NU Online News Service, Oct. 1, 2:58 p.m. EDT
Consumers reported high satisfaction levels with their auto insurance companies over the past year, viewing Allstate, State Farm and Geico as the most reputable auto insurance providers.
These and other findings were revealed in a new survey by Market Force Information, which conducts customer experience studies.
The survey looked at auto insurance preferences and trends and found that Allstate and State Farm Insurance nearly tied for insurers with the best reputation, with each earning about 21 percent of the votes. Geico ranked third with 14 percent, while USAA and Progressive each earned 6 percent to tie for fourth place.
A key driver in satisfaction with auto insurance providers is how they process claims, Market Force said, noting that of the 18 percent of survey respondents who reported filing a claim with their auto insurance provider in the past year, 85 percent said they were satisfied with the way the claim was processed.
When the consumers were asked why they chose one auto insurance provider over another, most (59 percent) said their decision was based on price. The ability to get complete services from one provider played a big role as well, cited by 27 percent. Two-thirds of consumers reported they get other types of insurance from their providers.
When asked which company does the best job communicating its value to consumers, Geico outscored all others by a large margin. Forty percent of respondents selected Geico, followed by Allstate, Progressive and State Farm with 22 percent, 17 percent and 11 percent, respectively.
Ten percent of consumers switched insurance providers in the past 12 months, driven primarily by service and fee/rule changes; 25 percent of those that switched said they did so because they were unhappy with their service, while 20 percent changed because their provider implemented new fees/rules that adversely affected them. Of those who switched providers, 74 percent went to providers with better pricing, according to the survey.
The survey was conducted in August. There were 2,800 respondents, ranging in age from 18-72.
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