Auto insurance customers today aren’t as willing to stick with their insurance provider as they were yesteryear. According to the Insurance Journal through a report shared by IBM, 37 percent of customers left their insurance agencies and took their business elsewhere over the course of two years.
Why is customer loyalty wavering? Because customers are looking for fair treatment and loyalty themselves. If it seems that the insurance company you have been loyal to for a handful years is mistreating you or ignoring your needs, then why continue doing business with them? Business should be conducted with mutual respect, and customers are finding that harder to come by.
The Insurance Game
When we are paying for a product or service, we want it to be fairly marked and established. As conscientious consumers, we read reviews and gather pricing information to fully understand what it is we are going to be paying for. We want to be sure that the product we are investing our resources in is worthy. Auto insurance is no exception. In fact, our auto insurance policy is a product that we want to make sure is worth its monthly premium.
As previously discussed, there are three consumer practices customers use to help themselves evaluate what they need in an auto insurance company. These are:
A High A.M. Best Rating
A.M. Best is an information services company that reports on insurance companies’ fiscal stability. Insurance companies that are featured on A.M. Best’s Credit Ratings list have proven that they are financially responsible and able to provide economic services to their customers. One of the top complaints that customers make about their insurance company is that said company refuses to support an auto accident claim. If the insurance company you are looking to sign with has a poor financial record, do not sign with them, as they will not support you after an accident.
The Insurance Premium Rate
We may never have to call on our insurance company for help, so paying a lot of money for a service we might never use seems like a pretty raw deal. But the truth is, it isn’t. The premiums we pay supports our insurance company’s economic footing, which in turn gets our claims approved after an accident.
Insurance companies base our premium rates on a number of factors, including our:
If we have caused accidents, have unpaid traffic tickets or drive a popularly stolen vehicle model, our insurance company will deem us a financial risk and will raise our premiums. At CoverHound, we gather your information to find you the best (and fairest!) premium rates the insurance market has to offer.
The Claims Making Process
Taking in your vehicle for repairs after an accident is frustrating, but dealing with an insurance adjustor who lowballs the claim payment or drags his feet in filing the damages report is infuriating. Experiencing a prolonged claims process after an accident feels insulting. You pay for this service, so why is the insurance company taking so long? Insurance companies that have stellar customer reviews in the claims process and in handling repayment are often what clinch consumers’ trust votes.
There are a lot of insurance agencies out there, the question is which is the right one for you. At CoverHound, we can help. Click here to get started.