Renters coverage has also not managed to satisfy the expectations of this important demographic.
The Millennial generation, which currently makes up the largest demographic in terms of homebuyers and renters throughout the United States, have a greater likelihood of being critical of the experiences that they’ve had with regards to their renters and homeowners insurance.
The 2014 U.S. Household Insurance StudySM from J.D. Power identified a number of generational trends.
The renters and study looked into the overall satisfaction levels of consumers with regards to three separate personal coverage product lines. Those lines were: homeowners insurance, renters policies, and individual life coverage. When it came to the property and contents policies, there were five different factors that were taken into consideration within this study: price, claims, billing and payments, policy offerings, and interaction.
Those within the Millennial generation were the least satisfied in their homeowners insurance experiences.
The definition of the Millennial generation differs from one source to the next and there are no set years that universally define the group. Typically speaking, it refers to individuals who were born in the range from the early 1980s to the mid 1990s. Among customers within that age group, satisfaction with home insurance companies averaged at 755 points (out of a total possible 1,000). At the same time, satisfaction within that group with renters insurance providers reached an average of 784.
Comparatively, within the Pre-Boomer generation (that is, the people who were born before 1946) there is the highest amount of satisfaction with homeowners insurers, at an average of 846 points. In the renters insurance category, it was the Baby Boomers (typically those with birth dates between 1946 and 1964) who were the most satisfied, with an average score of 829.
This dissatisfaction among the Millennial generation in terms of their homeowners insurance experiences is notable, particularly as they are not the least satisfied group among every type of coverage. For example, in the individual life coverage market, this generation represents the largest proportion of first time purchasers of policies and their service expectations are notably different from those of the other generations.