Independent agents feel undervalued by many carriers, study says

Independent insurance agents say they feel undervalued and underserved by many carriers, according to the newly released 2025 U.S. Independent Agent Satisfaction Study by J.D. Power, in partnership with the Independent Insurance Agents & Brokers of America (IIABA).

Despite writing more than 61 percent of all property-casualty policies, independent agents report that just a slim majority believe carriers are meeting their basic communication and informational needs.

Key Findings: Communication, value and retention risk

• Only 56 percent of personal lines agents and 57 percent of commercial lines agents say their carrier adequately meets foundational expectations such as signaling risk appetite, clarifying underwriting eligibility, and demonstrating flexibility in issuing new policies.
• Just 29 percent of personal lines insurers and 24 percent of commercial insurers earn top marks from agents as preferred partners—carriers that go beyond basic support.
• Alarmingly, 25 percent of personal agents and 22 percent of commercial agents feel their carrier does not value them as partners. Those personal agents who feel undervalued are four times more likely to reduce business with that carrier over the next year; among commercial agents, the multiple is seven times.
• Ease of doing business is a critical differentiator. In personal lines, agents rate satisfaction 274 points higher when they describe insurer interactions as “very easy” versus low ease; the difference jumps to 314 points for commercial lines. Over 60 percent of agents say it is not “very easy” to work with their carriers.

Top-ranked carriers

In the 2025 rankings:

• Erie Insurance leads both personal and commercial lines for agent satisfaction, scoring 754 in personal and 747 in commercial lines.
• In personal lines, Auto-Owners (749) and Cincinnati Insurance (717) placed second and third.
• In commercial lines, Cincinnati ranked second (742), followed by Auto-Owners (738).
• Because the 2025 survey was redesigned, its scores are not comparable with those from prior years.

Implications for advisors and carrier partnerships

For insurance and financial advisors, these findings offer several insights:

• Carrier selection matters — Agencies may gravitate toward insurers who offer clarity, responsiveness and ease of business. Advisors aligned with carriers that agents trust may gain a distribution advantage.
• Retention risk is real — Agents feeling undervalued are significantly more likely to scale back or sever relationships. Carriers that ignore agent perceptions risk losing distribution capacity.
• Operational efficiency is a differentiator — A smoother quoting, underwriting and servicing experience significantly boosts agent satisfaction. Investments in systems and communication yield tangible loyalty.
• Evaluate your own positioning — Advisors and agency principals should assess whether their carrier relationships align with agents’ expectations in an evolving market.

The 2025 study draws on 6,893 evaluations from agents covering both personal and commercial business, collected May–July 2025.

Correction: A previous version of this article inadvertently cited data from the previous year's (2024) study.

This report compiled by InsuranceNewsNet staff.