Although more than one in four (26%) auto insurance customers in Canada say their policy premium increased this year from last year, the overall national satisfaction index with providers improves by 13 points from 2010, to 740 on a 1,000-point scale, according to our 2011 Canadian Auto Insurance Study, which is based on responses from 11,286 auto insurance policyholders.
This year, a number of auto insurance companies in Canada were able to offset the negative impact of higher premium prices by providing proactive communications and by helping their customers explore options to reduce costs. We find that when insurance providers give advance notice to customers about premium increases and explain available options, satisfaction with price improves by more than 100 points, on average, in comparison to the satisfaction levels among customers who don’t receive advance notice.
At the same time, the percentage of customers who do receive advance notice about a premium increase and are told about coverage/discount possibilities, such as for multiple vehicles or bundled home and auto polices, remains low—only 16% on average. Continue reading ›