The ombudsman for long-term insurance said on Tuesday that 9 236 complaints were received in 2010, an increase of 2% from the previous year.
The ombudsman for long-term insurance has revealed that over 9000 complaints were received in 2010, up 2% from the previous year. In total, 9236 complaints were submitted.
Ombudsman Brian Galgut said that this was a new record.
"A general increase in all categories of complaints was experienced," Galgut said at the release of the office's annual report.
"We directed 2 204 complaints to insurers to deal with, as the complainant had not given the insurers concerned sufficient opportunity to deal with them in accordance with the insurers' complaints processes."
These complaints were sent as "mini" cases, or as transfers to internal arbitrators.
In all 4 115 complaints translated into full cases requiring full investigation by the office.
"Most of the complaints received by our office, 66%, are sent by fax.
"The greatest number of our complainants, 28%, live in Gauteng, with KwaZulu-Natal second at 21%," Galgut said.
He said fewer cases were closed last year than in 2009, but the 2009 figures were inflated because 500 were carried over from previous years.
Galgut said that cases about funeral policies continued to increase and this type of policy constituted 36% of cases finalised by his office.
"Our turnaround times were comparable to 2009, and 79% of cases were closed within six months. We recovered R103 484 956 for complainants in the form of lump sum amounts. This does not include other forms of relief such as income benefits or resolutions not sounding in money, for example, reinstatements."
He added that, in one case, about R21m had been recovered - the largest amount in a single complaint by his office to date.
Complaints to insurance ombudsman increased
Recent Articles
Featured Does your business have cyber insurance? Here’s why it should
Imagine your business falls victim to a data breach today. All your clients, who trusted you with their personal information, are now at risk. This is a horrible reality that many businesses have to face nowadays. But did you know that you can get insurance to protect you from this?
Should you strive for an excellent credit score?
We often hear from financial experts that we should improve our credit score because it puts us in good stead with the credit providers – and it really does. When you have a good credit score, you’ll be in a favourable position to borrow, and, you stand a good chance of paying lower interest rates.
What are the benefits of living in a “Zoom Town”?
With many careers moving online, work-from-home employees have realised they can live in smaller suburbs or towns at a lower cost and enjoy the benefits of a slower lifestyle, while keeping their jobs.
You can’t cash cheques anymore in South Africa – we find out why
In November 2020, the South African Reserve Bank (SARB) announced that cheques would be discontinued from 1 January 2021. But what guided this decision? We have a look at what the pitfalls have been of using cheques, and the consequences of removing them from the payment system.
Deals
Davinci Hotel Valentine’s High Tea Special
Price: From R355 per person
When: 14 February 2021
Where: Johannesburg
The Hyde Hotel Dinner Voucher Special
Price: R455
When: Daily
Where: Cape Town
Zimbali Free Nights Special
Price: From R3800
When: Until 28 February 2021
Where: KZN