Customer satisfaction with the claims process following an autoaccident is continuing to improve, according to J.D. Power's"2016 U.S. Auto Claims Satisfaction Study."

Age seems to be a major driver in the satisfaction ratings withpre-boomers (those born before 1946) having the highestsatisfaction number at 912 on a 1,000-point scale.

Boomers (individuals born in 1946-1964) came in second at878.

Gen X (born in 1965-1976) showed the only decrease insatisfaction, dropping eight points from last year to847. 

Gen Y (born between 1977 and 1994), which comprises 40 percentof the claimants in the study, increased 17 points to 844, thelowest satisfaction number in the study.

The number of Gen Y respondents increased 7 percent, making themthe largest group in the study, followed by 20 percent of Gen Xers.The number of pre-boomers and boomers comprised less than 40percent of the respondents, as their groups continue to shrink.

"Gen Y is a large and influential segment of the claims market,so it's encouraging to see that insurance providers continue tofocus on improving this generation's satisfaction," said MarkGarrett, J.D. Power's director of insurance industry analytics.

The study shows an increase in the number of consumers whoprefer to have multiple communication channels, such as email,telephone and online options during the claims process, however,technology has not replaced their desire to interact with a realperson.

While the use of technology to follow a claim's process hasincreased to 42 percent of respondents, overall claims satisfactionwas highest (882) when claimants actually contacted their agentsfirst when filing a claim, compared to a rating of 848 for thosewho chose to file claims through a company website. The study foundthat only 7 percent of claimants overall prefer using digitalchannels, such as a website or app, to report a claim, although GenY consumers had a slightly higher preference at 10 percent.

Garrett said, "While technology offers a customer more options,what we find is that even when customers file a digital claim theystill want to talk with someone to get an explanation of theprocess, what to expect along the claims pathway and the timing."He added that even though younger policyholders are comfortableusing technology, the biggest gains occurred when it was used tocomplement other channels for receiving updates.

Other study findings

According to the study, agents are a key factor in determining apolicyholder's satisfaction with how a claim is handled. Eightypercent of policyholders who purchased their insurance through anagent still contacted the agent first to report the claim, or to atleast seek advice and information. For those who contacted theiragent about the claim, 64 percent said the agent actually reportedthe claim for them, 20 percent were transferred to a call centerand 16 percent were redirected to another source.

Customer satisfaction was highest (882) when the agent reportedthe claim, but slipped almost 60 points to 824 when thepolicyholder was told to contact the call center directly.Claimants who were transferred to a call center were slightlyhappier, but their satisfaction with the process still fell 24points to 858.

Insureds who filed a claim with their insurer also reported anincrease in their insurance premiums. The study found that of thetwo-thirds of respondents who renewed their policies, 28 percentsaw their rates rise.

Claims satisfaction also has a direct impact on customerretention and referrals. Customers with satisfaction scores of 900or higher were the most likely to renew their policy (84 percentdefinitely will) and refer others (83 percent definitely will) totheir insurer. When claimants were unhappy and scored 549 or lower,the number saying they would definitely renew dropped to 12 percentand only seven percent were willing to recommend their insurer.

More than 12,000 consumers participated in the study, and theinformation was collected between November 2015 and August2016.

For a look at which companies were rated the highest, readon:

Related: Listeners can increase customer satisfaction andsales

Policyholders were happiest when insurers used technology tocomplement their other channels for filing a claim. (Photo:iStock)

11. Hanover Insurance Group

Overall customer satisfaction index ranking: 867.

(Photo: iStock) 

10. Farmers Insurance Group

Overall customer satisfaction index ranking: 867.

The number of pre-boomer and boomer drivers is quicklyshrinking. (Photo: iStock)

9. Country Financial

Overall customer satisfaction index ranking: 867.

Related: 20 home insurance companies ranked highest forcustomer satisfaction

(Photo: iStock) 

8. Allstate

Overall customer satisfaction index ranking: 867.

(Photo: iStock)

7. Auto Club of Southern California InsuranceGroup

Overall customer satisfaction index ranking: 869.

(Photo: iStock)

6. Nationwide

Overall customer satisfaction index ranking: 874.

(Photo: Amica Mutual Insurance)

5. Amica Mutual Insurance

Overall customer satisfaction index ranking: 874.

Related: How driving habits are changing the auto insuranceindustry

(Photo: iStock) 

4. American Family Insurance

Overall customer satisfaction index ranking: 874.

Policyholders have higher satisfaction ratings when thefirst notice of loss goes to their agent. (Photo: iStock)

3. Auto-Owners Insurance

Overall customer satisfaction index ranking: 885.

The Erie Insurance headquarters, built in 1956, was inspiredby Independence Hall in Philadelphia. (Photo: ErieInsurance)

2. Erie Insurance

Overall customer satisfaction index ranking: 886.

(Photo: Hartford Financial ServicesGroup) 

1. Hartford Financial Services Group

Overall customer satisfaction index ranking: 891.

Hartford Financial saw a 21-point improvement year over year,performing exceptionally well in the areas of the first notice ofloss and service interaction.

Related: Digital transformation can help insurers keepcustomers loyal