USAA offers the cheapest car insurance for veterans at $57 monthly, earning a 93 MoneyGeek score. Auto-Owners Insurance ranks second at $65 per month with an 89 rating. Erie follows at $68 monthly, scoring 92 points. State Farm costs $74 monthly while American Family matches at $73. Veterans choosing USAA save $96 annually versus Auto-Owners and $192 yearly compared to State Farm.
Cheapest Car Insurance for Veterans
Updated: July 3, 2025
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Key Takeaways
USAA offers the cheapest full coverage car insurance at $57 per month or $679 per year annually, followed by State Farm at $74 per month or $883 per year.
Military members and veterans typically pay lower insurance rates. Deployed members can even suspend their policy, switch to storage insurance or maintain minimum coverage to save on costs while away.
You can stack military discounts on top of common car insurance discounts to further reduce costs.
Best Cheap Car Insurance for Veterans and Military Families
| USAA | $57 | $57 | 93 |
| Auto-Owners Insurance Co | $65 | $65 | 89 |
| Erie | $68 | $68 | 92 |
| American Family | $73 | $73 | 89 |
| State Farm | $74 | $74 | 88 |
| Nationwide | $78 | $78 | 85 |
| GEICO | $78 | $78 | 86 |
| Travelers | $86 | $86 | 87 |
| Farmers | $90 | $90 | 83 |
| Progressive | $93 | $93 | 84 |
Cheapest Minimum Coverage for Veterans and Military Members
Military members find the lowest minimum coverage rates with USAA at $24 monthly or $287 yearly. Auto-Owners Insurance Co follows at $26 per month and $313 annually. Erie charges $30 each month, totaling $365 per year. State Farm costs $34 monthly while GEICO rounds out the top five at $35 monthly. Veterans choosing USAA save $26 yearly versus Auto-Owners and $132 compared to GEICO.
Data filtered by:Results filtered by:
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Age Group:30-59
| USAA | $24 | $287 |
| Auto-Owners Insurance Co | $26 | $313 |
| Erie | $30 | $365 |
| State Farm | $34 | $405 |
| GEICO | $35 | $420 |
| Nationwide | $38 | $456 |
| American Family | $40 | $479 |
| Travelers | $42 | $503 |
| Farmers | $42 | $510 |
| Progressive | $43 | $521 |
Cheapest Full Coverage for Veterans and Military Members
Military families secure the best full coverage rates through USAA at $57 monthly and $685 annually. Auto-Owners Insurance ranks second with $66 per month and $787 yearly costs. Erie follows at $68 monthly, reaching $818 per year. State Farm charges $73 monthly while American Family matches exactly at $73 per month. Veterans switching to USAA gain $102 annually versus Auto-Owners and $192 yearly compared to State Farm.
Data filtered by:Results filtered by:
Select
Age Group:30-59
| USAA | $57 | $685 |
| Auto-Owners Insurance Co | $66 | $787 |
| Erie | $68 | $818 |
| State Farm | $73 | $877 |
| American Family | $73 | $882 |
| Nationwide | $77 | $925 |
| GEICO | $77 | $928 |
| Travelers | $86 | $1,034 |
| Farmers | $90 | $1,080 |
| Progressive | $93 | $1,122 |
Cheapest Car Insurance for Veterans and Military by State
USAA offers comprehensive veteran auto insurance across most states, with premiums spanning from $33 monthly in Idaho to $92 in Louisiana. State Farm captures the lowest rates in Idaho at $33, Massachusetts at $37, plus five additional states. GEICO secures top positions in Colorado at $66, Connecticut at $63, and Washington D.C. at $63.
| Alabama | USAA | $59 | $712 | 26% |
| Alaska | USAA | $46 | $549 | 33% |
| Arizona | USAA | $62 | $741 | 24% |
| Arkansas | USAA | $48 | $578 | 31% |
| California | USAA | $85 | $1,025 | 25% |
| Colorado | GEICO | $66 | $795 | 22% |
| Connecticut | GEICO | $63 | $752 | 25% |
| Delaware | USAA | $73 | $878 | 28% |
| District of Columbia | GEICO | $63 | $752 | 32% |
| Florida | State Farm | $91 | $1,096 | 30% |
| Georgia | USAA | $67 | $804 | 23% |
| Hawaii | USAA | $46 | $547 | 27% |
| Idaho | State Farm | $33 | $395 | 36% |
| Illinois | American Family | $59 | $713 | 19% |
| Indiana | USAA | $41 | $488 | 30% |
| Iowa | State Farm | $44 | $532 | 30% |
| Kansas | USAA | $52 | $619 | 32% |
| Kentucky | Nationwide | $70 | $843 | 12% |
| Louisiana | USAA | $92 | $1,098 | 28% |
| Maine | USAA | $41 | $493 | 25% |
| Maryland | USAA | $57 | $689 | 41% |
| Massachusetts | State Farm | $37 | $445 | 54% |
| Michigan | USAA | $59 | $712 | 50% |
| Minnesota | American Family | $68 | $815 | 17% |
| Mississippi | USAA | $51 | $615 | 32% |
| Missouri | USAA | $45 | $539 | 51% |
| Montana | Progressive | $38 | $454 | 45% |
| Nebraska | Auto-Owners Insurance Co | $63 | $753 | 29% |
| Nevada | USAA | $82 | $983 | 23% |
| New Hampshire | USAA | $42 | $506 | 33% |
| New Jersey | GEICO | $82 | $988 | 21% |
| New Mexico | USAA | $47 | $566 | 32% |
| New York | Progressive | $86 | $1,030 | 36% |
| North Carolina | Nationwide | $52 | $625 | 21% |
| North Dakota | USAA | $40 | $477 | 37% |
| Ohio | American Family | $41 | $492 | 40% |
| Oklahoma | USAA | $49 | $593 | 28% |
| Oregon | State Farm | $60 | $725 | 25% |
| Pennsylvania | Nationwide | $50 | $599 | 35% |
| Rhode Island | State Farm | $63 | $758 | 34% |
| South Carolina | Auto-Owners Insurance Co | $77 | $924 | 20% |
| South Dakota | Nationwide | $69 | $827 | 16% |
| Tennessee | USAA | $50 | $605 | 28% |
| Texas | State Farm | $62 | $743 | 31% |
| Utah | USAA | $57 | $688 | 24% |
| Vermont | USAA | $42 | $506 | 28% |
| Virginia | USAA | $57 | $682 | 18% |
| Washington | USAA | $51 | $615 | 38% |
| West Virginia | USAA | $55 | $659 | 34% |
| Wisconsin | USAA | $44 | $526 | 29% |
| Wyoming | USAA | $58 | $693 | 19% |
If temporarily relocated, check if your current coverage meets your new state's minimum requirements, as rates vary by location. If your relocation is permanent, cancel your old policy, get a new one and update your vehicle registration.
How Military Members and Veterans Can Save On Insurance
Shop around with various providers to find special discounts. When setting up a family policy, focus on insurers with favorable rates for all driver types. If you're anticipating deployment, look for insurers offering tailored coverage and discounts for situations like storing your vehicle, suspending your policy or canceling it.
Shop around
Car insurance rates can vary significantly based on the age, location and driving history of everyone on the policy. This is especially true for family plans. To find the best rates, focus on companies that meet your needs and compare quotes from at least three providers.
Take advantage of special discounts
Military members, veterans and their families often qualify for special discounts. Many insurers let you combine these military savings with other discounts, like those for paying in full, being a student or having a clean driving record.
Adjust your coverage as needed
If you're leaving your car with your family, switching to minimum coverage can reduce costs. You can also suspend your policy to avoid premium increases from a coverage lapse. USAA offers active-duty members up to a 60% discount for long-term vehicle storage, providing another way to save.
Maintain continuous coverage
If you’re preparing for deployment, suspending your policy may be better than canceling it. A coverage lapse can lead to higher future premiums. Keeping your policy active, even in suspension, can provide financial benefits when reactivating.
To find cost-effective car insurance, start with a provider offering the lowest base rate before discounts. If you’re preparing for deployment, look for insurers with favorable storage coverage rates. Also, consider how easily you can reinstate your policy if you suspend or cancel it.
Do You Still Need Coverage When Deployed?
Military members should maintain at least the state minimum car insurance requirements, even during deployment, to avoid higher premiums from a coverage lapse. If your car is financed or leased, your lender will likely require full coverage, including comprehensive and collision insurance.
Providers like USAA offer discounts for deployed members storing their cars long-term, helping you stay insured affordably. Esurance may allow you to reinstate your policy without a coverage lapse penalty.
Who Is Eligible for USAA Car Insurance?
USAA membership is available only to current and former U.S. military members, their families and certain individuals with military affiliations. Applicants must provide proof of service or a relationship to a USAA member to qualify.
U.S. Military members and veterans
Active-duty service members, including Guard and Reserve personnel, qualify by providing their branch of service, rank and entry date to active duty. Veterans who have separated or retired with an honorable discharge can also join by verifying their service details, including start and end dates.
Pre-commissioned officers
Those enrolled in a U.S. Service Academy, Prep School or ROTC program can become USAA members before commissioning. They must submit details such as their branch of service, commissioning source and expected commissioning date. Some cadets who left a U.S. Service Academy before commissioning may still be eligible, depending on their situation.
Officer candidates
Individuals set to commission within 24 months can apply for USAA membership. They must provide documentation verifying their branch of service, commissioning source and expected commissioning date.
Spouses of military members or veterans
Spouses of current or former military members can qualify for USAA membership. If the military spouse hasn’t joined USAA, they must create an account first. If they're already members, the applicant can join by providing the member’s Social Security number to verify the relationship.
Divorced spouses remain eligible if their ex-spouse joined during or before the marriage and they haven’t remarried. Widows and widowers can keep their membership if the deceased spouse was a USAA member at the time of passing. However, if the military spouse never joined USAA, the surviving spouse can't establish membership afterward.
Children (including stepchildren)
Children of USAA members can join if at least one parent is a member. Stepchildren also qualify under the same conditions. However, membership can't be established after a parent’s passing if the parent wasn't a USAA member before their death.
Top Rated Car Insurance for Veterans and Military: Bottom Line
USAA leads with the lowest rates and veteran-focused benefits, while alternatives like Auto-Owners and State Farm offer competitive pricing. By comparing quotes, stacking discounts, and choosing military-friendly insurers, veterans can maximize savings while ensuring adequate financial protection.
Cheapest Car Insurance for Veterans and Military: FAQ
Securing affordable car insurance that meets one's needs is essential for military members and veterans. This FAQ section offers guidance to help you find cost-effective and comprehensive coverage.
Who is eligible for USAA car insurance?
USAA car insurance is designed for U.S. military members, veterans with honorable discharges, pre-commissioned officers and immediate family members, including spouses and children. Siblings and parents of USAA members, however, aren't eligible unless they served themselves or meet other specific criteria.
What insurance companies cover military personnel and their families?
Many insurers cater to the military community. While USAA is a standout choice, other providers like GEICO, Progressive and State Farm offer military-specific discounts and programs. These companies understand military life and provide benefits like deployment discounts and worldwide coverage options.
Do active-duty military members need insurance even if they’re deployed?
Deployed military members should maintain auto insurance to avoid coverage gaps, which can lead to higher premiums later. Keeping coverage active, even if suspended, helps preserve lower rates. Many insurers offer deployment-specific discounts for stored vehicles to reduce costs during deployment.
How can military members save on car insurance?
Military members can benefit from special discounts and rates. Combining these with other savings, like safe driving discounts, can significantly reduce costs. Comparing rates tailored to military needs helps maximize savings. Shopping around with multiple providers ensures you find the best deal available.
Are there specialized car insurance policies for deployed military members?
Insurers often provide tailored options for deployed military personnel, like reduced rates for stored vehicles or policy suspension. Discussing these options with your insurer before deployment can ensure the best fit. USAA offers up to 60% discounts for long-term vehicle storage during deployment.
Affordable Auto Insurance for Military Members: Our Methodology
Why Trust MoneyGeek?
MoneyGeek collected and analyzed data from trusted sources, including Quadrant Information Services, J.D. Power, AM Best and the National Association of Insurance Commissioners (NAIC). This thorough research helps identify the largest insurers by market share, financial stability and premium costs, providing a well-rounded evaluation of car insurance providers.
Overview
MoneyGeek used data from reputable sources to evaluate the best and cheapest car insurance companies nationwide and by state. The analysis reviewed large and small providers, factoring in premium costs, market share and customer satisfaction ratings.
Data Acquisition and Depth
MoneyGeek analyzed 2,118,312 quotes from 67 companies across 897 ZIP codes, using data from Quadrant Information Services and various rating agencies.
Driver profile
MoneyGeek uses a standard profile for consistent rate comparisons, which includes:
- 40-year-old male
- Clean driving record
- 100/300/100 liability coverage limits
- Comprehensive and collision coverage with a $1,000 deductible
- 2010 Toyota Camry LE
- 12,000 miles driven annually
We modified this profile to reflect different factors, such as age, location, driving history, military affiliation and car type.
MoneyGeek Scoring Methodology
The composite MoneyGeek score (out of 100) incorporated these factors:
- General customer satisfaction and claims satisfaction (45%): Based on the NAIC complaint index and claims satisfaction ratings
- Claim satisfaction (30%): Included CRASH Network Claims Scores and NAIC scores to evaluate the claims process
- Available coverages (20%): Analyzed essential and unique coverage options offered by insurers
- Financial stability (5%): Assessed using AM Best ratings to determine an insurer’s ability to pay claims under financial strain
Learn more about MoneyGeek’s car insurance methodology.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.
sources
- USAA. "Auto Insurance Discounts." Accessed February 19, 2025.