Consumers are less satisfied today with their homeowners and renters insurance policies than they were in the past, according to a new survey from J.D. Power.
Satisfaction with homeowners insurance has decreased by 6 points on a 1,000-point scale while satisfaction with renters insurance has declined by 7 points.
The dissatisfaction is mostly tied to unhappiness about the cost of insurance, and those who bundle homeowners and auto insurance are especially unhappy these days. Satisfaction among those folks has dropped by 10 points.
In a press release, Robert M. Lajdziak, director of global insurance intelligence at J.D. Power, says:
“Sky-high auto loss costs and resultant auto premium increases are creating ripple effects throughout the insurance industry and, as a result, one area that is being severely disrupted is the home and auto insurance bundle.”
J.D. Power’s 2022 U.S. Home Insurance Study measured overall customer satisfaction based on five factors:
- Policy offerings
- Billing process and policy information
Among all the home insurers included in the 2022 study, the average overall customer satisfaction score was 819 out of 1,000 points.
Eight companies earned above-average scores. They are:
- Amica Mutual: 849
- American Family: 842
- The Hartford: 839
- Automobile Club of Southern California (AAA): 838
- Country Financial: 830
- State Farm: 829
- Erie Insurance: 827
- Auto-Owners Insurance: 825
An additional 11 home insurance providers earned below-average scores, with Homesite earning the lowest score — 753 out of 1,000.
The USAA financial services company actually would have earned the top ranking — with its score of 884 — but it was excluded from J.D. Power’s rankings because USAA is open only to U.S. military members and their families.
J.D. Power surveyed nearly 12,000 homeowners and renters. To view how a particular insurer ranked, check out J.D. Power’s announcement about the study and scroll down to the graphic illustrating the rankings for homeowners and renters insurance companies.
Cutting the cost of home insurance
Looking for a great deal on home insurance? One overlooked way to save is to join the right organization.
As we report in “Want a Home Insurance Discount? Join Any of These 5 Groups“:
“Various organizations offer their members discounts on such things as eye care, car insurance and homeowners insurance.”
For more ways to save, check out “How to Get the Best Deal on Homeowners Insurance.”