Agent satisfaction with insurers is strong; Erie Personal Lines Tops

Overall agent satisfaction with both personal and commercial lines insurers remained strong despite a challenging underwriting environment, a new JD Power study says, with commercial lines satisfaction hitting an all-time high.

According to the JD Power 2024 US Independent Agent Satisfaction Study, overall independent agent satisfaction with personal lines insurers is 774, the same as last year. Satisfaction was 781 for commercial lines, up from 762 last year. JD Power noted that this is the first time agent satisfaction with commercial lines has surpassed that of personal lines. (All scores are on a 1,000-point scale.)

Key Findings:

• Tighter underwriting standards and a reduction in the number of customers who qualify for a policy have made it more difficult for independent agents to work with insurers. On both commercial and personal lines, agents cite greater effort to work with insurers and reduced flexibility in the onboarding process.

• Most independent agents in commercial (54 percent) and personal (62 percent) lines say they are proactively shopping for clients more now than two years ago, looking for lower rates and better product coverage.

• The carriers that have been able to maintain the closest relationships with independent agents have done so by improving their quoting platforms to make it easier to initiate new quotes; increased communication with agencies, both during the claims process and through educational and career development initiatives; and offering incentives such as cash rewards, travel and prizes.

“Carriers that recognize the challenges independent agents face—and help them overcome those obstacles through a combination of education, easy access to quoting tools, and incentives—are managing to earn agent loyalty and satisfaction despite a tough market,” said Stephen Crewdson, senior director of insurance business intelligence at JD Power, in a statement. “Agents’ jobs have gotten tougher, and more agents are proactively shopping for clients. Insurers who want to retain the business of winning agents are finding ways to work with them every step of the way.”

Erie Insurance ranks highest among personal lines insurers in 2024 with a score of 862, followed by Auto-Owners Insurance (845) and The Hanover (800) to round out the top three.

On the commercial side, Auto-Owners Insurance ranks highest for the fourth consecutive year with a score of 844, while The Hartford (815) ranks second and Zurich (801) ranks third.

TOPICS
Carrier agents