Insurance Customer Satisfaction Increase, Despite Increasing Premiums
It is no secret that auto insurance premiums have been on the rise for the past 5 years, but it may come as a surprise to learn that along with the increase in premiums, customer satisfaction with their current auto insurance company is at record-high levels! In that same 5 years, satisfaction from customers also rose by an incredible 16%. The scale used to measure customer satisfaction is out of 1,000 points and the current score for the industry as a whole is a whopping 810. The satisfaction scale has been in use since 2000.
Normally, an increase in insurance premiums typically triggers a shift in shopping behavior, resulting in more people searching for insurance from alternative providers, but the industry is actually seeing less people shopping for insurance than ever before. Ultimately, this translates into the insurance companies becoming more effective in communicating with their customers and thereby increasing consumer retention in the process. The increase in communication includes the insurance companies informing their clients of premium increases and the reasons they are necessary.
Currently, some of the key findings of the study are that 51% of current customers ‘definitely will’ renew their insurance with the current provider. 49% of consumers ‘definitely will’ recommend their insurer to friends and family in 2014. Another key point is that having a relationship with an insurer that is actually engaging results in a decreased likelihood of changing to a new provider. Finally, more than 60% of the customers who like to interact with technology have had an interaction with their insurance company in the past year.
Florida Judge Dismisses Suit by Auto Body Shops
On June 24th, a U.S. District court dismissed a lawsuit filed by more than 20 collision repair shops in FL against 39 insurers. The suit alleges that many insurance companies, including State Farm are at the center of a secret effort to suppress labor rates and also force these auto body shops to accept lower payments for materials used in the repair of cars.
Judge Gregory Presnell dismissed the case and allowed the shops an additional 3 days to clarify what shops and what insurers are involved and affected by this possible collusion. The judge asked for individual incidents rather than a broad overview of the situation.
Martins Collision and Sanford Paint & Body accept all major insurers when you are involved in an auto related collision. We will work with them to ensure the smoothest, easy to understand process takes place and that our customers are left satisfied with the experience they have. Please call us today if you have been involved in an auto accident!