A J.D. Power and Associates survey has ranked Amica Mutual firstamong 21 insurers for customer satisfaction in handling of autodamage claims.

The same poll also reported that nearly one of every five autoinsurance customers say they consider switching carriers aftergoing through the collision claim process.

John Tews, spokesman for J.D. Power in Westlake Village, Calif.,said this is the first time for this award.

For seven years straight Amica has won the J.D. Power award foroverall customer satisfaction for its auto insurance, and for fiveyears in a row the company has won the award for its homeownersinsurance service, according to Mr. Tews.

The new J.D. Power Collision Repair Satisfaction Study for 2006asked 5,752 customers who had a collision within the past 12 monthsinvolving damage or a total loss of their vehicle to evaluate theirinsurer.

“Filing an insurance claim is a critical moment of truth thatshapes a customer's overall perception of their insurer,” saidJeremy Bowler, senior director of the insurance practice at J.D.Power, in a statement.

Mr. Bowler added that filing a claim is often “the first timecustomers truly become familiar with their insurance policy.Misconceptions about what is covered by the auto policy, or what toexpect during the claim and repair processes, can lead tosignificantly lower customer satisfaction, which in turn increasesthe likelihood that the customer may consider switching carriers inthe future.”

The study looked at three factors that drive customersatisfaction with the repair experience, which are, in order ofimportance: claims/estimation, 62 percent of respondents; bodyshop, 36 percent; and rental car, 2 percent.

Seven percent of customers did not file a claim with theirinsurer after their most recent collision.

According to the survey, common reasons for not filing include:the insurance deductible was more than the cost of the repairs; aconcern that the carrier would increase premium after the claim;advice from an insurance agent not to file.

With a score of 821 index points on a 1,000-point scale,Providence, R.I.-based Amica Mutual ranked highest in satisfyingclaimants in the collision repair process. Erie, Pa.-based ErieInsurance, with a score of 809, and Bloomington, Ill.-based StateFarm, with a score of 800, followed Amica Mutual in the overallranking.

In terms of market ranking, by line of business for personalauto physical damage coverage in direct premium written (DPW),according to National Underwriter's Highline Data Service, Amicaranks 27th, Erie ranks 18th and State Farm is number one.

On the low end of the J.D. Power survey was New York-basedAmerican International Group with a score of 705, and LosAngeles-based Mercury General, which was dead last with a score of703.

In market terms for that line, AIG is ranked 8th and MercuryGeneral is 13th.

USAA, an insurance provider open only to the U.S. militarycommunity and their families, and therefore not included in therankings, had the highest ranking at 846. The company is ranked 7thin DPW for this line of business.

Mr. Bowler explained to National Underwriter that companies thatreceived less than 100 responses in the survey were excluded fromthe results.

He added that the online survey strives to include as manycarriers as possible, but some insurers did not make it into thesurvey due to low claims incidence or market share.

The study also found that claimants whose vehicles are totaledrather than repaired are significantly more satisfied if theirinsurer gives them a clear explanation of why the vehicle istotaled and how they calculated the settlement amount.

Nearly 85 percent of total loss claimants receive an explanationof why their vehicle is being totaled and how their actual cashvalue settlement is derived.

J.D. Power is a business unit of McGraw-Hill Companies.