USAA opens door to more veterans

USAA, a San Antoniobased insurance carrier and financial services company with 6.4 million military members, said Monday that it is relaxing eligibility requirements to encompass military retirees and service members honorably discharged after 1995, and their spouses and children.

The decision opens up the potential for 3 million new customers, said spokesman Roger Wildermuth. He predicts gaining 50,000 newly eligible members by the end of this year and 100,000 by the end of next year.

USAA cites steady financial growth and expanded operations as the reasons it can increase its customer base.

"USAA is stronger today than at any time in our 86-year history, which enables us to offer the benefits of USAA membership to more people," said Joe Robles, president and chief executive officer.

USAA ranked 176th on this year's Fortune 500 list of America's largest corporations, posting $14.4 billion in revenue in 2007, up 7.5 percent over 2006, and $1.85 billion in profit, a 20 percent drop from 2006.

The expansion will have no impact on USAA's regional office in Colorado Springs, Wildermuth said, because more than half of new members join on the company's Web site.

"Recent improvements in our online and mobile technologies give us the internal capacity to effectively serve these broader segments of the military market," he said.

The Colorado Springs office has 1,050 employees who serve customers in 11 states and also help local members with underwriting, policy service and claims.

USAA started as an officeronly association in 1922 and opened to enlisted personnel in 1996. Until now, miltary had to be active-duty to join USAA or join within a certain period of separation from the military, Wildermuth said.

USAA is member-owned and offers insurance, banking, discount brokerage, financial planning and investment management products. Its life, investment and retirement products are now available to non-USAA members, such as extended family members.

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Contact the writer: 636-0235 or debbie.kelley@gazette.com