Best veterans and military car insurance of 2022
The Bankrate promise
At Bankrate, we strive to help you make smarter financial decisions. To help readers understand how insurance affects their finances, we have licensed insurance professionals on staff who have spent a combined 47 years in the auto, home and life insurance industries. While we adhere to strict , this post may contain references to products from our partners. Here's an explanation of . Our content is backed by Coverage.com, LLC, a licensed entity (NPN: 19966249). For more information, please see our .
The needs of military members and their families are different compared to civilians, but fortunately, many home and auto insurance companies can cater to this. With these companies, active duty, veteran or reserve members of the U.S. military can access tailored coverage and special discounts for additional savings. To find the best car insurance for military members, start with Bankrate’s curated list based on extensive research into average car insurance premiums, military benefits and more.
Compare auto insurance rates
Save on auto insurance with quotes from trusted providers like:
Drivers switch & save an average of $750+/year
Are you overpaying for auto insurance?
Safe drivers choose Allstate®
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
Compare auto insurance rates
Save on auto insurance with quotes from trusted providers like:
Drivers switch & save an average of $750+/year
Are you overpaying for auto insurance?
Safe drivers choose Allstate®
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
Cost of car insurance for military drivers
For veteran or military drivers shopping for car insurance, it’s important to know that car insurance rating factors do not depend much on specific military status. Active-duty, retired and reserve military members all pay about the same for auto insurance, give or take a few dollars, according to rates from Quadrant Information Services. Bankrate also found that rates are about the same for active and retired military, regardless of whether you choose minimum coverage or full coverage for your car insurance.
Average rates for military drivers by status
| Average annual minimum coverage premium | Average annual full coverage premium | |
|---|---|---|
| Active | $514 | $1,719 |
| Active Reserve | $513 | $1,719 |
| Inactive Reserve | $513 | $1,719 |
| Pre-Commissioned Officer | $513 | $1,719 |
| Retired | $513 | $1,719 |
| Separated | $509 | $1,727 |
The average military premium for minimum coverage car insurance is less than $515 a year. If opting for full coverage, the average military driver will pay around $1,720 per year, according to our research. Interestingly, military drivers tend to pay more on average for full coverage annually compared to the national full coverage average of $1,674 per year, based on 2021 car insurance rates. However, military policyholders pay less for minimum coverage, on average, than civilian drivers, at $514 per year. With several discounts, military members and veterans can find cheaper car insurance rates by shopping around.
National average rates for military and non-military drivers
| Minimum coverage | Full coverage | |
|---|---|---|
| Non-military (national average) | $565 | $1,674 |
| Active military | $514 | $1,719 |
Military families have unique stressors and life impacts that non-military families likely don’t face. That means military families also have special needs when it comes to their auto insurance, and even some of the best car insurance companies may not be the best fit for all drivers.
We found that some auto insurers provide better discounts, lifestyle support and policy coverage for the unpredictable nature of military life.
Best car insurance companies for military personnel and veterans
USAA
USAA auto insurance specializes in products and services for retired and active-duty military personnel and their families. The company also receives some of the highest J.D. Power customer satisfaction scores and maintains some of the lowest average premiums compared to other companies, making it a top-tier choice for military and qualifying members.
Some of USAA’s military-specific car insurance discounts include up to 15 percent discount on optional comprehensive coverage for a car or truck garaged on a military base. If you are deployed, you could earn up to 60 percent off your car insurance while your car is in storage. Although USAA generally offers affordable car insurance policies, specific rates vary by state and many personal factors. You will save even more money if you are eligible for USAA discounts. To qualify for coverage, you must submit information about your military service history, which may cause a lengthier quote process if you do not have your documentation prepared.
-
Pros Cons Ability to bundle with homeowners insurance for multiple policy discount Few physical locations for in-person service High J.D. Power customer service ratings Strict eligibility requirements for family members
Learn more: USAA Insurance review
Looking to save money on auto insurance?
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
Geico
Geico may not have the most robust policies, but its discounts are plentiful, especially for military members. Geico offers up to a 15 percent discount to veterans and military personnel. To qualify for Geico’s veterans auto insurance discounts, you need to be a member of one of the Association of the U.S. Army (AUSA), Fleet Reserve Association (FRA) or National Infantry Association (NIA).
Geico also offers military discounts for members of certain associations, including the Armed Forces Benefits Association (AFBA), Navy League of the United States (NLUS), Navy Federal Credit Union (NFCU) and American Society of Military Controllers (ASMC). If a customer is part of an emergency deployment to an imminent danger zone, they may be eligible for a discount of up to 25 percent.
-
Pros Cons Expanded eligibility for military-specific discounts No special coverage options for military members Offers some of the cheapest average car insurance premiums across the nation Does not underwrite its own home insurance policies for those who want all their insurance with a single company
Learn more: Geico Insurance review
Other insurance companies that offer military discounts
Arbella
Arbella is a small auto insurance company only available in Massachusetts and Connecticut. If you are an active-duty military member currently deployed more than 100 miles away from your garaged vehicle, you could earn a discount off your car insurance. However, it doesn’t
appear that Arbella offers a separate discount to veterans or families of military members.
Learn more: Arbella Insurance review
The General
The General offers a military discount to active-duty members in Louisiana. And unlike the other providers on this list, The General provides insurance options for people with poor credit scores or with a bad driving record.
Learn more: The General Insurance review
Armed Forces Insurance Exchange
Like USAA, Armed Forces Insurance Exchange (AFI) is a military-focused insurance company. Prices and services are very competitive between the two military auto insurance companies, according to our research. However, there are some key differences, including AFI’s lower financial rating from AM Best of B+ (Good) compared to USAA’s rating of A++ (Superior). Additionally, AFI membership is more broad, and includes those in military service academies, ROTC, Officer Candidate School (OCS)/Officer Training School (OTS) and active or retired Department of Defense members.
Liberty Mutual
Liberty Mutual is well known for offering a wide range of coverage options and discounts. Notably, the company offers a discount for active duty, retired or reserved members of the military. You may also qualify for another of the company’s plentiful discounts, such as the advanced safety features discount or the accident-free discount.
Learn more: Liberty Mutual Insurance review
Farmers
With an average annual premium of $2,000 for full coverage, Farmers is an affordable auto insurance provider that offers a variety of discounts. The company offers its Affinity discount to active duty military members, reserves and veterans. You may also qualify for one of the company’s many other discounts, such as multi-vehicle and loyalty.
Learn more: Farmers Insurance review
Canceling your car insurance for an upcoming deployment
If you are preparing for deployment, it may be important to make some changes to your car insurance policy. The best option may be to pause your coverage rather than cancel your policy. Canceling your auto insurance causes a lapse in coverage, which has consequences, like higher rates and even driver’s license suspension.
If you have car insurance through USAA, you may save up to 60 percent on your insurance if you store your vehicle while deployed. However, you should only consider putting your vehicle in storage during deployment if it’s not being used and is not accessible to others. For example, if other drivers use the car while you are deployed, you cannot put the vehicle into a storage status.
You could also qualify for a car insurance discount based on the number of miles you drive in a year. If you are a Geico customer, you can suspend or reduce your insurance coverage if you are deployed and store your car for more than 30 days.
How to reinstate your car insurance after deployment
After you return home from deployment, you should reinstate your car insurance policy before you drive again. Otherwise, you could find yourself in a situation of being without insurance coverage during a claim if you drive your vehicle while it is still listed as in storage on your policy. You should call your car insurance company and work with an agent to take your policy off pause.
If you reduced your coverage to save money during deployment, consider increasing certain coverage types before you start driving. Keep in mind that you must reinstate your insurance before you hit the road if insurance is required in your state. Driving without insurance or proof of financial responsibility is illegal, and it comes with heavy consequences if you get caught.
Frequently asked questions
-
-
Military personnel may qualify for special car insurance discounts, but it depends on the insurance company. USAA has some of the best rates for active duty and retired military service members, based on our research. You may also earn military discounts through Geico and Liberty Mutual, as well as a few carriers that offer military discounts in select states.
-
Most car insurance carriers will ask for documentation of some type in order to verify the discount. Depending on the company, you’ll typically need to show that you are active or retired military, or a qualified family member, like a spouse or a child, to qualify.
-
You can typically save more money on your premiums by insuring a new vehicle, insuring multiple vehicles, bundling your insurance policies, being a good driver or student, taking a defensive driving course and more. Most insurance providers list discounts they offer on their websites.
-
The verification process is different for every insurance company, but you will likely need to submit a photo ID (driver’s license, state ID card or passport), as well as one or more of the following military documents:
- DD-214
- Discharge certificate
- Leave and Earnings Statement (LES)
- Military orders if you are on active-duty
- NGB-22
- Academy appointment letter or ROTC contract
-
Methodology
Bankrate utilizes Quadrant Information Services to analyze 2021 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
These are sample rates and should only be used for comparative purposes.
Related Articles
The cheapest car insurance for military families and veterans in 2022
