Complaints to Insurance and Savings Ombudsman at 7 year high

Complaints to Insurance and Savings Ombudsman at 7 year high
By John Grant The Insurance and Savings Ombudsman has issued their annual report for the year ending 30 June 2009. During the last 12 months a total of 1974 enquires have been received by the ombudsman, this is the most for any one year since 2002. Enquires are received either by telephone or in writing. The majority (59%) related to Fire and General Insurance (home, contents, cars and travel but not commercial insurances). Of the 1974 complaints, 220 were accepted for investigation. Those not accepted were found, for a variety of reasons, to be outside of the jurisdiction of the Ombudsman. The main cause being complaints from parties other than the insured (the scheme requires the insured only to lodge complaints), or complaints that related to insurance companies that opted not to participate in the voluntary ombudsman scheme. The scheme is limited to house, contents, vehicle, travel, health, income protection, mortgage protection, critical illness, life insurance and superannuation and has a monetary limit of $200,000 or $1000 per week of cover for a disability benefit. Of the 220 complaints investigated 31% were found in favour of the insured person resulting in either a full or partial payment of a previously declined claim. The amount paid as the result of the overturned decisions amount to more than $745,000. The Ombudsman scheme has been operating since 1995 and has now reviewed nearly 4000 files. "”"”"”"” John Grant edits the insurance coverage on interest.co.nz

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