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USAA - The worst experience in my entire life

USAA has no clue when it comes to home insurance/flood/hazard, they re very poorly trained , big communication break down and very unprofessional. I have been dealing with the same issue for 4 months now. I was told that the flood insurance will be collected at the closing but guess what , it didn't happen so now the bank is charging me around $500 for 3 months because they drop the ball. It took them 3 months to notify me that my flood policy was cancelled by the insurance company, and according the bank regulation I should have continuous coverage all the time. Now I have a valid policy that was obtained through the bank but they still send me mail telling that they need a copy/proof of my coverage, how crazy is that, they re the one that obtained the coverage to begin with but they don't have a copy? You be the judge. I didn't mention the headache I went through before closing let's leave that for some other time. Last word is USAA they re good with auto insurance anything else please don't walk but run. Good luck.
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Evacuated during a storm, I evacuated. Came back three day later and there was standing water in my living.

Wood floors, furniture and everything sat in water for three days. It was very obvious the water came throgh the chimney and out of the fire place. USSA SAID...(hold on to your seats) USAA said: Ma'am, that came through an existing hole.

At that point there was dead silence on my end. I had her repeat it.

Then I acted like a downsouth DONKEY! After going 'round and 'round a few days, I finally figured out that homeowners ins and flood ins are NOT connected. SAME Company...yet, homeowner didnt suggest to call FLOOD.

They are the subject matter experts..not me. Besides that...she ended the convo by saying..."if the storm would have ripped the roof off and the water came in......" CLICK (i hung up)


Y'all are lucky. GMAC charged me $5000.00 for a 1 year policy while i was fighing with fema about being in a new flood zone.

Policy thru FEMA was $900.00 .

what a rip off. criminal tocharge so much.

Tripled my Mortgage payment for 6 months, and i fear defaulting. 2 payments to go.


I just went thru a similar thing, my bank is charging me $750 for 2 1/2 mos of flood ins because FEMA suddenly told them i now am in a flood zone. When I found out that i was in a flood zone, i've never been before, I bought the insurance that cost me $300 for the whole year, not $4000 like my bank wanted to charge me. I'm so upset it feels like everyone is out to get you.


Well, it seems your experience would have been totally different if you actually knew what you were talking about.

1. Homeowners insurance (also known as hazard insurance) is always paid-in-full at your closing and was included in your closing costs. Homeowners insurance is required in order to protect your mortgage loan. And future payments will be billed to your escrow account and built in to your monthly mortgage payments.

Flood insurance is a separate policy from your homeowners policy. Flood insurance, which is regulated by FEMA, would not be billed at closing because flood coverage is optional. Because the coverage is optional, your mortgage company would not require that payment at closing (nor punish you for not carrying it.)

2. If you had issued the flood policy properly, you can find your proof of insurance in your online documents. Use that POI to provide coverage to the bank in order to re-coop that $500 if that policy was in place. The coverage would have existed for at least 3 months even if you didn't make any payments toward it. And with the recent mortgage meltdown and changes in banking regulations, banking and insurance companies (even if they are both USAA) no longer share information because it is against the law. So, having to verify insurance, as difficult as it may seem, is unfortunately something you will have to do.

3.If payment was never received for the flood policy, the insurance department would have sent you a notice and several bills. And in most cases, the policy would have been itemized on your automobile insurance statement. So, not knowing the coverage was cancelled is highly unlikely.

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#310172 Review #310172 is a subjective opinion of poster.
Richardson, Texas
Usaa Auto Insurance