USAA Sues Web Lead Site For Steering Customers

USAA said it is suing USInsuranceOnline.com for steering customers away from USAA by pretending to represent the company.

The San Antonio, Texas-based insurer said it has filed a suit in U.S. District Court for the Western District of Texas in San Antonio against the operators of USInsuranceOnline.com, All Web Leads, its chief executive officer James Waltrip and its president Ryan Patterson.

USAA, a provider of insurance and financial services to the U.S. military and their families, said the Austin-based online leads generator owned by All Web Leads established a Web site “that deliberately diverted consumers looking to do business with USAA to other companies' agents who would pay USInsuranceOnline for the business lead.”

Paul Berry, USAA spokesman, said in a statement: “USInsuranceOnline knowingly misled consumers away from USAA by pretending and disguising themselves as USAA representatives. They used our name and mark without USAA's permission. They told our prospective members they could help them get USAA auto insurance, when in fact, they couldn't. Instead, they sent the consumers' personal information to other insurance agents.”

USAA said the suit has 10 counts ranging from trademark infringement, false advertising and other forms of deception.

According to court documents, USAA alleges USInsuranceOnline placed information on its Web site telling visitors that if they filled out forms online they would get quotes from USAA. USAA said it has no business dealing with the company and neither do USAA's agents.

The carrier further accused USInsuranceOnline of actively diverting potential and current customers of USAA who do a search for the carrier's Web site to USInsuranceOnline.

The lead generator is also accused of using USAA's copyrighted title on its Web site to further the deception.

USAA said that through search generators the USInsuranceOnline Web site is presented in “a misleading and confusing manner” to make customers believe they are going to the Web site of a company affiliated with USAA. It is also producing misleading comparative quotes.

The company is seeking USInsuranceOnline to stop its practice and destroy all reference to USAA on its site. Additionally, the carrier wants all records related to USAA held by USInsuranceOnline destroyed. USAA also is seeking an unspecified amount for damages and legal costs.

Mr. Berry said USAA would prefer not to sue, but it cares deeply about its members and the 87-year-old insurer has “developed a reputation of excellence in customer service. So when any organization feels they can infringe on our brand and purposely deceive our members into believing they represent USAA, we will take action.”

All Web Leads did not immediately return a call for request of comment.

A Google search today for “USAA rate quotes” turned up a link similar to what the company is objecting to in its suit.