The insurance industry has faced unprecedented challenges in the past year, as the pandemic, natural disasters, inflation and supply chain disruptions have impacted both insurers and policyholders. How did the top insurance companies in the United States cope with these difficulties and serve their customers? Forbes and Statista conducted a survey of more than 15,000 people who have an insurance policy in one of five categories: homeowners, renters, auto, permanent life, or term life. The results reveal the best insurance companies in America for 2023, based on customer satisfaction, recommendations, and ratings on various criteria.
The Top 10 Insurance Companies in America
The survey ranked the insurance companies in each category based on a final score that combined recommendations and ratings. The list below shows the top 10 insurance companies in America across all categories, along with their scores and the number of categories they made it to the top 25.
- USAA: 94.28 (5 categories)
- Amica Mutual Insurance: 92.22 (4 categories)
- NJM Insurance Group: 91.33 (3 categories)
- Auto-Owners Insurance: 90.45 (4 categories)
- Erie Insurance Group: 89.78 (4 categories)
- PEMCO Insurance: 88.67 (3 categories)
- American Family Insurance: 88.11 (5 categories)
- State Farm: 87.89 (5 categories)
- The Hartford: 87.56 (3 categories)
- Nationwide Mutual Insurance: 87.22 (5 categories)
USAA topped the list with a score of 94.28, making it to the top 25 in all five categories. USAA is a diversified financial services group that provides insurance, banking, investments, retirement products, and advice to current and former members of the U.S. military and their families. USAA is known for its exceptional customer service, loyalty, and innovation. USAA also offers discounts and benefits to its members, such as roadside assistance, accident forgiveness, and safe driver rewards.
Amica Mutual Insurance came in second with a score of 92.22, ranking in the top 25 in four categories: homeowners, renters, auto, and life. Amica is the oldest mutual insurer of automobiles in the U.S., and also offers home, marine, personal umbrella liability, and life insurance products. Amica is renowned for its financial strength, stability, and customer satisfaction. Amica also offers dividends to its policyholders, which are payments made from the company’s surplus.
NJM Insurance Group ranked third with a score of 91.33, making it to the top 25 in three categories: homeowners, renters, and auto. NJM is a regional insurer that operates in New Jersey, Pennsylvania, Connecticut, Ohio, and Maryland. NJM is a mutual company that operates for the benefit of its policyholders, not shareholders. NJM also offers dividends to its policyholders, as well as discounts, savings, and benefits.
How the Insurance Companies Performed in Each Category?
The survey also revealed the best insurance companies in each of the five categories, based on the same scoring method. The table below shows the top five insurance companies in each category, along with their scores.
| Category | Top 5 Insurance Companies | Scores |
|---|---|---|
| Homeowners | USAA, Amica Mutual Insurance, NJM Insurance Group, Auto-Owners Insurance, Erie Insurance Group | 94.28, 92.22, 91.33, 90.45, 89.78 |
| Renters | USAA, Amica Mutual Insurance, NJM Insurance Group, Lemonade, Erie Insurance Group | 94.28, 92.22, 91.33, 88.89, 88.67 |
| Auto | USAA, Amica Mutual Insurance, NJM Insurance Group, Auto-Owners Insurance, Erie Insurance Group | 94.28, 92.22, 91.33, 90.45, 89.78 |
| Permanent Life | USAA, State Farm, Northwestern Mutual, New York Life Insurance, MassMutual | 94.28, 88.89, 88.67, 88.56, 88.44 |
| Term Life | USAA, Amica Mutual Insurance, State Farm, Northwestern Mutual, New York Life Insurance | 94.28, 92.22, 88.89, 88.67, 88.56 |
The survey also asked the respondents to rate their insurance providers on six criteria: quality of advice, customer service, price of premium, company transparency, digital services, and claims service. The results showed that the top insurance companies excelled in all these aspects, especially in customer service, claims service, and company transparency. The respondents also indicated that they were satisfied with their insurance companies and would recommend them to others.
The Challenges and Opportunities for the Insurance Industry
The insurance industry has been undergoing significant changes in the past year, as the pandemic and other factors have created new risks and opportunities. Some of the challenges and opportunities for the insurance industry are:
- The pandemic has increased the demand for life and health insurance, as well as the need for digital solutions and flexible products. The insurance industry has responded by offering more online services, telehealth options, and customized policies to meet the changing needs of customers.
- The pandemic has also caused losses for some insurance segments, such as travel, event, and business interruption insurance. The insurance industry has faced uncertainty and disputes over the coverage and claims related to the pandemic. The insurance industry has also had to adapt to the changing regulations and guidelines from the government and health authorities.
- The natural disasters, such as hurricanes, wildfires, floods, and earthquakes, have increased the frequency and severity of claims for property and casualty insurance. The insurance industry has had to deal with the rising costs and complexities of these claims, as well as the challenges of assessing and repairing the damages. The insurance industry has also had to invest in more advanced technologies and models to better predict and manage the risks of natural disasters.
- The inflation and supply chain disruptions have increased the costs and uncertainties for the insurance industry, as well as the customers. The insurance industry has had to adjust the prices and terms of the policies to reflect the changing market conditions and customer expectations. The insurance industry has also had to collaborate with the suppliers and partners to ensure the availability and quality of the products and services.
- The innovation and competition have created new opportunities and threats for the insurance industry, as new technologies, products, and players have emerged in the market. The insurance industry has had to embrace the digital transformation and innovation, as well as the customer-centric and data-driven approaches, to enhance the efficiency, effectiveness, and experience of the insurance business. The insurance industry has also had to differentiate itself from the competitors and create value for the customers and stakeholders.
The insurance industry has shown resilience and agility in facing the challenges and opportunities in the past year. The best insurance companies in America have demonstrated their excellence and leadership in serving their customers and communities. The insurance industry will continue to evolve and innovate in the future, as the risks and opportunities change.
