USAA Cost of Insurance Settlement

Settlement Structure: Claims Made

Active: Closed

Closed Settlement Statement:

According to court documents, the claim submission deadline has passed. Please contact the claims administrator if you have any questions.

Case Summary:

USAA Life Insurance Company is paying $90 million to settle a class action alleging that it violated its own policy terms in deducting the cost of insurance (COI) for certain Universal Life 1, 2, 3, and 4 policies. The complaint made three allegations: (1) USAA used factors other than those specified in the policy to determine COI rates. (2) USAA considers its expenses when setting rates. (3) USAA is supposed to use “expectations as to future mortality experience” in determining COI, but while these expectations have improved, USAA has not reduced its rates.

Docket Number:


Company: USAA Life Insurance Company

Filing Deadline: January 1, 2100

Class Period: March 1, 1999

Objection Deadline: August 5, 2021

Exclusion Deadline: August 5, 2021

Final Approval Hearing: August 26, 2021

Proof of Purchase:

You do not need to provide proof or submit a claim form.


You may be eligible if you are a person who owns or owned a Universal Life 1, Universal Life 2, Universal Life 3, or Universal Life 4 life insurance policy issued or administered by USAA Life (or its predecessors in interest) that were in force on or after March 1, 1999, subject to certain important exclusions.

Typical Settlement Amount:

Benefits will be based on a distribution plan giving each class member an approximate pro-rata share of the net settlement fund, based on the amount of cost of insurance charges paid. The minimum payment is $50.

Total Settlement Amount: $90 million

Class Representative Proposed Incentive Fee:


Law Firms:
Girard Sharp LLP
Miller Schirger LLC
Stueve Siegle Hanson LLP

Case Name: Spegele v. USAA Life Insurance Company

Settlement Website: USAA Cost of Insurance Settlement Website

Claims Administrator:
Analytics Consulting, LLC

Claims Administrator Contact Information:

Spegele v USAA
c/o Analytics Consulting LLC
P.O. Box 2007
Chanhassen, MN 55317-2007
Phone: 1-888-392-1061
Fax: 952-404-5750

Tags: Cost of Insurance, Insurance, Life Insurance