This story is reprinted with permission from FC&&S Legal, the industry's only comprehensive digital resource designed for insurance coverage law professionals. Visit the website to subscribe.
What most upsets consumers about their insurance companies? There may be different answers in different states, but now we know how consumers feel in one state in particular.
That is because the Missouri Department of Insurance recently released a summary of the complaints it received from consumers about their insurers or insurance policies.
|Agent investigations a top concern
Health insurance generated the most complaints in the first half of 2017 with 701 formal complaints, followed by agent investigations with 489. Missourians complained most about claim denials and claim delays.
The department's consumer complaint team also answered nearly 10,000 phone calls, handled 1,400 inquiries and assisted with 2,000 complaints in the first half of the year from consumers across the Show-Me State. The top categories of complaints were:
| Complaints by reason | Complaints by line of insurance |
| Denial of claim (404) | Health (701) |
| Delays (268) | Agent Investigations (489) |
| Coverage question (223) | Auto (353) |
| Unsatisfactory settlement/offer (167) | Life & Annuity (231) |
Missourians can use the consumer complaint index as a tool when choosing an insurer. The department recently released the index, which presents data on complaints against insurance companies received by the department between 2014 and 2016.
The index includes data for seven lines of business including private passenger automobile, life and annuity, accident and health, long-term care, Medicare supplement, HMOs, and homeowners, including farm, mobile home, personal fire, and allied lines.
Companies with a complaint index of 100% or more showed that the department received more complaints than the industry average for that company. Companies with a complaint index of less than 100% had fewer complaints filed against them than the industry average and companies with a complaint index of 100% were on par with the industry average.
Steven A. Meyerowitz, Esq., is the director of FC&S Legal, the editor-in-chief of the Insurance Coverage Law Report, and the founder and president of Meyerowitz Communications Inc. Email him at [email protected].
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