of company history, policy options and average rates.

What discounts are available from USAA Insurance and Allstate Insurance?

Allstate and USAA each have more than a dozen different discounts for qualifying drivers.  Take a look below to see just some of the discounts available from USAA and Allstate insurance:

Allstate Discounts:

• New vehicles
• Safe drivers
• Anti-theft devices
• Anti-lock brakes
• Good students
• Policy bundles
• Paperless billing
• On-time payments

USAA Discounts:

• Defensive drivers
• Good grades
• Drivers reporting yearly mileage under a certain threshold
• Long-term policyholders
• Safe drivers
• Policyholders with multiple policies
• Vehicles stored on military bases
• Family members of policyholders

Please note that discounts can change by region and driving history.

How are Allstate and USAA rated?

J.D. Power, an independent firm that does market research, consistently ranks USAA as one of the top two insurance providers when it comes to client satisfaction.

Allstate doesn’t rank as well as USAA for claim satisfaction, though some drivers may prefer having a personal agent they can contact with questions and concerns.

Take a look at a ratings comparison of both companies from top agencies below.

USAA generally ranks higher across the board, including with A.M. Best.

Do Allstate and USAA provide insurance in my state?

Allstate and USAA insure drivers in all 50 states and the District of Columbia. Exact coverage choices and discounts may be different from state to state but drivers can purchase at least basic coverage in every state.

Allstate has over 19,000 agents across the country and they focus on providing service to drivers locally. Even those who sign up online are assigned an agent in their region which may be a benefit for drivers who want a personal connection with their agent.

However, drivers aren’t required to take care of all their insurance needs through their agent. Allstate’s 24/7 claim center and mobile app allow drivers to report accidents, file claims, and make policy changes.

Though USAA has car insurance coverage in every state and some international locations, it is only available to drivers who have a military connection. Only honorably discharged veterans, active military members, and their families qualify for insurance from USAA. What does USAA stand for? USAA is an acronym for United Services Automobile Association, and the company was founded in 1922.

USAA doesn’t have the wide-ranging local agent network that Allstate does. Most of their policies are sold and managed over the phone or online. USAA has an online claim center, mobile app, and community portal for its members.

Claims Service Comparison: Allstate vs. USAA

Ease of Filing a Claim

When it comes to filing a claim with Allstate and USAA, both companies offer user-friendly options. Policyholders can easily file claims online through their respective websites or mobile apps, ensuring a hassle-free process. Additionally, claims can also be filed over the phone for those who prefer a more traditional approach.

Average Claim Processing Time

The average claim processing time for both Allstate and USAA is competitive and varies depending on the nature of the claim. While specific processing times may differ, both companies strive to expedite the claims process to provide prompt assistance to their customers.

Customer Feedback on Claim Resolutions and Payouts

Customer feedback on claim resolutions and payouts for Allstate and USAA is generally positive. Both companies are known for their commitment to customer satisfaction and work diligently to resolve claims efficiently. Policyholders often express satisfaction with the fairness of payouts and the overall claims experience.

Tech Advancements in Focus: Allstate vs USAA

Mobile App Features and Functionality

Both Allstate and USAA offer comprehensive mobile apps with a range of features and functionalities. These apps allow users to manage their policies, file claims, access digital ID cards, and even track safe driving habits. The user-friendly interfaces make it convenient for customers to handle their insurance needs on the go.

Online Account Management Capabilities

Allstate and USAA provide robust online account management capabilities through their websites. Policyholders can log in to their accounts to view policy details, make payments, update personal information, and track claims. These online platforms enhance the convenience of managing insurance policies.

Digital Tools and Resources

Both companies offer an array of digital tools and resources to assist their customers. These include insurance calculators, educational materials, and resources for understanding coverage options. These digital resources empower policyholders to make informed decisions about their insurance needs.

Allstate vs. USAA: The Bottom Line

Both Allstate and USAA have major companies with good ratings. USAA is the cheaper option, but might not be available to you if you aren’t a military member.

While you consider what you’ve learned about Allstate and USAA, shop around. Enter your ZIP code into our free quote tool and start comparing quotes right now.