Posted on 05/02/2023 10:40:00 AM PDT by Responsibility2nd
USAA posted a loss last year for the first time since 1923 — the year after the company was founded — as high inflation pushed up the cost to repair and replace cars, more drivers returned to the roads, investment returns fell and natural disasters barreled through communities.
The San Antonio-based insurance and financial services company reported a loss of $1.3 billion in 2022, down from a profit of $3.3 billion in 2021. For its customers, that meant heftier premiums.
~snip~
USAA paid out nearly $2.5 billion for losses suffered during more than 60 major catastrophes in 2022, including Hurricane Ian in Florida. Insurers' initial loss estimates for the hurricane range from $20 billion to $47 billion, and it is likely among USAA’s costliest catastrophes, the company said in the report.
USAA collected $28 billion in insurance premiums last year, up from $26.3 billion in 2021. It returned nearly $2 billion to members in distributions, dividends, bank rebates and rewards, about the same as a year prior.
(Excerpt) Read more at expressnews.com ...
I pay them a goodly amount each month.
I paid most of that increase in premiums myself.
Not run by old military men anymore.
I’ve been with them 25 years and the only claim I have ever filed was for a windshield.
Do the math on that.
I even contacted the CEO and warned him that this was a very bad sign for a long-term member.
Yep, I’ve been doing banking and insurance business with them for almost 30 years. I’ve filed the occasional insurance claim from time to time and it’s always been handled promptly and satisfactorily. I hope this doesn’t change!
I’ve been with them about 40 years. I’ve been late with a payment or two but they make up for it in late fees.
Do the math on that.
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I am not with USAA but the only thing that makes me more mad than figuring out how much money I’ve paid into various insurances over my lifetime compared to what I have claimed is how much money I have paid into taxes compared to how they spend it.
I’ve been with USAA for 60 years. Mostly very helpful...mostly!
https://www.complianceweek.com/regulatory-enforcement/usaa-fined-140m-for-aml-compliance-failures/31475.article
(March 18, 2022)
"USAA Federal Savings Bank (FSB) must pay $140 million as part of two separate consent orders reached with the Financial Crimes Enforcement Network (FinCEN) and Office of the Comptroller of the Currency (OCC) for the bank’s “willful” failure to implement and maintain a Bank Secrecy Act/anti-money laundering (BSA/AML) compliance program."
I was disappointed when USAA ramped up their advertisements during NFL games despite the wokism and the kneeling from the NFL, a league which prior to that supported veterans well.
PS
Probably no subscriber savings account payouts this year.
My house insurance just jumped a whopping 16%! I guess I need to prepare for my new auto premiums.
“I guess I need to prepare for my new auto premiums.”
That will go up too. Debating if I need to raise Property Damage Liability. With the cost of new cars going up, I might need too.
I witched auto insurance companies this year, been with Farmer’s for 25 years, never had a claim. Rates increased by almost 100% this year. Bye bye Farmer’s.
Also "No Fault Insurance" by many states forced USAA to take on not just the military, active, retired, and reserve, but everyone else. The everyone else was the high risk insurance pool. I have been with USAA for 56 years and have been very happy with their service albeit the pricing has gone up considerably. The CEO has always been a retired military Flag Officer.
Joined USAA as a cadet. A very long time ago.
They originally were only for military officers. That was re-asssuring. Then officers’ families, and okay, I guess okay, even if a divorce situation.
Then Senior enlisted people and okay, that’s solid.
Then less senior and less senior and hmmmmmmm.
The savings were supposed to be from responsible clientele holding costs down.
Then military officers no longer reqd for executive positions. Whaaaa?
We all get proxies for voting. I usually trashed mine. That will stop.
“The CEO has always been a retired military Flag Officer.”
That no longer holds the same meaning that it once did.
All true and a nice spin, but they’ve also let just about anyone become a member who has some form of military connection (used to only be officers), and their customer service has gone downhill over the past decade. There are many other factors here than just the economy. I’ve been with them since 1990. Generally a good company but they are losing their differentiators.
I think USAA believes I drive a Lamborghini. I’m stunned at what I pay for auto insurance. House insurance is up too but nothing close to how much auto insurance is.
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