Decline in satisfaction is mainly in the area of interaction with customers at branch offices as well as independent agents
New India Assurance ranks the highest in customer satisfaction with auto insurance providers in India, according to a survey by a global marketing information services company. Overall, however, the survey found that customer satisfaction with auto insurance providers has declined in the past one year.
In the survey conducted by JD Power Asia Pacific, New India Assurance topped the list with a score of 804, performing particularly well on the renewal/purchase process factor. Following New India Assurance closely in the rankings was Oriental Insurance, which notched a score of 802, doing well in the billing and payment process as well as renewal/ purchase process factors. New India Assurance and Oriental Insurance are both public insurers. ICICI Lombard, a private insurer, was number three with a score of 801.
Overall, there is a decline in customer satisfaction with auto insurance providers, with the greatest decline observed in the area of interaction with customers. More customers are dissatisfied now with branch office interactions, as also interactions with independent agents and brokers.
Customer satisfaction with auto insurance providers has an impact on customer intent to renew their current policies, and to purchase policies from the same provider for their next vehicle.
"The service channels of insurers are adapting to the growth in the India auto insurance market," said Mohit Arora, executive director, JD Power Asia Pacific, Singapore. "One of the changes observed during the past few years is an increase in the number of branch offices, as well as their visibility. Therefore, it becomes particularly important for insurers to ensure better customer management at branch offices, especially in terms of understanding needs and requirements, providing clear explanations of policy coverage, and courtesy and friendliness."
The 2011 India Auto Insurance Customer Satisfaction Index Study is based on responses from 5,284 auto insurance customers who renewed or purchased an auto insurance policy between January 2010 and April 2011 and had between 2.5 and 3.5 years of vehicle ownership experience. The study includes 15 auto insurance companies (11 private and four public providers) and was undertaken between January and April 2011in 20 cities across India.
The study examined auto insurance policyholder experiences with their primary insurer. Customer satisfaction is measured across six factors: interaction; claims; product/policy offerings; renewal/purchase process; billing and payment process; and premium/price for coverage offered.
The study also found a wide variation between regions in the proportion of customers who file claims. Approximately one-fourth of customers in the southern and eastern regions filed a claim with their auto insurer in 2011, compared with less than 15% of customers in the northern and western regions.
The claims satisfaction is highest among customers in the northern region, with the satisfaction averaging 781, compared with approximately 750 in the remaining regions. Some factors contributing to higher claims satisfaction in the north region include relatively better implementation of key communication-related practices, such as providing explanations of the claims settlement process and giving information on claim settlement timelines.
"Auto insurance satisfaction has a profound impact on repurchase intent," explained Mr Arora. "The auto insurance market presents a huge potential in terms of customer base and revenues. Therefore, it is imperative that providers focus on elevating their quality of service and enhancing the customer experience."
Justice Saumitra Pal of the Calcutta High Court directed the state government to state its opposition by an affidavit to the petition of Tata Motors and also asked the company to file a reply to that by 12th July
Kolkata: The Calcutta High Court today directed the West Bengal government to file an affidavit in connection with Tata Motors' petition challenging the Singur Rehabilitation and Development Act, 2011 by 8th July, reports PTI.
Justice Saumitra Pal directed the government to state its opposition by an affidavit to the petition of Tata Motors and also asked the company to file a reply to that by 12th July.
Hearing on the main petition challenging the Singur Act will be held on 14th July, justice Pal said.
The Supreme Court yesterday directed the state government not to proceed with handover or return of land to farmers in Singur until further orders by the Calcutta High Court which is hearing the petition filed by Tata Motors against the Act that was enacted on 21st June.
A vacation bench of the Supreme Court, comprising justices P Sathasivam an AK Patnaik, said they were passing a 'limited interim order' and that the main matter against the state government on the issue of possession and distribution of land to original owners was pending before the Calcutta High Court.
Import prices of palmolein-a key ingredient in many FMCG products-have gone down to Rs54,400 per tonne as on 24th June from Rs57,500 per tonne on 11th May. However, the companies are not in favour of passing the benefit to the customers as they have to offset hits taken when the commodity prices were high
New Delhi: Fast moving consumer goods (FMCG) firms are set to gain from decline in palm oil and other commodity prices, but most of them ruled out cutting prices of their products, reports PTI.
According to a report by IIFL Institutional Equities, personal-care companies-including Emami, Godrej Consumer and Marico-are likely to benefit the most, while Hindustan Unilever (HUL), despite gaining temporarily, is unlikely to sustain it due to competitive intensity.
As per data from the Solvent Extractors Association of India (SEA), import prices of palmolein-a key ingredient in many FMCG products-have gone down to Rs54,400 per tonne as on 24th June from Rs57,500 per tonne on 11 May 2011.
The companies, however, said there is no scope on of passing the benefit to the customers as they have to offset hits taken when the commodity prices were high.
"Price cuts are not at all likely as we had not taken up prices in line with the highest raw material prices," Godrej Consumer Products chairman Adi Godrej said told PTI.
Similarly Dabur, which sells personal care products and hair oils, said it will not reduce the price of its products as the usage of palm oil in their products is limited.
"Though there has been change in the commodity prices, it has not gone down in a comfortable level. Palm oil prices have decreased but it needs to be seen if it brings about change in the vegetable oil prices," Dabur India head procurement Sumit Mukherjee said.
Yet, Kolkata-based Emami has already decreased the prices of its edible oil brand 'Healthy and Tasty' by up to 10%.
"We have made some corrections of our edible oil prices.
Going forward, we would look at making more price changes.
However, this will also depend on the market scenario as well," Emami director Aditya Agarwal said.
According to IIFL Institutional Equities report, the beneficiaries of the commodity price change would be home and personal-care companies, including Emami, Godrej Consumer and Marico.
"If there is a sustained reduction, the key beneficiaries would be home and personal-care companies that have high pricing power and would not need to undertake price cuts," the report said.
Emami, Marico, Colgate and Godrej Consumer, with relatively higher pricing power, would be able to sustain their margin gains if commodity prices remain low, it added.
The report, however, said HUL would gain only in the near-term but benefit was unlikely to sustain due to competitive intensity.
"In the soap and detergent category competition would intensify from aggressive such as P&G and ITC and unorganised players that typically halt operations in a scenario of higher commodity prices," the report said.