Best Car Insurance for Army Personnel

What's the best car insurance for Army soldiers?

Those enlisted in the Army or Army Reserves earn a relatively sizeable car insurance discount. Compared to an unemployed driver, an insurance client enlisted in the Army earns a discount of $21 per six-month policy. Auto insurance companies rate premiums using historical data that shows Army personnel are less likely to commit violations or file claims, relative to other professions. As such, enlisted women and men receive more affordable auto insurance quotes. Let’s explore some of the ins and outs of car insurance for those in the Army, including the cheapest companies.

Who offers the cheapest auto insurance for the Army?

While USAA is typically most associated with the military, according to our data, Nationwide currently offers the cheapest rates for military personnel. With an average premium of $95 per month, it beats out USAA by just $12 monthly. When comparing to other companies, though, both carriers are worth checking out.

This pricing data is based on a very generic user profile (see methodology above). Any unique attributes related to your driving profile — such as age and driving record — are not factored into the rates above. If you’re looking for personalized quotes, enter your ZIP code below to see how much you could save.

Car insurance after deployment

An Army or Reserve deployment may create a unique car insurance situation. It may seem logical to cancel your car insurance coverage if you’re living away from your vehicle and no one is using it. But it’s a little more complicated than that. Let’s break down your options for your auto insurance and vehicle.

Registration

Most states require two things: that your vehicle is registered with the DMV and that it is covered by liability insurance. While it makes sense to cancel your auto insurance if you won’t be using your vehicle, you may risk having your registration suspended, which could result in a fine.

If you’re going to be deployed for a long period of time and want to cancel your auto insurance, you either need to cancel your registration or, if your state allows, “suspend” it. Suspending car insurance coverage involves submitting an Affidavit of Non-Use or a Planned Non-Operation (PNO) to your state’s department of motor vehicles.

If you submit an Affidavit of Non-Use, you’re stating the vehicle won’t be driven on public roadways, and that its insurance has been canceled. The latter means you will not be using your vehicle during the next renewal year. For more information on this, refer to your state's DMV.

If you don’t want to totally cancel your insurance coverage and registration, storage coverage is another option. Let’s explore.

Storage coverage

If your insurance company allows it, you could change your insurance coverage to "storage." This will drop all your insurance coverage except for your comprehensive coverage, which protects you against damage caused by vandalism, theft, and weather-related incidents. Because it doesn’t protect against collision claims, you should store your vehicle in a secure location.

Because this coverage may not comply with your state’s registration and insurance laws, be wary of registration-related deadlines. If your registration is up for renewal soon, you should wait until it passes to add this coverage. However, if your state actively monitors registration, you might not be able to take this step. In this case, refer back to your non-use clause.

Where to find Army and Army Reserve discounts

Many insurance companies offer special accommodations for Army personnel and their families. Some maintain programs for active Army members and veterans, rewarding your service with a discounted rate. Here are some big companies worth considering.

Additional resources and ways to save

No matter your occupation, you’re probably paying more for auto insurance than you’d like. Here are some additional ways to save on auto insurance:

Double-check for multi-policy savings

Bundling your insurance policies will reduce the number of insurance companies with which you have to deal and earn you a multi-policy discount.

Consider this option if you have established renters, homeowners, or life insurance policies.

If you'd like more information regarding insurance bundling, see our guides:

• Home and auto insurance
• Renters and car insurance
• Condo and car insurance

Get the right coverage

If your vehicle is valued less than $4,000, you do not need physical coverage (collision and comprehensive). These optional coverage tiers protect your vehicle. However, if your car is not worth much, you could be overpaying for extra insurance.

Use Kelley Blue Book or NADA online to determine the value of your vehicle. If you decide to drop these coverages, consider adding uninsured motorist property damage coverage. This will protect your vehicle if it is damaged or totaled by an uninsured motorist or a hit-and-run incident.

Know when to file a claim

You should only file a claim after a car accident if the value of damage is greater than the rate increase you would receive plus your deductible. For example, an at-fault accident raised rates $303 per six months in 2018. Every insurance company will rate (i.e., charge) for a claim for at least three years. In this example, the $303 surcharge will equate to more than $2,100 in total rate increases.

Follow these steps to determine when to file a claim:

1. Get a cost estimate for the damage independently.
2. Use The Zebra's State of Insurance analysis to see how much an at-fault accident would raise rates in your state. Again, consider this surcharge over three years.
3. Compare the three-year surcharge value plus your deductible to the out-of-pocket expenses you learned in step one. If it is cheaper to pay for your claim out of pocket do that.

*Depending on your policy requirements, you may need to inform your insurance company of the accident. This may cause your rates to increase. If your insurance company drastically increases your rates before your informing them of an accident, consider this an opportunity to switch insurance companies.

For more information, see our guide on when and when not to use your insurance coverage.

Shop around

The best way to make sure you're getting the cheapest rate is to double-check for discounts, but also to shop around every six months. Use The Zebra to compare car insurance quotes from hundreds of companies.