I read posts saying Allstate is doing the right thing because today’s customers ONLY care about a “low price.”
Customers only care about price to a point…and that point comes at the first claim moment of truth… You can be sure that they are not sticking around for poor claim service or low ball claim payments when they have a claim regardless of price…
Geico and Progressive have been able to combine low price AND decent claim service..
Allstate can only deliver one or the other…If that’s all that you have to offer is price, your retention will Always suffer….if your claim service is frustrating to the customer and underperforming.
Do not compare Geico and Progressive to the current Allstate…it is apples and oranges…
Geico and Progressive grow their book by delivering price and service.
Allstate “grows” by expensively paying to buy other smaller underperforming companies…
That is not a model for long term success.. Allstate will never fix what is broken because they will not hire competent leadership at the top of this corporation.
“Viva Geico and Progressive.”
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In Staff Counsel, our clients (the insured) are sent a survey after their file has been closed/lawsuit has been resolved (settlement, trial, dismissal, etc.). The survey asks them about our handling of their file, but often the client/insured conflates our work with Claims. I can't tell you how many surveys we've got back over the years that say something like we've had Allstate for 5, 10, 20, etc. years and we are canceling our policy due to the way their claim/file was handled. Not once has someone said they're canceling because of the price, it's always the service.