Navy Federal Credit Union doesn’t directly offer car insurance, but it partners with TruStage™ to provide its members access to auto insurance through Liberty Mutual. This arrangement allows Navy Federal members to potentially benefit from competitive rates and convenient access to coverage. Let’s explore this partnership and what it means for those seeking car insurance through Navy Federal.
Understanding the Navy Federal and TruStage Partnership
Navy Federal Credit Union members can access auto insurance through a partnership with TruStage™, an insurance program offered by Liberty Mutual. This means that the actual insurance policies are issued by Liberty Mutual Insurance Company or its affiliates, not directly by Navy Federal. While Navy Federal facilitates access to this insurance program, it’s important to understand that they are not responsible for the products or services provided by TruStage or Liberty Mutual.
Key Details about the Insurance Coverage
- Underwriting: Liberty Mutual underwrites the auto insurance policies, meaning they assess the risk and determine eligibility for coverage. Individual underwriting applies, so not all applicants may qualify for insurance. A consumer report and/or motor vehicle report will be obtained for drivers, where permitted by state laws.
- Policy Details: Specific coverage options, limitations, exclusions, and conditions are outlined in the applicable insurance policy documents. It’s essential to review these documents carefully to understand the full extent of the coverage offered. Coverage and features can also vary by state.
- Discounts: Liberty Mutual often offers various discounts on car insurance, but availability and specifics can vary depending on the state. Some discounts may apply only to specific types of coverage.
- Claims: As Liberty Mutual is the insurer, claims would be handled directly through their established processes and procedures.
- Not Federally Insured: The insurance offered through this program is not a deposit, federally insured, sold, or guaranteed by Navy Federal Credit Union.
Compensation and Relationship
Navy Federal receives compensation from TruStage Insurance Agency, LLC for enabling this insurance program to be offered to its members. This compensation should be considered when evaluating the insurance options available through this partnership. While Navy Federal benefits from this arrangement, their primary role is to connect members with a potential insurance provider.
Guaranteed Asset Protection (GAP)
Navy Federal also offers Guaranteed Asset Protection (GAP) as an optional product. This coverage is separate from the auto insurance policy itself and is designed to protect you financially if your car is totaled or stolen and you owe more on your loan than the car’s actual cash value.
- Optional Purchase: GAP coverage is not mandatory and won’t impact your credit application or existing agreements with Navy Federal.
- Payment Options: You can choose to pay for GAP in a lump sum or finance it into your loan, potentially increasing the overall cost. Note: Financing GAP may not be available to all service members, particularly those on Active Duty or Active Reserve in California.
- Cancellation Policy: A full refund is available if you cancel GAP coverage within 60 days of enrollment.
- Terms and Conditions: A GAP Agreement and Disclosure (NFCU23A) outlines the eligibility requirements, conditions, and exclusions of the plan. Careful review of this document is crucial before purchasing.
Conclusion
The partnership between Navy Federal and TruStage offers members a pathway to securing car insurance through Liberty Mutual. Remember to thoroughly review the policy details, understand the role of each entity involved, and compare quotes with other insurance providers to ensure you’re getting the best possible coverage for your needs. While the convenience of accessing insurance through your credit union is appealing, making an informed decision based on your individual circumstances is paramount. Contact Liberty Mutual or a TruStage representative for specific policy details and quotes.
