Small Business Commercial Insurance Satisfaction Reaches New High
Anyone who’s ever owned a small business can tell you about the importance of having insurance. At the same time purchasing policies and dealing with insurance companies has never traditionally been any entrepreneurs favorite pastime. Despite that a new study by J.D. Power finds that more business owners are satisfied with their commercial insurance than ever before.
Out of a possible score of 1,000, the average small business commercial insurance satisfaction score was found to be 844, marking an all-time high for the index. The study was compiled by gathering responses to more than 3,000 entrepreneurs whose businesses had fewer than 50 employees. To gauge satisfaction, J.D. Power asked business owners about the interactions they’ve had with their insurance company, the types of policy they offer, their pricing, their billing and payment procedures, and how they handled claims.
As you’d expect for J.D. Power, the study also ranked small business commercial insurance brands in terms of customer satisfaction. Topping the list was Nationwide with a score of 868. They were joined in the “Among the Best” tier by American Family, who scored 864. Other top finishers included Chubb (858), Farmers (858), and State Farm (854). Elsewhere the company with the lowest ranking was The Hanover with a score of 823.
Commenting on the increase in average satisfaction, J.D. Power Head of Property and Casualty Insurance David Pieffer explained, “Insurers have focused on improving their approach to the small commercial market and it shows. He went on to note that tech investments on the parts of insurance firms have paid off, saying, “Technology has become an increasingly critical component in the small commercial insurance offering. Digital channels are now more influential than ever before in shaping commercial customer experiences and this will be an important area of focus moving forward as technology continues to evolve rapidly and more customers interact with their insurers via electronic channels.”
When it comes to shopping for commercial insurance, it’s a pretty safe bet that most small business owners would rather do just about anything else. However this latest J.D. Power report would suggest that the process is getting better and that more business owners are having positive experiences with insurers. Considering how important commercial insurance can be for a small business, this development is great news all around. Hopefully insurance companies will continue to invest in technologies that will make it even easier for business owners to manage their policies and will keep putting an emphasis on their small business clients.