Best Auto Insurance for Military and Veterans 2025

USAA has facilitated the financial security of its members since 1922. It offers the cheapest rates out of the top 10 largest insurance providers and has a wide range of discounts, perks, and bundling options for military members.

USAA is available only to military members, veterans, and the families (spouses and children) of military members and veterans. With a USAA membership, you can enjoy affordable rates, financial advice, specialized coverage, and a number of other exclusive benefits, like travel deals, shopping rewards, and car rental discounts.

International Insurance and Guidance

USAA understands the challenges of deployment, leaving your family behind in the U.S., and acclimating to life abroad. Its insurance policies and features are designed to help make your time abroad as seamless as possible. With USAA, you won’t have to cancel your insurance policy if you’re deployed for a permanent change of station. Rather, USAA offers liability coverage, vehicle storage, and personal injury coverage even when you’re abroad.

Contact USAA’s advice center to learn about the ins and outs of deployment to these countries and territories:

• Azores
• Belgium
• Cuba
• France
• Germany
• Greece
• Guam
• Italy
• The Netherlands
• Portugal
• Puerto Rico
• South Korea
• Spain
• U.S. Virgin Islands
• United Kingdom

Military Storage Discounts

Whether you’re stationed somewhere else in the U.S. or deployed in another country, it’s not uncommon to leave your car behind. USAA understands that military families need flexibility, which is why it has several saving opportunities for military members and their families.

Here are a few ways you can save with USAA:

• If you’re out of state on military duty, you can keep your car in storage and earn up to 60 percent off your car insurance policy.
• If you visit home often and need your vehicle on occasion, you can sign up for USAA’s pay-per-mile coverage. The less you drive, the more you’ll save.
• USAA offers a 15 percent discount when you garage your vehicle on a military installation. (Discount applies to comprehensive coverage only.)

USAA Military Perks

There’s a reason that USAA is our top choice for military members, veterans, and military families. Not only does your family get access to all USAA’s affordable rates and discounts, but they can also benefit from USAA’s military benefits. Here are some of the more notable USAA membership perks:

• 24/7 membership support for insurance, deployment questions, and transition to life abroad or back to the U.S.
• Multiple vehicle bundling
• Banking advice to help with your auto insurance, loans, and other financial needs
• Expert advice for managing debt, investing, saving, and planning for events like retirement or buying a new home
• ADT home security discount
• Discounts for shopping, hotels, cruises, vacation tours, and travel insurance

Erie is our choice for the best regional provider for military members. It’s only available in 12 states and Washington, D.C., but it has consistently high customer satisfaction ratings, making it a great option for those in states where it’s available. In addition, it has some of the cheapest average auto insurance rates, so policyholders don’t need to sacrifice cost for stellar service.

Rate Lock Option

Erie offers a unique option called Rate Lock, which allows policyholders to lock in their auto insurance rates to avoid unpredictable year-over-year increases. There are some caveats, including that Rate Lock is limited to three years in Virginia and is not available in all states where Erie operates. It also doesn’t protect against rate changes if you update your policy, such as adding a driver or more coverages, or if you move. However, your rate will be updated to reflect only the changes you’ve made and will not increase beyond that.

Vehicle Storage Discount

Erie offers a reduced usage discount to drivers who store their vehicles for 90 days or more. This may be especially useful to military drivers who are deployed and will need to store their car(s) for long periods of time. This discount is available in all states except Kentucky.

Excellent Customer Service

Erie ranked first for customer satisfaction in the Mid-Atlantic and North Central regions in J.D. Power’s 2024 Auto Insurance Study² among many major insurers, indicating that customers are pleased with the level of service and claims management they receive from the company. It’s worth noting that while USAA is not officially ranked in the study because it doesn’t meet eligibility criteria, likely due to its membership restrictions, it received higher scores than Erie.

Erie also ranked sixth in the CRASH Network’s 2025 Report Card,³ which evaluates auto shops’ experience working with insurance companies. In this case, it significantly outperformed USAA, which ranked 85th.

There are a lot of good reasons to choose GEICO if you’re a military member or veteran. It offers affordable rates, availability overseas, and military resources you won’t find from most other providers. If you’re on a budget and are looking to get additional support as a military member or veteran, GEICO is a great option.

Military Resources and Perks

Aside from a long list of regular discounts to benefit from, you might be eligible for some of GEICO’s military perks and resources. GEICO’s Military Center is staffed with U.S. veterans from all services and has been providing military auto insurance for over 85 years. Its program has a dedicated support team that caters to military members and veterans, custom military insurance and ID cards, a fast and convenient military pay plan, and more.

On top of that, you can get info on deployment, overseas insurance, and military pay charts through GEICO’s brochures and online military resources.

Availability in Europe

It’s important to know that you have the option to extend your insurance if you’re deployed/stationed overseas, especially if you’re bringing your family with you.

With GEICO, rest assured that you’ll have the option to keep your insurance even if you’re being sent on emergency deployment. Military members have access to GEICO GmbH, a GEICO affiliate that can assist you with finding a car, motorcycle, and personal property when you’re deployed or stationed in Europe.

Long List of Discounts

On top of providing some of the cheapest rates in the country, GEICO has a long list of discounts for military members with varying needs. Here are some of its most appealing discounts for military members:

• 15 percent off for active-duty or retired members of the military, National Guard, or reserves
• Up to 25 percent off for military members who are part of an emergency deployment
• Up to 12 percent off for all active or retired federal employees (eagle discount)
• Up to 15 percent for students with a 3.0 GPA
• Up to 23 percent off if you have a built-in anti-theft system in your car to prevent car burglary
• 22 percent off with the five-year accident-free good driver discount
• 23 percent restraint device discount
• 15 percent new-vehicle discount

Armed Forces Insurance (AFI) was founded in 1887 to support and protect United States military members and veterans. It has since expanded that mission by offering home, auto, and renters insurance to its members. AFI also offers specialized collector’s vehicle insurance for military members and veterans who collect vintage and classic cars. If you’re looking for a provider that caters to military members and offers insurance for collector vehicles, Armed Forces Insurance is our top pick.

Collectors Insurance for Military

AFI is one of the few providers that specialize in military insurance and offer insurance for collector vehicles. Because collector vehicles have a different appraisal process from normal cars, not all providers insure them.

Unlike most cars, collector vehicles tend to gain value over time rather than depreciate. With AFI, you can rest assured that your rates won’t be set unless you and your agent agree on a price. Here’s what you get with AFI:

• No deductible on your collector vehicle in most states, meaning you pay nothing out of pocket for a claim
• Agreed value coverage, which means that if your vehicle is totaled, you’ll get the full value agreed upon by you and your agent
• Extra coverage if you want some extra support while you actively restore your vehicle and its parts

If you’re not sure whether your vehicle is a collector car or not, here’s how AFI defines collector vehicles:

• Antique and classic cars
• Muscle cars
• Modern classics
• Street rods
• Vehicles under active restoration
• Classic trucks

Armed Forces Insurance Partnerships

Armed Forces International has partnerships with some of the largest auto insurance providers in the country. Depending on where you live and what type of policy you have, your claims might be processed by one of the following providers:

• Progressive
• Nationwide
• Hagerty Auto
• Travelers
• Safeco
• The Hartford
• Mercury
• And more

Direct Auto specializes in high-risk auto insurance, making it a potential option for drivers who may have trouble getting coverage from standard insurers. With flexible payment options and discounts like its military discount of up to 25 percent, Direct Auto caters to those who need coverage despite past driving violations, low credit, or other risk factors.

Military Discount

Direct Auto offers a military discount of up to 25 percent for active-duty service members. However, as of February 2025, the discount is only available in Alabama, Florida, and Louisiana. To qualify, service members must provide proof of active-duty status, such as current orders.

Compared to other insurers, Direct Auto’s military discount is relatively high, as many companies offer 5 to 15 percent savings. However, its availability is limited to just three states, which may be a drawback for military personnel who relocate frequently.

Flexible Payment Options

In addition to the discount, Direct Auto allows customers to customize their payment schedule to better fit their budget, which could be helpful for service members managing deployments or unpredictable expenses. While these features may appeal to military families, it’s worth comparing rates and policy options with other insurers, as Direct Auto primarily serves high-risk drivers and may not always offer the lowest overall premiums.