J.D. Power Study Finds Digital Claims Management Boosts Customer Satisfaction

The J.D. Power 2025 U.S. Claims Digital Experience Study highlights the significant impact of digital management on customer satisfaction during the insurance claims process. The study finds that customers report the highest satisfaction levels when they are able to manage claims entirely through digital platforms such as mobile apps and insurer websites. Despite this, many customers still need to interact with insurers through offline channels, particularly to obtain detailed explanations or status updates, indicating areas where digital experiences can be further enhanced. Proactive digital updates emerge as a critical factor driving satisfaction, yet insurers currently provide sufficient digital updates only 22% of the time. Mobile apps, while associated with the highest satisfaction for status updates, are underutilized; only about one-third of auto and homeowners insurance customers receive updates via this channel, with most communications occurring through email, calls, or texts. The study also reveals a fragmented customer experience, with 22% of customers having to use multiple communication channels to resolve the same queries. This suggests a need for insurers to integrate their systems more effectively to provide seamless, end-to-end digital claims experiences that anticipate and address customer needs proactively. There is a clear link between the quality of digital claims experiences and customer loyalty. Customers rating their digital interactions as poor or just adequate are more than half likely to switch or not renew their policies, while those rating their experiences highly show minimal risk of attrition. This underscores the strategic importance for insurers to invest in enhancing digital claims capabilities to retain clients. The J.D. Power study, based on nearly 6,000 evaluations from recent auto and home insurance claimants, assesses the digital experience on service range, ease of use, clarity, and helpfulness across desktop, mobile web, and apps. The findings provide actionable insights for the property and casualty insurance sector to refine digital touchpoints and optimize customer engagement throughout the claims lifecycle.