Rising Insurance Rates Has Insured’s Shopping

This story looks at two issues. Rates and digital insurance shopping. Insurers have dropped a ton of money into helping insureds get their insurance digitally. Rising insurance rates have those same insureds shopping and not finding a better price has consumers really frustrated.

In addition, the J.D. Power 2022 U.S. Insurance Digital Experience Study says the rising rates have hit insurers as hard as consumers. However, consumers don’t really care. They’re as unhappy with insurers as they are with inflation.

J.D. Power director of insurance intelligence, Robert Lajdziak said the company’s customer satisfaction survey rates insurers on a 1,000 point scale. The current study set customer satisfaction at 499 out of that 1,000.

That’s a drop of 16 points from a year ago.

“Although insurers keep upping the ante on technology, improvements are being offset by frustration among customers who are going online to shop for a better rate — and not finding one,” Lajdziak said. “We’re also seeing a clear trend in which more than half of digital insurance shoppers are choosing not to use digital tools or educational resources to help them through the shopping process. This further exacerbates the decline in customer satisfaction.”

The good news for the independent insurance agents of the PIA is the survey also noting that 54% of insureds still do not use digital tools to purchase insurance.

Source link: Business Insurance — https://bit.ly/3PT8MxN

Source link: Insurance Business America — https://bit.ly/3x10AV2