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J.D. Power Reports:

Improved Interactions Drive Gen Y Increase in Auto Insurance Satisfaction Auto-Owners Insurance and State Farm Each Rank Highest in Two of 11 Regions WESTLAKE VILLAGE, Calif.: 19 June 2015 —Gen Y1 customers are the driving force behind an increase in overall auto insurance satisfaction due to improvement across all customer service interaction channels, the largest contributor to the customer experience, according to the J.D. Power 2015 U.S. Auto Insurance StudySM released today. The study examines customer satisfaction in five factors: interaction; price; policy offerings; billing and payment; and claims. Satisfaction is measured on a 1,000-point scale. Overall customer satisfaction with their auto insurer has reached an all-time high of 818, an improvement of 8 index points from 2014. Satisfaction among Gen Y customers has increased the most, compared with the other generations—Gen Y: +21 points; Gen X: +6; Boomers +4; and Pre-Boomers: -3. The interaction factor has the greatest impact on overall customer satisfaction and is also the largest contributor to the year-over-year improvement. Overall interaction satisfaction among Gen Y customers (827) is up by a significant 20 points from 2014. Customer interaction preferences are changing. Gen Y’s preference to interact exclusively through digital self-service (Web or mobile) has increased to 27 percent in 2015 from 21 percent in 2011. A similar pattern of preference is found in other generational groups (Gen X: 23% vs. 19% in 2011; Boomers: 12% vs. 10%; and Pre-Boomers: 6% vs. 4%). Among the interaction channels, satisfaction with the website experience receives the lowest average score, most notably among Gen Y customers (816, compared with 826 for Gen X, 841 for Boomers and 861 for Pre-Boomers). “While customers across all generations are able to use online self-service for basic tasks such as making a payment and gathering information about their account, they should also be able to resolve more complex issues online,” said Valerie Monet, director of the insurance practice at J.D. Power. “It is critical for insurers to resolve customers’ service needs entirely on the website. This can drive increased use of the website and can minimize servicing costs, as unresolved issues frequently require a contact to call centers or agents, freeing their time to cultivate new business.” According to Monet, some activities are better performed through personal interactions. One-fourth (25%) of Gen Y customers indicate they would rather talk to someone in person or over the phone to discuss price changes, and 23 percent indicate they prefer in person or over the phone rather than the website channel when they have questions about their policy coverage. Insurers should

1 J.D. Power defines generational groups as Pre-Boomers (born before 1946); Boomers (1946-1964); Gen X (1965-1976);

Gen Y (1977-1994); and Gen Z (1995-2004).

focus their in-person resources on high-touch customer calls in which the agent’s expertise is highly valued.

KEY FINDINGS

The incidence of resolving issues entirely via the website has increased for Gen Y to 81

percent (up by 2 percentage points from 2014), with similar rates across generational groups—Gen X 82%; Boomers 81%; and Pre-Boomers 80%. Website satisfaction is 123 points lower among customers who do not resolve their issue completely via the website than among those who do (736 vs. 859, respectively).

Nearly three-fourths (73%) of Gen Y customers indicate having online access to policy information (+2 percentage points from 2014), compared with 62 percent across the other three generations. The level of awareness of online access to policy information among Gen Y customers (73%) is greater than among customers in the other generational groups (Gen X 68%; Boomers 62%; and Pre-Boomers 54%).

Nearly nine in 10 (87%) customers overall indicate receiving communications from their insurer via their preferred method—up 2 percentage points from 2014—compared with 81 percent among Gen Y customers, which is an increase of 5 percentage points.

Across all generational groups, 49 percent of customers say they “definitely will” recommend their current insurer (the same as in 2014) and 50 percent say they “definitely will” renew their policy (down 1 percentage point from 51% in 2014).

Regional Overview Satisfaction varies regionally from a high of 832 in the Texas region to a low of 801 in the New England region. Eight of the 11 study regions post significant increases in overall customer satisfaction year over year, with the greatest improvements in the Florida (+24 points) and Mid-Atlantic (+16) regions. California: Wawanesa (844) ranks highest in the California region. The Hartford ranks second at 840 and Auto Club of Southern California Insurance Group ranks third at 839. Central: Auto-Owners Insurance (850) ranks highest in the Central region, followed by Shelter Insurance (846) and State Farm (830). Florida: GEICO (836) ranks highest in the Florida region. Progressive (835) and Allstate (832) follow GEICO in the rankings. Mid-Atlantic: Erie Insurance (850) ranks highest in the Mid-Atlantic region. The Hartford (835) ranks second and State Farm ranks third (826). New England: Amica Mutual (866) ranks highest in the New England region. State Farm (815) ranks second and Allstate (808) third. New York: State Farm ranks highest in the New York region (831). GEICO (828) ranks second and Travelers (818) ranks third. North Central: Auto-Owners Insurance (834) ranks highest in the North Central region. Nationwide (828) ranks second and COUNTRY Financial and Indiana Farm Bureau (822 each) tie for third.

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Northwest: PEMCO Insurance (837) ranks highest in the Northwest region, followed by State Farm (830) and Farmers (828). Southeast: Tennessee Farm Bureau (859) ranks highest in the Southeast region. Alfa Insurance (831) ranks second and Allstate (830) third. Southwest: The Hartford and State Farm rank highest in the Southwest region in a tie (830 each). Liberty Mutual (826) ranks third. Texas: Texas Farm Bureau Insurance (859) ranks highest in the Texas region. No other insurance company performs above the Texas region average (832).

New Jersey Manufacturers Insurance Company (NJM) and USAA also achieve high levels of customer satisfaction in the study, although they are not included in the rankings due to the closed nature of their respective memberships. The 2015 U.S. Auto Insurance Study is based on responses from 46,256 auto insurance customers. The survey data was collected in March and April 2015. Media Relations Contacts Jeff Perlman; Brandware Public Relations; Woodland Hills, Calif.; 818-317-3070; jperlman@brandwarepr.com John Tews; J.D. Power; Troy, Mich.; 248-680-6218; media.relations@jdpa.com About J.D. Power and Advertising/Promotional Rules www.jdpower.com/about-us/press-release-info About McGraw Hill Financial www.mhfi.com

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(Page 3 of 3) Note: Eleven charts follow.

Year / Project / Study Name

844

840

839

831

828

817

812

803

803

796

794

793

787

786

785

782

781

768

715

901

200 400 600 800 1000

Wawanesa

The Hartford

Auto Club of Southern California Insurance Group

Ameriprise

State Farm

Esurance

GEICO

Progressive

California Regional Average

Allstate

CSAA Insurance Group

Farmers

Safeco Insurance

Nationwide

Liberty Mutual

21st Century

Mercury

Travelers

Infinity P&C

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingCalifornia Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size are Kemper, MAPFRE-Commerce Insurance, and National General.

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Year / Project / Study Name

850

846

830

822

820

819

819

818

818

818

814

807

799

798

789

788

890

200 400 600 800 1000

Auto-Owners Insurance

Shelter Insurance

State Farm

American Family

Central Regional Average

Allstate

Farmers

GEICO

The Hartford

Safeco Insurance

Auto Club of Southern California Insurance Group

Progressive

Farm Bureau Mutual

Liberty Mutual

Nationwide

Travelers

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingCentral Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size is Automobile Club Group.

Year / Project / Study Name

836

835

832

829

829

816

814

803

801

797

794

792

791

788

902

200 400 600 800 1000

GEICO

Progressive

Allstate

MetLife

Florida Regional Average

State Farm

Liberty Mutual

Nationwide

The Hartford

21st Century

Auto-Owners Insurance

Travelers

Esurance

Safeco Insurance

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingFlorida Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size are Amica Mutual, Direct General, Farmers, Infinity P&C, and Mercury.

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Year / Project / Study Name

850

835

826

822

821

819

814

811

802

801

801

781

906

864

200 400 600 800 1000

Erie Insurance

The Hartford

State Farm

Mid-Atlantic Regional Average

GEICO

Allstate

Travelers

Progressive

Nationwide

Liberty Mutual

Plymouth Rock Assurance

21st Century

*USAA

**NJM Insurance Co.

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingMid-Atlantic Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. **NJM Insurance Co. is an insurance provider open only to New Jersey Business & Industry Association members, State of New Jersey employees, NJM's previously insured drivers, and/or previous/current auto/homeowner policyholders, and therefore is not included in the rankings. Included in the study but not ranked due to sample size are Amica Mutual, Esurance, and MetLife.

Year / Project / Study Name

866

815

808

801

801

799

796

793

791

791

791

786

778

777

775

774

894

200 400 600 800 1000

Amica Mutual

State Farm

Allstate

Liberty Mutual

New England Regional Average

GEICO

Progressive

The Hartford

MetLife

Safety Insurance

Travelers

Safeco Insurance

Nationwide

Plymouth Rock Assurance

Arbella

MAPFRE-Commerce Insurance

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingNew England Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size is The Hanover.

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Year / Project / Study Name

831

828

818

813

806

805

802

799

792

787

783

911

200 400 600 800 1000

State Farm

GEICO

Travelers

New York Regional Average

Nationwide

Allstate

New York Central Mutual

MetLife

Liberty Mutual

Progressive

The Hartford

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingNew York Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size are Amica Mutual, Erie Insurance, and Kemper.

Year / Project / Study Name

834

828

822

822

821

819

816

815

813

812

812

808

806

806

804

800

796

794

785

776

898

200 400 600 800 1000

Auto-Owners Insurance

Nationwide

COUNTRY Financial

Indiana Farm Bureau

The Hartford

American Family

State Farm

Erie Insurance

Progressive

Farmers

GEICO

North Central Regional Average

Allstate

Grange Insurance

Liberty Mutual

MetLife

Michigan Farm Bureau

Automobile Club Group

The Hanover

Safeco Insurance

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingNorth Central Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size is Esurance.

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Year / Project / Study Name

837

830

828

822

820

817

805

798

798

794

781

758

902

200 400 600 800 1000

PEMCO Insurance

State Farm

Farmers

GEICO

The Hartford

Northwest Regional Average

American Family

Allstate

Safeco Insurance

Progressive

Nationwide

Liberty Mutual

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingNorthwest Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size are COUNTRY Financial, Kemper, and Mutual of Enumclaw.

Year / Project / Study Name

859

831

830

829

826

825

825

824

822

816

814

808

800

791

919

200 400 600 800 1000

Tennesssee Farm Bureau

Alfa Insurance

Allstate

Progressive

North Carolina Farm Bureau

Kentucky Farm Bureau

Southeast Regional Average

State Farm

Auto-Owners Insurance

GEICO

Nationwide

Travelers

Liberty Mutual

Safeco Insurance

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingSoutheast Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size are COUNTRY Financial, Erie Insurance, Esurance, Farmers, Grange Insurance, The Hartford, Kemper, MetLife, National General, and Shelter.

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Year / Project / Study Name

830

830

826

824

824

824

814

812

803

797

797

914

200 400 600 800 1000

The Hartford

State Farm

Liberty Mutual

American Family

GEICO

Southwest Regional Average

Progressive

CSAA Insurance Group

Allstate

Farmers

Safeco Insurance

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingSouthwest Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size are Auto-Owners Insurance, Farm Bureau Mutual, and Nationwide.

Year / Project / Study Name

859

832

827

825

822

811

805

797

792

892

200 400 600 800 1000

Texas Farm Bureau Insurance

Texas Regional Average

State Farm

Progressive

GEICO

Farmers

Allstate

Nationwide

Liberty Mutual

*USAA

J.D. Power2015 U.S. Auto Insurance StudySM

Overall Customer Satisfaction Index RankingTexas Region

(Based on a 1,000-point scale)

JDPower.comPower Circle RatingsTM

for consumers:

Among the bestBetter than mostAbout averageThe rest

Power Circle Ratings Legend

Source: J.D. Power 2015 U.S. Auto Insurance StudySM

Charts and graphs extracted from this press release for use by the media must be accompanied by a statement identifying J.D. Power as the publisher and the study from which it originated as the source. Rankings are based on numerical scores, and not necessarily on statistical significance. No advertising or other promotional use can be made of the information in th is release or J.D. Power survey results without the express prior written consent of J.D. Power.

Note: *USAA is an insurance provider open only to U.S. military personnel and their families, and therefore is not included in the rankings. Included in the study but not ranked due to sample size are Amica Mutual, Auto Club of Southern California Insurance Group, Kemper, and Safeco Insurance.