NU Online News Service, June 29, 3:16 p.m.EST

For the first time, customer satisfaction with price is higherwith those who have separate auto and homeowners’ insurancepolicies versus customers with both policies under the sameinsurer.

J.D. Power and Associates has released its annual auto insurance study, which measures customer satisfaction withauto insurers using factors: interaction, price, policy offerings,billing and payment, and claims.

The study, based on 28,000 responses from auto policyholders,reveals that although customers are increasingly bundling autoinsurance with any additional products (77 percent do, compared to70 percent in 2010) and are receiving discounts for doing so, theimpact on customer satisfaction is not what it used to be.

“Customers have come to expect a discount for holding multiplepolicies with their insurer, and it appears that the positiveeffect of this discount has become diluted,” says Jeremy Bowler,senior director of J.D. Power’s insurance practice.

On a 1,000-point scale customer satisfaction among customerswith auto and home insurance with the same insurers increase byjust 7 points to 727. Satisfaction from consumers with just an autopolicy increased 26 index points, J.D. Power says.

However, discounts given for accident forgiveness, ticketforgiveness, and claims-free discounts have a “dramatic impact onsatisfaction—each creating more than a 40-point lift insatisfaction with discounts,” adds Bowler.

Furthermore, J.D. Power found that online interaction is themost important driver of satisfaction. More than 80 percent ofpeople say they were able to complete an entire transaction on thecompany’s website.

Customers who use other technologies, such as smartphones andemail, during the purchase of insurance are more satisfied thanthose who use only their purchase channel to meet their serviceneeds.

“This increase in satisfaction is more pronounced amongagent-serviced customers who use these emerging technologies,” J.D.Power says.

For the twelfth year in a row, Amica Mutual ranks highest incustomer satisfaction with a score of 843. Rounding out the topfive are Erie Insurance (825), Shelter (816), Auto Owners (815),and Ameriprise and State Farm (804).

The industry average is 790, up from 777 in 2010.