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Low settlements top insurance complaint in 2008

Posted by David Haviland on March 10, 2009 at 6:50 am (535 social interactions)

OLYMPIA, Wash. – The top three reasons consumers filed formal complaints against their insurance companies in 2008 were unsatisfactory settlement offers, claims denials, and delays, according to Insurance Commissioner Mike Kreidler. And auto insurance was the most frequent topic of dissatisfaction.

“People frequently disagree with their insurers about what their car is worth, particularly if it is totaled in an accident,” said Kreidler. “If they can’t reach an agreement, we’ll step in to make sure the consumer is treated fairly.”


This News is a service of:
The Daily World        Star Electric


The Insurance Commissioner’s Office received 5,341 formal complaints last year. Below is a breakout of the top three by reason and by type of coverage.

Top reasons for complaints in 2008

Reason

Total #

Percentage

Unsatisfactory settlement/offer

1310

24.5

Denial of claim

1272

23.8

Delays

1182

22.1

 

Top complaints by type of coverage in 2008

Type of coverage

Total #

Percentage

Auto

2250

42.1

Accident and health

1608

30.1

Homeowners

700

13.1

 

People who are having problems with their insurance can call the Insurance Consumer Hotline at 1-800-562-6900 for help. They also can file complaints online at www.insurance.wa.gov.

“Consumer protection is my top priority,” said Kreidler. “Whether you need us to investigate a complaint, act as a mediator, explain your rights or just answer a question, my office is here to help.” 

The office investigates consumer problems regarding canceled coverage or with claims that have been denied or delayed. 

"We also are an excellent resource for information on health insurance options," Kreidler added.

The Insurance Commissioner’s Office recovered more than $10.5 million for consumers in 2008.

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