2024’s Most Common Homeowners Claims

The Insurance Information Institute (Triple I) said one in 18 homes file a homeowners insurance claim every year. These days claims are very easily filed online, and more and more consumers are going that route.

That appears to be good news for insurers. J.D. Power said overall customer satisfaction with the digital claims process rose 17 points this year. On a 1,000 point scale, consumer satisfaction averages 871.

Improvements with mobile apps and websites and the visual appeal of those sites is driving the satisfaction. Consumers also find it much easier to post a photo or a video and to receive information back from the insurer.

J.D. Power’s director of global insurance intelligence, Mark Garrett said 84% of claimants say the insurer makes it really easy to file the claim. On the other side of the coin, just 39% say the insurer does a good job of getting back to the claimant.

And 20% are really frustrated when they’ve had to use more than one channel to get a question answered.

“The digital channel has now surpassed traditional phone-based communication as the most satisfying way for insurance customers to submit a new claim,” Garrett said. “Auto and home insurers have finally gotten the digital formula right with streamlined reporting tools, proactive updates and well-designed apps. However, the industry still has some work to do when it comes to helping insureds navigate between digital and offline channels, which can sometimes create unnecessary friction in the claims process.”

Here are the five most common claims being filed by consumers:

Non-theft property damage (vandalism or malicious mischief etc.) are more prevalent than break-ins and account for 9.4% of all claims in 2021.

Break-ins and theft account for 0.7% of all homeowner claims. Security systems, video cameras and doorbell cameras have led to a huge reduction in this kind of claim.

Fire and lightening damage. In 2022 there were 62,000 properties damaged from lightening.

Water damage and freezing. In 2021 water damage or freezing accounted for 23.5% of all claims.

Wind and hail damage. The Insurance Information Institute (Triple-I) said 39.4% of all homeowner claims in 2021 were related to wind or hail. The average claims cost for these disasters averaged $13,000.

Source link: PropertyCasualty360.com — https://bit.ly/3OOU23R