Mich. OFIS Makes Insurance Complaint Information Available Online

June 26, 2001

The Michigan Office of Financial and Insurance Services (OFIS) released complaint ratios for insurance companies in Michigan — the information is available at www.cis.state.mi.us/ofis.

Individual company information is also available by calling OFIS toll free at 877-999-6442. When analyzed, the complaint information results show that 45 percent of complaints filed in the year 2000 were about claim handling.

The OFIS web page posting provides information on how to file a complaint as well as complaint statistics. The first statistical review option on the website is overall complaints. The overall complaint statistics provide report total insurance complaints for 2000 at 5,730. That total breaks down to: Insurance Company Complaints, 3,813; Blue Cross Blue Shield Complaints, 650; HMO Complaints, 386; and other complaints, 881. This complaint information is also available for 1999.

Also included are 1999 and 2000 complaint totals for lines of coverage (such as accident & health, annuity, automobile, homeowners, and life), and complaint reason (including marketing & sales, claim handling, policyholder services, and underwriting). It is important to note that complaints can have more than one complaint reason.

OFIS stated it receives thousands of complaints every year regarding the insurance industry. After responding to the complaints, the information is used to track pattern of practice and compiled into complaint ratios. Ratios are determined by dividing the dollar amount (in millions) of written premium into the number of filed complaints. The resulting ratio provides complaint information that takes into account the size of the insurance company.

The second review option on the OFIS website is complaint ratios that provide information for specific Michigan insurance companies. Complaint ratios are available for companies by type of insurance coverage, including Accident & Health, Annuity, Automobile, Homeowners and Life. Complaint ratios are listed for all Michigan insurance companies that receive over ten complaints in a calendar year.

The complaint ratio statistics also offer the option of additional insurance company information. By clicking on the company name, users link to the company address, company contact, and complaint reason information. It is also important to remember that not all complaints filed result in a determination that the insurance provider acted improperly.

The complaint information filed at OFIS and posted to the web includes complaints filed against agents offering insurance products from companies.

Topics Michigan

Was this article valuable?

Here are more articles you may enjoy.