As most agents know, the Division of Insurance maintains a consumer hotline than insurance consumers may contact to receive personal assistance throughout the year. What agents might not know, however, is that each call that the Division receives is logged into a database and then sorted on an annual basis. The Division then sorts through that data annually to create a snapshot of the trends in consumer questions and complaints relating to insurance.
Consumer Hotline Calls – Division of Insurance Estimates 1 in every 12 calls is a complaint*
The Division of Insurance received 23, 294 calls to its hotline in 2010 (the latest figures from its 2011 Annual Report.) Examiners for the Division of Insurance answer consumer calls to the hotline for most lines of insurance and offer information as well as help to callers. In addition to responding to informational requests about insurance companies, producers and licensing questions the Division also fields consumer’s insurance questions and complaints. Based on its most recent data available, the Division of Insurance estimates that approximately 1 in 12 calls to its hotline involves a consumer complaint.
As the Division of Insurance explains, “Examiners are often able to resolve such complaints over the phone with a simple verbal explanation of the relevant insurance law or contract provision. In other cases, hotline staff recommends that the caller file a formal complaint with the Division.” And while the Division of Insurance said that the majority of calls in 2010 concerned health care, as the charts show auto insurance questions and complaints still dominated as the most requested and complained about line of insurance.
Top Give Reasons For Consumer Information Calls By Line of Insurance
Another interesting statistic the Division of Insurance compiled where the top five reasons consumers called by line of insurance. Agency Checklists thinks this is important for agents because it gives insight into basic questions that your insureds might have and another way in which to serve their needs.
The reasons were also split into those involving information requests and those involving a consumer complaint.
Top 5 Reasons for Consumer Informational Calls
Automobile Insurance
- Cancellation
- Claim Settlement Timeframe
- Merit Rating Plans/SDIP
- Premiums/Rates
- License Status
Home Insurance
- Claim Settlement Timeframe
- Cancellation
- Coinsurance
- Non-renewal
- Flood Insurance
Health Insurance
- Continuation of Coverage
- Mandated Benefits
- Mini-Cobra
- Cancellation
- Claim Settlement Timeframe
Life Insurance
- Interest Paid on Claims
- Claim Settlement Timeframe
- License Status
- Cancellation
- #of Complaints Against Company
Top 5 Reasons for Consumer Complaint Calls
Automobile
- Denial of Claim
- Adjuster Handling
- Delays
- Agent Handling
- Coordination of Benefits
Home Insurance
- Denial of Claim
- Adjuster Handling
- Delays
- Unsatisfactory Settlement Offer
- Agent Handling
Health Insurance
- Coordination of Benefits
- COBRA
- Denial of Claim
- Adverse Benefit Determination
- Assignment of Benefits
Life Insurance
- Agent Handling
- Denial of Claim
- Delays
- Misappropriation
- Assignment of Benefits
Facts, figures and charts are courtesy of The Massachusetts Division of Insurance.
