The comfort level with managing insurance claims digitally varies significantly across generational cohorts. Boomers and older generations are notably less comfortable using digital channels compared to their younger counterparts, such as Gen Z and Millennials. In fact, older cohorts are twice as likely to express discomfort with managing their claims entirely online. This disparity stems from a variety of factors, including the severity and complexity of the claim, which is often higher with older cohorts, familiarity with technology and trust in digital processes.
Source: J.D. Power 2025 U.S. Property Claims Satisfaction StudySM and J.D. Power 2025 U.S. Auto Claims Satisfaction StudySM
Conversely, younger generations are more inclined to embrace digital solutions for their insurance needs. They find the convenience of managing claims online appealing, especially for straightforward processes like filing an auto insurance claim. However, even among the younger cohorts, there is a noticeable drop in comfort when it comes to handling property claims digitally.
The Contrast Between Auto and Property Claims
When it comes to the type of insurance claim, preferences for digital management differ. Nearly half of the younger generations “completely agree” they are comfortable managing auto claims digitally. This is likely due to the relatively straightforward nature of auto claims and the widespread availability of digital tools that streamline the process.
In contrast, the comfort level drops to under 40% for property claims among younger cohorts. Property claims are typically less frequent and less straightforward—often involving more complex issues, unfamiliarity with coverages/deductibles and customers receiving payments—which increases the emotional stakes, leading customers to prefer a more personal touch. The need for human interaction for explanations and reassurance is more pronounced in property claims, where customers are dealing with significant losses or damages to their homes.
How Digital Tools Influence Claimant Satisfaction
Digital tools have a notable impact on overall satisfaction among claimants, but that impact is not always positive and depends on how and where the technology is integrated into the process. While younger cohorts tend to view these transactions more positively, older cohorts have mixed reviews. Proactive updates are the only area that consistently receives notably higher satisfaction across all age groups. When customers receive timely and relevant updates about their claims, their confidence in the process increases, leading to higher satisfaction levels.
Using digital tools for other steps in the claim, however, has more variability in satisfaction. When we look at the results of the 2025 U.S. Property Claims Satisfaction Study, Boomers and older generations are less satisfied with digital photo and video submissions compared to non-digital channels. Issues such as unclear instructions, the need for multiple submissions, and photos not being utilized for estimates contribute to their frustration. Additionally, for those with specific questions they need answered, digital channels prove to be more frustrating than speaking with someone as more complex issues can be easier to resolve via the phone.
In contrast, digital First Notice of Loss (FNOL) slightly outperforms non-digital channels for both age groups, indicating investments in technology to streamline the reporting process have paid off. It is worth noting that claims reported through digital channels tend to have lower severity and are resolved quicker.
Source: J.D. Power 2025 U.S. Property Claims Satisfaction StudySM
1Impact is defined as difference in Overall Satisfaction when digital channels are used versus non-digital channels or task not done at all (e.g., photos/videos submitted vs. not submitted, digital updates received vs. non-digital or no updates at all).
Addressing Common Frustrations with Digital Claims
To enhance the digital claims experience, it is crucial to set clear expectations, offer tools to the right people at the right time, execute effectively, and continuously monitor and address common frustrations that customers face, such as the lack of clear instructions for digital photo submissions and managing expectations for how the photos will be used in the process. Ensuring that customers understand the requirements and process can reduce the need for multiple submissions, reduce the need to also have an in-person inspection and improve satisfaction.
Another area for improvement is the handling of customer inquiries through digital channels. Currently, 74% of those asking questions digitally use more than one contact method, compared to 47% of those using non-digital channels. Those using multiple channels often cite not receiving timely follow-up, indicating a need for better expectation setting and responsiveness in digital customer service.
Understanding generational preferences and addressing common frustrations are key to improving satisfaction with digital claims management. By leveraging digital tools effectively and providing clear, proactive communication, insurance companies can cater to the diverse needs of their customers and enhance their overall claims experience.
About the Author: Mark Garrett is a Director for the Insurance Intelligence Practice at J.D. Power. His primary focus is on Auto and Property claims, including the digital experience. He works with many of the top 30 insurance carriers consulting on study findings and advising on opportunities to improve the customer experience.
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