The Key To P/C Customer Satisfaction? Communication

A new study by J.D. Power & Associates found that the primary driver behind customer satisfaction with property claims is not the speed in which the claim is processed, but rather how effectively the claims process was communicated to the client.

Despite record-breaking property losses following a brutal hurricane season in 2017, satisfaction amongst those who had to file property-insurance claims is at an all-time high, according to this new J.D. Power report.

The crux of the report found that the insurers who received the highest customer satisfaction ratings, also ranked the highest in the effectiveness of their claims process communications. This means that even though the customers who worked with those particular insurers may have had to wait a bit longer than normal for their claims to be processed, the customer experience was not negatively impacted because those insurers took the time, from the beginning, to manage customer expectations surrounding their claims timeframe.

David Pieffer, a Property & Casualty Insurance Practice Lead at J.D. Power spoke with the Insurance Journal about this studying, saying that:
“The last two years of record catastrophic losses have put P&C insurers to the test, and many have risen to the occasion, driving overall customer satisfaction levels to new highs. While that overall performance is a positive for the industry, there is wide variability in the ranges of performance among insurers in different regions of the country and between different service attributes. Particularly noteworthy, customer satisfaction in Texas and Florida—two of the areas hardest hit by hurricanes—show below-average results, spotlighting areas where there is still room for improvement among insurers.”.

According to this study the time it took to process a claim was considered to be the least important for customers. As long as insurers effectively communicated their expected claims timeframe to their clients, customer satisfaction remained high.

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Effective communication, not speed matters most in P/C insurance customer satisfaction, new J.D. Power survey finds