Two popular car insurance companies for U.S. drivers, USAA and Liberty Mutual both offer prices lower than the overall national average of $143.
The companies offer similar coverages, discounts, and benefits, but they have key differences. For starters, USAA exclusively sells auto insurance to military members, veterans, and military families. Liberty Mutual does offer a military discount, but the company sells coverage to all drivers.
It’s always a good idea to compare quotes from multiple insurers before buying an auto insurance policy. Here’s what you should know about coverage offerings from USAA and Liberty Mutual.
If you’re deciding between Liberty Mutual and USAA car insurance coverage, you should determine your priorities related to coverage and discount offerings, costs, customer service, and customer reviews.
USAA auto insurance has higher customer satisfaction and much lower rates on average, but it’s available only to current, reserve, and retired military members and their family members. Liberty Mutual provides customers with more add-on coverage options and discounts.
Both are good insurance companies that offer extensive insurance products in addition to automobile insurance, including homeowners insurance, life insurance, and personal property coverage. You should consider your specific needs and driver profile.
Learn more about how Liberty Mutual and USAA compare below.
Liberty Mutual holds about 4.95% of the car insurance market share, making it the sixth-largest personal auto insurer in the country.1 The company has an AM Best financial strength rating of A (Excellent) but earned a below-average customer satisfaction ranking in the J.D. Power 2023 U.S. Auto Insurance Study.2
The fifth-largest car insurance company in the country, USAA has 5.92% of the personal auto insurance market share.1 USAA ranked high in customer satisfaction in the J.D. Power 2023 U.S. Auto Insurance Study and earned an AM Best financial strength rating of A++ (Superior).
Liberty Mutual and USAA both offer a telematics program that can help you save money on auto coverage. Both programs require you to download a mobile app that will track driving habits and behaviors. If you have safe driving habits, you can earn a discount.
USAA members can save 10% on premiums just for enrolling in the SafePilot program. In total, USAA drivers can earn a discount of up to 30% for safe driving. Liberty Mutual advertises the same discount opportunities for drivers who enroll in the RightTrack program: 10% for enrolling and up to 30% for safe drivers.
USAA has cheaper auto insurance than Liberty Mutual, on average. Based on national premium data, USAA policyholders pay an average of $51 per month for liability coverage and $97 for full-coverage insurance. The average cost of coverage from Liberty Mutual is $175 per month for liability insurance and $234 for full-coverage insurance.
Car insurance premiums depend on a variety of factors, including your driving record, age, gender, marital status, ZIP code, and credit history.3 See how Liberty Mutual and USAA compare for various driver categories below.
People without any recent violations on their driving record pay some of the lowest car insurance rates. USAA offers cheaper coverage for drivers with clean records than Liberty Mutual.
Having a recorded violation, like a speeding ticket, will increase your insurance premium. Drivers with a past speeding ticket pay less on average for coverage with USAA.
Teenagers face the highest rates for car insurance due to a lack of driving experience and a higher risk of accidents. If you’re a teenager or have young drivers on your plan, you’ll pay much less for car insurance from USAA than you would with Liberty Mutual.
Auto insurers charge drivers with poor credit more for coverage than people with good credit. If you have bad credit, you’ll pay much less on average to insure your car with USAA. Liberty Mutual policyholders face higher rates.
Senior drivers may face a slight increase in rates due to aging-related risk factors. If you’re a senior citizen with coverage from USAA, you’ll pay almost half of what you would with Liberty Mutual.
Liberty Mutual and USAA both have similar offerings, including standard coverages like comprehensive, collision, liability, uninsured/underinsured motorist, and full-coverage policies. But the companies have some different add-on coverage options to choose from.
For example, Liberty Mutual offers gap insurance, but USAA doesn’t. And USAA has rideshare insurance, but Liberty Mutual doesn’t offer it nationwide.
Compare coverage offerings for some common add-on policies below.
USAA and Liberty Mutual each offer a dozen or more car insurance discounts, but Liberty Mutual has a few more discounts overall. Liberty Mutual offers an alternative fuel discount, but USAA doesn’t. However, USAA still has some key auto insurance discounts Liberty Mutual doesn’t offer, including low mileage, anti-theft device, and new-car discounts.
Both companies have discounts for younger drivers who earn good grades, service members, and participants in their telematics programs.
Here’s a look at how discount offerings compare between Liberty Mutual and USAA.
Comparing quotes from multiple insurance companies is the best way to find cheap car insurance, but you should also always consider your own insurance needs and budget. The following information should help answer your remaining questions about Liberty Mutual and USAA.
No. USAA and Liberty Mutual are two separate insurance companies that have some similarities. A couple of the largest auto insurance companies in the country, USAA and Liberty Mutual have high financial strength ratings and good reputations in the industry.
USAA offers very competitive rates for current and former members of the military and military families. On average, United States drivers with coverage from USAA pay $51 per month for liability insurance and $97 for full coverage.
Insurance rates depend on numerous factors, such as your age, driving record, ZIP code, credit history, and marital status. It’s a good idea to do some comparison shopping before buying a policy because you may find lower rates elsewhere.
Yes. Liberty Mutual has many quality coverage options for customers to choose from. And the company has a solid AM Best financial stability rating of A (Excellent) and an Insurify Quality Score of 7.7 out of 5. But Liberty Mutual received a below-average ranking in customer satisfaction from J.D. Power.
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