Communication Crucial According to Property Claims Study

Communication throughout the claims process is crucial to providing a satisfying claims experience, according to the J.D. Power and Associates 2011 Property Claims Satisfaction Study released today.

The study finds claimants are considerably more satisfied when key communication practices are performed by their insurance provider.

The study revealed greater satisfaction when claimants spoke with two representatives versus four or more in content losses.

Similarly, claimants with a content loss who received a thorough explanation of the claims process, along with a timeline for resolution are more satisfied than claimants who received no timeline.

Auto-Owners Insurance, The Hartford and USAA perform particularly well among insurers in providing claimants a satisfying property claims experience.

Among highly satisfied claimants, 77 percent say they “definitely will” recommend their insurer and 79 percent say they “definitely will” renew with their insurer. Conversely, among claimants with low satisfaction, just 8 percent say they will recommend their insurer and only 14 percent plan to renew.

The study also finds the following key trends:

The Property Claims Satisfaction Study measures insurance customer satisfaction with the property claims experience by examining five factors: settlement; first notice of loss; appraisal; service interaction; and repair process.

The 2011 study is based on surveys from nearly 3,000 insurance customers nationally who filed a property claim between November 2009 and April 2011, and evaluates 13 insurance companies, including: Allstate, American Family, Auto-Owners Insurance, Erie Insurance, Farmers, Liberty Mutual, MetLife, Nationwide, Safeco, State Farm, The Hartford, Travelers and USAA.

The study was fielded in April 2011.

Source: J.D. Power and Associates