Wednesday, March 5, 2014
Overall satisfaction among homeowners insurance customers who filed a property claim has improved for the second consecutive year.
According to the J.D. Power 2014 Property Claims Satisfaction Study, satisfaction among homeowners insurance customers who filed a property claim between April 2012 and January 2014 averages 840 (on a 1,000-point scale) â€“ up from 836 in the 2013 study.
Overall satisfaction with non-catastrophic claims increased by 11 index points in 2014, compared with 2013 (843 vs. 832, respectively).
However, satisfaction among those homeowners who filed a claim for damage caused by Superstorm Sandy averages just 830 in 2014, down from 846 among Sandy-related claimants surveyed shortly after the October 2012 storm.
At this point, we should note that Sandy caused $18.75 billion in insured property losses across 15 states and the District of Columbia, not including National Flood Insurance Program (NFIP) losses, according to Property Claim Services (PCS). This makes it the third costliest U.S. hurricane topped only by Hurricane Katrina in 2005 and Hurricane Andrew in 1992.
Returning to J.D. Powerâ€™s findings itâ€™s not surprising to learn that communication and timeliness are key to keeping homeowners insurance customers satisfied during the property claims process.
A press release quotes Jeremy Bowler, senior director of the insurance practice at J.D. Power:
Starting at the time of first notice of loss, it is crucial for insurers to keep claimants informed of their claim, the estimate of damages, the settlement amount, when work will begin and when it will be completed.â€
The study, now in its seventh year, measures satisfaction with the property claims experience among insurance customers who filed a claim for damages covered under their homeownersâ€™ policy by examining five factors: settlement; first notice of loss; estimation process; service interaction; and repair process.
The 2014 Property Claims Satisfaction Study is based on more than 5,500 responses from homeowners insurance customers who filed a property claim between April 2012 and January 2014.