Injured? Free Advice (800) 777-0028

Have complaints about Citizens car insurance? You’re in good company.

Why Citizens made me say “meh” in our 2015 Attorneys Guide to the Best Car Insurance Companies

Citizens insurance complaints

First, there are some relatively positive things I can say about Citizens Insurance Company of America. But as with many auto insurance companies, Citizens has its share of negatives in the way it treats customers – like paying out the third-smallest percentage of premiums on claims to people who were seriously hurt in car accidents. As an insurance lawyer, that’s always one of the key things I look at to see if the insurance company is spending its money on television commercials or on its customers.

Get Ebook Now

Our full guide includes more information on each insurer and tips on how to choose the insurance company that’s right for you and your family. You can order a hard copy of the guide or download it for your Smartphone.

Citizens was added to a special section in our attorneys’ guide to the best and worst insurance companies called, “For your consideration.” It’s not the best. It’s not the worst. It’s somewhere in the middle. Read below, so you can be the judge on whether Citizens insurance is worthy of your premium dollars.

First, the good news about Citizens Insurance Company

  • Complaints from Michigan consumers about Citizens Insurance Company of America have decreased. Consumer complaints against Citizens Insurance Company of America decreased 85% between 2007 and 2013, according to data gathered by the Michigan Department of Insurance and Financial Services (DIFS).
  • Citizens insurance prices are among the least expensive in Michigan. When compared with Michigan’s other largest auto insurers, Citizens Insurance Company of the Midwest’s auto insurance prices were among the least expensive in each of the 16 major Michigan markets examined. In fact, Citizens Insurance Company of the Midwest’s auto insurance prices were the least expensive in 11 of the 16 major Michigan markets examined, the second-least expensive in four of the markets, and the third-least expensive in one market. In contrast, Citizens Insurance Company of America’s auto insurance prices were among the most expensive in seven of the 16 major Michigan markets examined.
  • Citizens received a “Better than most” rating in the J.D. Power 2014 U.S. Insurance Shopping Study. Citizens received a “Better than most”-rating in the J.D. Power 2014 U.S. Insurance Shopping (Auto Insurance Purchase Experience) Study, which ranks auto insurers based on “overall customer [or “new-buyer”] satisfaction with the auto insurance purchase experience …” “Better than most” is the second highest J.D. Power rating.

The not-so-good on Citizens Insurance Company

  • Consumer complaints against Citizens Insurance Company of the Midwest increased 383% between 2007 and 2013, according to data gathered by the Michigan Department of Insurance and Financial Services (DIFS).
  • Citizens pays the third-smallest percentage of premiums on claims. Among Michigan’s largest auto insurers, Citizens Insurance Company of America paid the third-smallest percentage of its premium dollars in claims for its auto-insurance customers, according to loss ratio data gathered by the Michigan Department of Insurance and Financial Services (DIFS). For instance, for every premium dollar Citizens receives from Michigan drivers, it pays out approximately $.56 in auto accident claims submitted by its auto-insurance customers. *Data was not available for Citizens Insurance Company of the Midwest.
  • Citizens received a below-average rating in the J.D. Power 2014 U.S. Auto Insurance Study. The study ranks auto insurers based on “overall customer satisfaction with auto insurance companies …” Citizens’s below-average performance was marked by its “The rest” rating, which is J.D. Power’s lowest rating. “Among the best” is the highest J.D. Power rating. “Better than most” is the second-highest. “About average” is third. And the lowest is the below-average rating of “The rest.” Citizens also received below-average ratings from 2010 through 2013.
  • Citizens received the second-lowest ConsumerReports.org rating among Michigan’s largest auto insurers. Among Michigan’s largest auto insurers, Citizens (through its parent company, Hanover) earned second-lowest rating in ConsumerReports.org’s 2014 “Car Insurance Ratings,” which measures ConsumerReports.org’s readers’ “overall satisfaction” with auto insurance companies. On a scale of zero to 100, Citizens scored an 80, which means consumers were between “completely satisfied” and “very satisfied.” In 2013, Citizens (through its parent company, Hanover) scored an 87 on ConsumerReports.org’s 2013 auto insurer ratings, which measured ConsumerReports.org’s “subscribers’ overall satisfaction with how their claims were handled.”

As always, our attorneys would like to hear from you. If you have Citizens insurance, how are you treated and do you have any complaints about how your claims were handled?

Related info:

Farm Bureau, Auto Club & Citizens receive bad ratings

This entry was tagged Tags:
Community Guidelines
comments powered by Disqus
Blog Author Steven M. Gursten
Read Our Reviews
Free Consultation