Measuring Insurance Customer Satisfaction

Morgan O'Rourke

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February 1, 2017

insurance buyer satisfaction

Insurer profitability and broker expertise are among the key factors contributing to overall customer satisfaction with insurance companies, according to the J.D. Power 2016 Large Commercial Insurance Study, conducted in conjunction with RIMS.

Insurers were evaluated on service interaction, program offerings, price, billing process and claims. Broker satisfaction was based on quality of advice and guidance provided, reasonableness of fees, ease of the renewal process, effectiveness of risk control services, variety of program offerings, effectiveness of program review, price given services received, billing and payment process, and claims process.

J.D. Power found that customer satisfaction among insurers correlated with total combined ratios, suggesting that the most profitable companies are able to offer more flexible underwriting standards to better meet customer needs. XL Catlin, CNA and Chubb ranked the highest among insurers.

For brokers, the companies with the best marks—Lockton and Arthur J. Gallagher & Co.—were those that best used their industry knowledge to understand business needs and provide high-quality advice.

Morgan O’Rourke is editor in chief of Risk Management and director of publications for the Risk & Insurance Management Society, Inc. (RIMS)