Allstate and USAA are respected car insurance providers with established histories. USAA was founded in 1922 and Allstate goes back to 1931. Today, both carriers have popular advertising campaigns to maintain and boost business. Continue reading for our comparison of these two insurance carriers.
For more information on the individual companies, check out our Allstate Car Insurance Review and USAA Car Insurance Review.
Allstate and USAA are two reputable insurers with different approaches to doing business. Allstate works by finding individual solutions to meet the needs of an area through local agents. USAA only serves military members, veterans, and their spouses and children. Still, USAA boasts a large network of more than 13 million members.
Both USAA and Allstate offer common types of car insurance, such as liability, collision, comprehensive, personal injury protection, and uninsured and underinsured motorist coverage.
USAA offers accident forgiveness coverage, which means your rate increase is one less thing you have to worry about if you’re involved in an accident. This coverage can be purchased as an add-on. After five years of accident-free driving, the benefit is automatically added to your policy.
Unlike some other auto insurers, Allstate offers supplemental sound system insurance in case your vehicle’s custom audio equipment is damaged or stolen.
For most drivers, the cost of premiums tops the list of considerations when shopping for insurance. However, it should not be your only consideration before signing a policy.
USAA is praised by some as a top-quality auto insurance option with inexpensive rates. According to research from The Zebra, the average USAA policy is $106 per month, which is lower than most providers’ rates.
Allstate is not known for low rates but some consumers argue that you get what you pay for. The Zebra calculates the average Allstate six-month premium is $1,019, or $170 a month.
This table compares average annual premiums between USAA and Allstate by age tier.
| Age Group | USAA | Allstate |
| Teens | $2,864 | $6,442 |
| 20s | $1,261 | $2,636 |
| 30s | $963 | $1,920 |
| 40s | $957 | $1,912 |
| 50s | $889 | $1,893 |
| 60s | $845 | $1,768 |
Source: The Zebra
Allstate provides many savings opportunities to policyholders:
Significant savings can come from policy bundling. Additional savings from pay-in-full or automatic premium payments are available.
USAA also offers discounts for good drivers, good students, and family bundling. A stored vehicle discount is an uncommon benefit but is available to USAA policyholders. Geared toward deployed service members, the benefit provides savings of up to 60% for storing a vehicle securely for 30 days. If the storage location is on a military base, an additional 15% discount is given.
Allstate offers two telematics programs that give policyholders another way to save money. Participation in Drivewise and Milewise can produce savings based on driving habits and statistics.
Drivewise is not a direct discount. Rather, it gives drivers the chance to lower their premium by up to 30% at renewal time by practicing good driving habits. The system monitors driving behavior such as speed, braking, and driving hours. Milewise monitors the distance driven and might be a beneficial option for drivers with multiple vehicles, short commutes, or who rarely use their car.
USAA also has a similar telematics program, called SafePilot.
A 2021 J.D. Power survey on car insurance company satisfaction provides insights into customer satisfaction in key areas:
Like most insurance companies, Allstate receives mixed reviews for its service. It earns praise — and sometimes criticism — for its claims process and response.
USAA receives many positive reviews that praise its customer service. Comments typically highlight the carrier’s low rates and attentive representatives. However, not everyone can experience USAA. It is available in 42 states and only to people affiliated with the United States military, including veterans and family members.
Allstate and USAA show “excellent” financial strength by A.M. Best. These ratings indicate both companies are financially stable and have the ability to fulfill their claim obligations.
There are many factors to consider when choosing between Allstate and USAA for auto insurance. USAA receives widespread praise from customers, but membership restrictions can prevent you from signing a policy with them. However, Allstate has thousands of agents throughout the country. This gives policyholders the opportunity for personalized service from a local agent.
You must do plenty of research when deciding on a new insurance provider. Choose the company and the coverage levels that best meet your needs. It’s crucial that you request a quote from several carriers and understand what is covered before signing a new insurance policy.
