NU Online News Service, July 8, 3:40 p.m. EDT
Insurers, treat your claimants well.
Do so, and homeowners insurance policyholders are likely to renew and recommend your company to others, according to J.D Power and Associates.
A report by the marketing information services company, "The 2010 U.S. Home Claims Satisfaction Study," states that insurers that provide the most satisfying claims experiences are most likely to have policyholders renew.
Among homeowners insurance policyholders who said they had a good claims experience, 71 percent said they would renew their policy with the company and 67 percent said they would recommend the company to others, J.D. Power said.
Amica Mutual, Auto-Owners Insurance and USAA performed best in providing a satisfying claims experience.
The study is based on surveys taken between November 2008 and April 2010. It evaluates 13 insurance companies–Amica, Auto-Owners, USAA, Allstate, American Family, Erie Insurance, Farmers, Liberty Mutual, Nationwide, Safeco, State Farm, The Hartford and Travelers.
In its study, J.D. Power did not specifically name the poorest insurers in providing a pleasant claims experience, but among those that did score badly, only 53 percent of claimants said they would renew.
The study looked at five aspects of the claims process: settlement, first notice of loss, appraisal, service interaction and repair process.
"The property claim represents a moment of truth for insurance claimants regarding their insurers, so it's particularly important that the claims experience is handled in a satisfying manner to ensure claimants remain with the insurer in the long run," said Jeremy Bowler, senior director of the insurance practices at J.D. Power, in a statement.
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