J. D. Power Reports Auto Insurance Customer Satisfaction Continues to Rise

J.D. Power has recently reported that customer satisfaction with their auto insurance company is continuing to rise.  The surveys were focused on customers during the claim process.  The study specifically measured customer satisfaction with the claims experience for auto physical damage loss.

The types of factors measured in the study were:

  • notice of loss
  • service interaction
  • appraisal
  • repair process
  • rental experience
  • settlement

The survey is based on a 1000 point scale and the average score has improved over the past four years by 15 points.  The scores only increased by about 2 points year over year, but a 15 point improvement in 4 years definitely signals changes in the auto insurance industry.  These changes were primarily impacted by:

  • higher ratings for responsiveness
  • higher ratings for responsiveness and concern for the customer’s situation

Customer Service-Oriented Auto Insurance

The results of this survey tell me that the playing field on auto insurance is leveling.  The premiums you pay are very close to the same from company to company and in order to keep your business, the auto insurance companies have to win at customer service.  This means you want to find the best customer service auto insurance companies to award your business as opposed to simply shopping around for a lower rate.

Auto Insurance, Customer Satisfaction and Technology

One of the ways auto insurance companies are winning their customers over is through the use of technology.  Technology supported communication will definitely increase customer satisfaction as the customer has grown to expect everything they need to do on a daily basis will be on their phones.  The satisfaction is typically highest among the customers who use email, text messaging or various smartphone apps for their digital updates.

Improvement at Handling Complex Auto Insurance Claims

According to the survey, insurance companies are doing a better job of handling complex claims which would typically result in lower satisfaction scores.  The improvement is scores is largely due to the auto insurance companies more effectively communicating the settlement details, repair times and getting payments to the customer faster.

Highest Rated Auto Insurance Companies

According to the survey, Amica Mutual raned the highest in auto insurance claims satisfaction with a score of 900.  Coming in at 2nd place was Auto-Owners Insurance.  The top auto insurance companies are listed below:

  1. Amica Mutual
  2. Auto-Owners
  3. State Farm
  4. American Family
  5. Auto Club of Southern California Insurance Group
  6. USAA (military only)