Homeowners’ insurance claim satisfaction has declined as rising costs, longer processing times, and communication challenges create frustrations for policyholders, according to the JD Power 2025 US Property Claims Satisfaction Study.
The study, based on 5,178 homeowners who filed property damage claims in the past year, points to financial strain within the industry. With 27 catastrophic events in 2024, insurers are losing approximately five cents for every dollar in premiums collected. The average claim now takes more than 44 days to reach final payment, the longest since the study began in 2008.
The time to complete home repairs now averages 32.4 days. Customers whose claims are resolved within 10 days report an average satisfaction score of 762 on JD Power’s 1,000-point scale. When repairs exceed 31 days, satisfaction drops to 595.
Premium increases have also played a role. Half of survey respondents experienced insurer-initiated rate hikes in the past year, with the highest occurrence in the West Central region, including Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, and South Dakota. Customers whose rates increased without filing a claim had satisfaction scores of 629, compared to 730 among those without a premium change.
Insurer communication remains a key factor. Customers who found it easy to reach their insurers reported satisfaction scores of 777, while those who struggled to connect gave an average score of 337.
Common frustrations include unanswered calls, slow follow-ups, and reliance on non-preferred communication methods.
Digital tools have had a positive effect, particularly among younger policyholders. Customers using insurer apps to file claims, submit photos, and receive updates reported higher satisfaction. Among Gen Z and Millennials, 87% are comfortable managing claims digitally, compared to 60% of Boomers and older generations.
Among insurers evaluated, Chubb received the highest property claims satisfaction score at 773, followed by Amica (745) and The Hartford (725).
As claims take longer and premiums rise, how can insurers improve the experience for policyholders? Share your thoughts in the comments.
