Early History & Organic Growth (1922–2000)
- 1922: The parent organization (USAA) is founded in San Antonio, Texas, by 25 Army officers who agreed to insure each other's vehicles when other companies would not.
- 1963: USAA Life Insurance Company is founded.
- Significance: This marked the first major diversification of USAA beyond property and casualty (auto/home) insurance. It was created to provide life insurance and annuities specifically tailored to military families.
- 1997: USAA Life Insurance Company of New York is incorporated.
- Purpose: Established to meet the strict and specific regulatory requirements of New York state insurance law, allowing USAA to serve members stationed or living in NY.
Mergers, Divestitures & Strategic Shifts (2010–Present)
Unlike many competitors, USAA Life has rarely acquired other companies. Its history is defined by organic growth followed by a significant period of divestiture (selling off non-core businesses) to refocus purely on Insurance and Banking.
- 2019 (July): Sale of Asset Management to Victory Capital.
- Event: USAA sells its Asset Management Company (mutual funds, ETFs, and 529 plans) to Victory Capital Holdings.
- Impact on Members: USAA Life no longer manages these investment products directly. Members with USAA Mutual Funds saw their accounts transfer to Victory Capital.
- 2020 (May): Sale of Brokerage to Charles Schwab.
- Event: USAA completes the sale of its Investment Management Company (brokerage and wealth management accounts) to The Charles Schwab Corporation.
- Impact: USAA effectively exited the investment advice and brokerage business. USAA Life Insurance Company remained, but the "financial advisor" aspect of the relationship was transferred to Schwab.
- 2021 (July/October): Strategic Reinsurance Deals.
- Event: USAA Life executes massive reinsurance agreements to offload risk from older annuity blocks.
- Deal 1: Ceded approximately $3 billion in fixed annuity reserves to Commonwealth Annuity and Life Insurance Company (a subsidiary of Global Atlantic).
- Deal 2: Ceded approximately $3 billion in legacy annuity reserves to Fortitude Re.
- Significance: While not a "sale" of the company, this was a major financial restructuring. It moved the management of billions in old annuity liabilities to third-party reinsurers, allowing USAA Life to free up capital and focus on selling new life and health policies.
Contact & Home Office Information
- Home Office Address:9800 Fredericksburg RoadSan Antonio, TX 78288
- Phone: 1-800-531-USAA (8722)
- Website: www.usaa.com
Sources of Information
- USAA Corporate History: Official timeline detailing the 1963 founding of the Life Company.
- Victory Capital & Charles Schwab Investor Relations: Press releases from 2019 and 2020 detailing the acquisition of USAA's investment arms.
- Texas Department of Insurance: 2021 Annual Statement filings detailing the reinsurance agreements with Commonwealth Annuity and Fortitude Re.
- A.M. Best: Credit rating reports confirming the ownership structure of USAA Life as a subsidiary of the United Services Automobile Association.
