Best Car Insurance For Veterans And Active Military

Key Points:

• USAA offers cheap rates and is the best option for military veterans.
• Geico and Liberty Mutual offer military discounts.
• Compare rates and discounts to find the best option for your situation.

If you are searching for the best car insurance coverage for veterans and military families, we are here to help those who have served. Whether you served in the Army, Marine Corps, Navy, Air Force, Space Force, Coast Guard, National Guard, or another area of the Department of Defense, it is important to have the best car insurance at the best price.

In this article, we take a look at several auto insurance companies that offer military discounts, international options, and other special accommodations. We’ll also take a closer look at the top five insurance providers for active-duty military members and veterans based on our industry research.

In order to find the cheapest auto insurance quotes, it’s smart to compare coverage options and quotes from a few providers. Use our free tool below to start comparing personalized car insurance quotes from top providers in your area.

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Best Car Insurance For Veterans And Military Personnel

Our research team spent 1,950 hours evaluating the best car insurance companies in the industry. In our review, we found several insurance providers that stood out for offering great car insurance rates to veterans and active-duty service members.

To determine which company fits your needs, you should consider several aspects. First, you should look at the provider’s reputation. You also want to examine customer service rankings and the cost of a car insurance policy. From there, it’s good to research the available car insurance discounts and look at the additional perks. We’ve done the work for you and found these five car insurance providers have the best car insurance for veterans.

#1 USAA Insurance

Even though USAA doesn’t give service members a discount at all times, it’s still the most popular car insurance for veterans and military families. That’s because rates from USAA tend to be cheaper than rates from other companies, even those that offer military discounts. USAA members also have the advantage of working with people who know what veterans need and want out of their insurance. USAA has an A++ financial strength rating from AM Best, so you know the company is on solid financial footing.

USAA auto insurance also stands out for its customer service. The company received a score of 900/1,000 in the J.D. Power 2023 U.S. Auto Claims Satisfaction Study℠, and a score of 874/1,000 in J.D. Power’s 2023 Insurance Shopping Study℠.

That means a majority of customers are satisfied with USAA’s claims process. You can file claims online or in the USAA mobile app, and you can also call a phone number for immediate assistance. The USAA app has a Photo Estimation Tool that you can use for certain types of claims, too.

Another thing we like about USAA’s military auto insurance is that the company provides helpful resources about joining the military, deployment, changing stations, and leaving the military. Available tools include:

• Military pay calculator
• Personalized military timeline
• Deployment frequently asked questions
• Permanent change of station (PCS) moving checklist
• Military separation checklist
• Military separation assessment

These resources show that USAA has a knowledgeable staff that can help members of the military in a variety of situations, which is one of the reasons we’ve named it the best car insurance for veterans. Of course, USAA’s insurance product offerings extend beyond vehicle coverage and include financial planning, renters insurance, investing, life insurance, mortgage services, and more. The company’s life insurance options, in particular, include specialized options for service members.

To join USAA, you’ll need to provide your basic contact information and details about your military service or that of a family member. If you have an immediate family member who has had a USAA auto or home policy, you are also eligible for coverage.

Read more: USAA Car Insurance Review

#2 Geico Insurance

While Geico doesn’t offer as steep of a discount when you’re on deployment, the company does give you a 15 percent discount for having served. You can get this discount for as long as you have coverage with Geico, which is pretty nice. Overall, Geico tends to have pricier auto insurance rates than USAA, but the military discount can definitely help with that, which is why it’s a top pick for car insurance for veterans.

Geico wrote over $38 billion in premiums in 2022 according to the National Association of Insurance Commissioners. Compared to other companies in the industry, it’s the third largest car insurer in the U.S. Geico also has a financial strength rating of A++ from AM Best, which means it’s fully capable of managing its assets.

The only downside of Geico’s car insurance is that, in order to get a deployment discount, you have to be deployed to an imminent danger pay area or store your vehicle under an approved storage plan. If you’re deployed somewhere else, you won’t be able to get a discount unless you can store your vehicle.

Here are some more discounts you can get with Geico that can lower your insurance premium:

• Discounts for being a good driver and/or a good student
• Discount for passing a defensive driver course
• Discounts for air bags, anti-theft devices, and anti-lock brakes
• Multi-policy and/or multi-vehicle discounts
• Federal employee discount

That last discount is something to keep in mind, since many veterans go on to work for the federal government. If you do so, you could take advantage of both the military discount and the federal employee discount.

Geico has a decent customer service record, though it performed slightly below average on both the Insurance Shopping Study and Auto Claims Satisfaction Study.

Compare: Geico Vs. Progressive

#3 Liberty Mutual

Liberty Mutual car insurance for military service members includes a military discount that applies to active, retired, or reserved U.S. Armed Forces personnel. One impressive money-saving feature that all Liberty Mutual customers have access to is the RightTrack^® program, which monitors customers’ safe driving habits to qualify them for auto insurance discounts.

More ways to save money on Liberty Mutual car insurance for veterans include:

• Saving if you purchase your auto insurance policy online
• Bundling your Liberty Mutual home and auto policy can help you save
• The Liberty Mutual Deductible Fund^®, which helps you pay the cost of your deductible for covered repairs after a collision
• Accident forgiveness insurance, which is available after five claim-free years

When it comes to finding the best car insurance for veterans and military families, it’s important to choose a reliable provider. Liberty Mutual is accredited and maintains an A- rating from the BBB. This is a positive indication that customers are largely satisfied with their interactions with the company. 

#4 Armed Forces Insurance (AFI)

Similarly to USAA, Armed Forces Insurance only provides car insurance for active and retired military members. When you get an AFI car insurance policy, it covers you, your spouse, your children, and other family members that live at the same address, as well as any licensed drivers who have permission to drive your car. In addition to active, retired, and honorably discharged military personnel, civilians who work for the military may also qualify for Armed Forces Insurance.

AFI has been servicing military car insurance policies since 1887. Today, Armed Forces Insurance is available nationwide. In addition to some of the best car insurance for veterans and military members, AFI offers homeowners insurance, renters insurance, and motorcycle insurance.

Unique coverage options from AFI include:

• Fire and flood insurance
• Valuable items insurance
• Pet insurance
• Umbrella insurance

As far as car insurance for military families, AFI policies provide standard car insurance options for customers. All AFI car insurance policies come with emergency roadside assistance that provides towing services if your car is disabled on the side of the road due to a breakdown and rental reimbursement that pays for rental car services if your car is in the shop for a covered collision-related repair.

Armed Forces Insurance has maintained a good industry standing with an A+ from the BBB. This score represents AFI’s customer satisfaction.

#5 Farm Bureau Insurance

Farm Bureau Insurance is available from a network of affiliated bureaus across the country. It doesn’t have any special discounts for military members, but we’ve found it offers affordable rates on average.

Farm Bureau Insurance offers affordable full coverage insurance and many perks of big-name insurance companies. The difference is it’s available by membership in your state’s Farm Bureau, which supports local agriculture initiatives.

Veterans may also appreciate the local touch from Farm Bureau Insurance–plans are sold and administered by local agents in each county of the state. Different states have their own bureaus, but most are known for good customer service.

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Discounts On Car Insurance For Veterans

When it comes to the best car insurance for veterans and active members of the Armed Forces, one big thing to consider is military discounts. There are a number of companies that give discounts to military families, including:

• Geico car insurance
• Farmers car insurance
• Liberty Mutual car insurance

You’ll notice that USAA isn’t on this list, and that’s because the company only offers discounts for garaging your car on a military base or storing it during deployment.

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Military Car Insurance During Deployment

Car insurance for veterans and active-duty military personnel includes standard coverages, some of which are required by state laws. While offerings can vary between companies, you’ll see basic types of car insurance like liability car insurance, collision insurance, and comprehensive coverage among others.

Most car insurance companies don’t pay for mechanical breakdowns or failing parts, but that can be covered under an extended car warranty.

While standard coverages are important to have, there are some situations that are unique to service members. The best car insurance for veterans and active service members usually comes with a military discount, but not all companies offer special options for military deployment. Even when you’re deployed, you still have to maintain some level of coverage on your registered vehicles.

Suspend Or Reduce Coverage

One option that USAA and Geico both offer is to reduce your coverage during deployment. With Geico’s Military Storage Protection, you can suspend or reduce your insurance if you’ll be away for 30 days or more. However, remember that other family members won’t be able to drive your car if you reduce or suspend your insurance. With USAA car insurance, you can save up to 60 percent on your premium by storing your vehicle during deployment.

Non-Owner Coverage

Instead of reducing your coverage, you might choose to sell your car right before deployment. Doing this would avoid any lapse in coverage since you wouldn’t have a car registered to your name. However, what do you do when you come back on leave and don’t want to drive a rental or a family member’s car?

Well, that’s what non-owner coverage is for. You can get this type of coverage through a number of popular providers. Non-owner coverage includes everything that standard coverage does except collision and comprehensive options. Since it covers less, it also costs less, too. Depending on whether or not you want to sell your car, carrying non-owner insurance during your deployment might be cheaper than continuing coverage with a company like USAA or Geico.

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Best International Car Insurance For Military And Veterans

You might want to take your car with you or purchase a vehicle to use overseas, but your standard insurance won’t automatically cover this. The good thing is that USAA and Geico both have options to add international coverage, and they both have offices abroad. Also, Geico offers a marine insurance option to cover your car if you ship it to a new location.

If you’re shipping your car, you’ll have to set up an international insurance policy before you leave. If you left your car at home but decided to rent a car at your destination, you still need a separate international insurance policy.

An international insurance policy with USAA covers your car during transport. You also need insurance before you can register a car abroad, and most U.S. bases can help with the registration process. Finally, make sure you familiarize yourself with the roads at your destination. Many SUVs and trucks from the U.S. are too large to drive in other locations.

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Find The Cheapest Car Insurance For Your Military Family

We’ve given you a few options for the best auto insurance for veterans, and now it’s time to find the right provider for you. More often than not, this comes down to which insurer offers you the lowest rates.

In addition to the insurance company you choose, factors such as your age, vehicle make and model, and driving record can affect your premium, so what’s best for your neighbor might not be best for you.

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Car Insurance For Veterans: FAQ

Below are a few frequently asked questions about car insurance for veterans.

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How We Rate Auto Insurers

Our review team extensively researches auto insurance providers to deliver informed and unbiased assessments of leading companies. We evaluate several key rating factors that are important to consumers to determine which providers are the best in the industry:

• Reliability: It’s important that an auto insurer is able to meet its claims obligations. Companies with a strong financial strength rating from AM Best score best in this category. Established insurers with a long history of reliable service also receive positive marks.
• Availability: Insurance companies that offer wider availability to consumers in terms of state availability and few eligibility requirements are more likely to meet consumer needs.
• Coverage: To determine our coverage score, we look at the number of coverage options available as well as coverage limits and deductible options. Our ratings also take into account additional services and benefits like roadside assistance.
• Cost: Cost can be difficult to compare between insurers because so many factors impact annual premiums. The cheapest insurer for one driver may not be the cheapest for another. To determine our cost score, we look at insurance rate estimates generated by Quadrant Information Services, discount opportunities, and consumer reports.
• Service: We comb through customer reviews on sites like the Better Business Bureau (BBB) to learn about customer experiences. Insurers with a low volume of complaints score well in this area. We also consider the claims process, giving higher ratings to car insurance providers that offer a smooth experience.
• Technology: Providers with an online quote tool, easy-to-use claims app and a usage-based insurance app score best in this category.

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