RESEARCH: Retention rates dropped last year

by | Jan 13, 2012 | Claims Department News

J.D. Power and Associates reports that 87 percent of consumers stuck with their auto insurer in 2008, but that climbed to 90 percent in 2009 and 2010. In 2011, it dipped back down to 87 percent, according to the research firm, which surveyed 114,000 households, many of which they’d surveyed last year as well.
USAA, New Jersey Manufacturers, and Tennessee Farm Bureau had the highest customer retention levels – 95 percent or higher. Shelter, CSAA, Erie Insurance, State Farm and Auto-Owners were also above 90 percent. Among the insurers with the lowest retention rates were 21st Century (73 percent), Allied (73 percent), Encompass (73 percent), GMAC (72 percent), Infinity (68 percent) and Esurance (65 percent).