JD Power Study Finds Many Carriers Fail to Meet Agents’ Most Basic Informational and Communication Needs
A widening disconnect between independent agents and carriers is emerging as a critical fault line in the P&C marketplace, with many agents saying they lack the support and respect needed from insurers to serve their clients effectively. The findings come from the annual J.D. Power U.S. Independent Agent Satisfaction Study,SM released on October 1, 2025. Developed in conjunction with the Independent Insurance Agents & Brokers of America (IIABA), the study is now in its eight year and is based on approximately 6,893 evaluations from agents on insurers they placed business with between May and July 2025.
One in Four Agents Feels Undervalued by Carriers, Undermining Placements
According to the 2025 study, despite driving 61% of U.S. P&C policy placements, 56% of personal lines agents and 57% of commercial lines agents say their carriers are meeting their foundational needs. Even more concerning, a quarter of agents (25% personal lines; 22% commercial lines) believe carriers do not value them as partners, which directly impacts placement volumes.
“Independent insurance agents are working on the front lines of an extraordinarily challenging market environment right now, where rates are still at or near historic highs and large numbers of insureds are shopping around for new policies,” said Craig Martin, executive director, global insurance intelligence at J.D. Power. “To do their jobs well and continue to effectively match their clients with the right carrier, agents need to understand the carrier’s risk appetite and priorities to align the right customer with the right policy. Far too frequently, independent agents aren’t getting the critical information they need to be efficient and effective, which wastes time and resources of both agents and carriers.”
Other key findings of the study
Carriers Falling Short on Agent Needs
Independent agents say many carriers are still missing the mark on basic communication and support.
- Foundational support is lacking:
Only 56% of personal lines and 57% of commercial lines agents say their carriers clearly communicate risk appetite, outline client eligibility, and show flexibility on new business. - Few carriers stand out:
Just 29% of personal lines insurers and 24% of commercial lines insurers earn top marks as preferred partners among agents.
Feeling Undervalued Impacts Placements
When agents don’t feel valued, they shift business elsewhere.
- 1 in 4 personal lines agents and 22% of commercial lines agents say their carriers do not value them as partners.
- Agents who feel undervalued are four times more likely (personal lines) and seven times more likely (commercial lines) to write less business with those carriers compared to the previous year.
Ease of Doing Business Matters
- The study shows a direct link between ease of working with a carrier and agent satisfaction.
- Yet, 61% of independent agents say working with their carrier is not “very easy” overall.
- Satisfaction jumps 274 points in personal lines and 314 points in commercial lines when working with carriers rated “very easy” to do business with.
Carriers who receive the highest marks from agents
Erie Insurance ranks highest among insurers for personal lines for a second consecutive year, with a score of 754. Auto-Owners Insurance (749) ranks second and Cincinnati Insurance (717) ranks third. As for Massachusetts-based insurers, The Hanover ranked fourth with a score of 682 and Liberty Mutual seventh with 664 points. New England-based The Hartford, Travelers, and Homesite were also among the Personal Lines insurers with the highest ranked insurers.
Broader Implications for the P&C Marketplace
As rates remain at or near historic highs, in addition to elevated shopping activity among consumers, the findings show that carriers that are able to effectively communicate risk appetite and streamline ease of doing business may gain competitive advantage in the current marketplace
