State Auto Opinions

[Smalltownagent]

Looking for opinions on State Auto as a company. Maybe more specifically their southern operations.

We picked up State Auto a few years ago. We have had NOTHING but problems from them from the very point we were appointed. You name it, we've had issues with it. Underwriting, processing errors, marketing support, absolutely incredible rate increases (I have multiple clients with an avg of 20% rate increase each year for the past 3 years, and especially horrid claims service.

I've written letters that I was told went all the way up the chain of command to Columbus (but nothing ever came from it). I've complained to various claims managers to no avail. I've had multiple issues of claims being assigned and no one EVER calls our insured. I can understand how this might happen once in a while, but we have a claim problem with them probably once a quarter (which is way too much for an agency our size). We've had claims assigned to handlers who no longer even work at State Auto and don't have a phone number (all we had was a fax).

I'm really at my wits end with them, and I'm just wondering if anyone else out there has any issue with them. I had a VIP client turn in a claim last Thursday and still has not heard from a single person and I've called practically everyone I know and all I get are voicemails and no return calls. I probably would've rolled by book already if it weren't for the commercial lines (they do have a good commercial department and product). Not too many other agents in my area have them, so I don't have a lot of others to inquire.

[kylander]

The experience you describe is certainly not the type of service we strive to offer our policyholders or independent agency partners. I'd like to know more. Could you email details to me at kyle.anderson@stateauto.com?

I look forward to hearing from you.

Kyle Anderson
AVP/Director of Corporate Communication
State Auto Insurance Companies

[lonestar]

I have had claims problems as well. They are the slowest in claims response / followup and communication with my clients. I cringe the most whenever I find out that one of my client is filing a claim with them. I am located in Texas, FYI.

[insgal_2005]

My assessment is that State Auto is in a time of transition as they transition a Personal Lines heavy, Midwest dominant, book into a more diversified Commercial/Personal and national presence.

I am in Pennsylvania, and in the response to Hurricane Sandy, Travelers and State Auto by far did the best job.

[Smalltownagent]

lonestar, I'm right there with you in Texas. Same problems, same story I've heard from other agents. I do think it probably has something to do with transition to the southern market. We picked them up when they first came to Texas and they bought a lot of premium, which then came back with double digit increases every year consecutively since 2008.

I'm glad to hear they were responsive during Hurricane Sandy.

By all means, I"m not saying that every claim is like this. I have had a few customers that praised their claim handling, however, as far as complaints go...they are #1.

Another example. I picked up new business (home and auto), upper middle class clients about 18 months ago. They turned in a hail claim, and adjuster was out fairly quickly. He totaled the roof, wrote up the estimate, and our insureds started working on getting a roofer. Everybody was happy. They then discovered he forgot about their boathouse (didn't look at it, honest mistake). So they called him to have him come back out. His voicemail said he was no longer with the company and to contact someone else. They did, and they wound up sending another adjuster out who disagreed with the prior adjuster and paid for a few ridge vents. Unhappy customers. I have several insureds in this gated community, and word spread quickly (of course as State Farm, Germania and other companies were putting new roofs on next door). I can understand how one adjuster might see things differently than another, but this was their first experience with State Auto (who is very unknown in our state at this point), and the claim was handled unprofessionally.

[Gerald Ladner]

I’ve read these posts with interest and would invite all contributors to contact me or my regional claims manager directly to discuss and address your concerns. State Auto has rigid service standards as well as a practice of delivering fast, friendly and fair claims service.
With respects to the adjudication of H.O roofing claims, we have significantly expanded our claims presence in Texas by opening up our new Austin based claims facility. In doing so, we have significantly reduced our reliance upon Independent Adjusters. The challenge that every H.O. market faces is in managing expectations on when a roof should be replaced versus repaired. As we all know, not every consumer plans for or funds for the replacement of an aging roof. A hail claim must be evaluated on its merits and does not mean automatic roof replacement. That being said, we invite any State Auto Agent with a service issue or concern to contact us directly. Hope to hear from you.

Gerald Ladner
Regional President
State Auto Insurance Companies http://www.stateauto.com
5918 West Courtyard Dr.
Suite 100, Austin, TX 78730
Phone: 512.651.3944 Cell: 614.273.5547
Fax: 614.887.1782

Meridie Burger, AIC
Claims Regional Manager
State Auto Insurance Companies http://www.stateauto.com
1300 Woodland Ave, West Des Moines, IA 50265
Phone: 515.267.7462 Fax: 317.931.6198

[lonestar]

Mr. Ladner, thank you for taking the time to post here. Hopefully, the issues with claims we have seen in Texas are the result of State Auto's growing pains.

[JohnnyLaw]

Lonestar and Small town agent, I am also in Texas. Recently placed some commercial business with SA, thank you for the heads up. Have not had any claims with them as yet as just started working together.

[Smalltownagent]

I agree, thanks for reply Mr. Lander and Mr. Anderson. I do hope that these issues are ironed out and just a result of the move to Texas.

Johnny, I don't particularly anticipate you will have any problems. We've had great luck with State Auto Commercial so far.

[JohnnyLaw]

Thanks Small Town, I have called with billing and EFT issues and the customer service reps were excellent to work with.