Report: Customers Less Satisfied with Auto Insurance Companies

8/4/2010

Insurance agents who are looking to develop new leads may want to consider recent data suggesting that many prospective customers are willing to at least consider a change.

According a recent survey from J.D. Power and Associates, overall customer satisfaction with auto insurance companies has declined somewhat since 2009. The organization measures current customer satisfaction at 777 on a 1,000 point scale, which marks a 10 point decline over the past year.

The study took various parts of the auto insurance experience into account, from claims and billing to price, policy offerings and interaction.

"Now that the market has stabilized, consumers are feeling more in control of their finances and have become more aware of and sensitive to the rate increases that have started to occur since the recent recessionary period," said Jeremy Bowler, senior director of the insurance practice at J.D. Power and Associates.

According to the data, 22 percent of customers report having had a recent increase in premiums. Last year, that figure stood at just 17 percent. Also, the report noted that about 60 percent of policy holders had seen their premiums rise without any advance notice from their insurance company.

ShareThis