Homeowners Say This Insurer Handles Claims the Best

2023 was a tough year for many homeowners: There were a record 28 catastrophic weather events that each caused more than $1 billion in damages, according to J.D. Power.

In total, these events were responsible for $92.9 billion in damages. As a result of all that wreckage, homeowners insurance performance appears to be suffering overall, with customer satisfaction falling to a seven-year low.

How J.D. Power ranked home insurance companies

In compiling its rankings, J.D. Power surveyed 6,019 customers with homeowners insurance who filed a claim in the previous nine months and asked them to rank their insurer based on five factors in order of importance:

• Settlement
• Claim servicing
• First notice of loss
• Estimation process
• Repair process

Amica

This homeowners insurance company’s overall customers satisfaction score: 906 of out 1,000 possible points

Amica sells a Platinum Choice HO5 policy that includes built-in replacement cost coverage of up to 130%.

It also offers its customers a service called Contractor Connection that helps them find licensed contractors that warranty their work for five years.

USAA

This homeowners insurance company’s overall customers satisfaction score: 889 of out 1,000 possible points

J.D. Power actually excluded USAA from its ranking because the company does not meet study award criteria. You cannot purchase USAA coverage unless you are a U.S. military member or veteran, a spouse or child of a member or veteran, or a precommissioned officer.

However, if USAA had been included, it would have earned the second-highest score of all.

Other top home insurers for claim processing

All of the following insurers earned customer satisfaction scores that tied with or beat the industry average, which is 869 out of 1,000 points:

• AIG: 889
• Erie Insurance: 888
• Farmers: 883
• American Family: 877
• Nationwide: 877
• Chubb: 876
• State Farm: 873
• Auto-Owners Insurance: 869
• Liberty Mutual: 869

The worst home insurers for claim processing

Some insurers struggled in the latest survey results. All of these insurers earned customer satisfaction scores below the industry average of 869 out of 1,000 points:

• Allstate: 868
• Automobile Club of Southern California (AAA): 864
• The Hartford: 864
• CSAA Insurance Group (AAA): 859
• ASI Progressive: 851
• Safeco: 851
• Travelers: 845
• Homesite: 820

Source: Money Talks News©