Tennessee Sees Improvement in Number of Insurance Consumer Complaints in 2016

Insurance complaints ranked last of the top 10 consumer complaint categories for 2016, according to the Tennessee Department of Commerce & Insurance’s (TDCI) Division of Consumer Affairs.

The number of consumer complaints in 2016 related to insurance – 177 of a total of 4,432 total complaints – was an improvement from 2015 when insurance complaints ranked eight of the top 10 with 213.

TDCI said the insurance category relates to pet insurance, consumer health insurance, and unlicensed insurance companies. Most consumers complained about policy coverage and claims.

TDCI’s Division of Consumer Affairs total of 4,432 complaints in 2016 was slightly higher than the 4,259 complaints reviewed by Consumer Affairs in 2015.

For 2016, the top 10 complaint categories and number of complaints per category included:

1. Home improvements: 413; most common complaints related to quality of work, incomplete work after receiving payment, and structural damage.
2. Utilities: 298; problems with billing and maintenance were the most common complaints.
3. Motor Vehicle: 265; Problems with used vehicle sales and advertising were the most common complaints.
4. Personal/Professional Services: 253; common complaints include the quality of service, charges for service not received, and problems redeeming gift certificates for services offered.
5. Landlord/Tenant: 250; most common complaints related to security deposits and the conditions of the rental property.
6. Timeshares/Vacation Clubs: 235; most common complaints included high-pressure sales tactics, misrepresentation of the contract, and resale scams.
7. Health Services and Products: 219; the most common being misquotes for services and inaccurate billing.
8. Motor Vehicle Repair: 210; most consumers report auto repair companies that return vehicles not fully repaired.
9. Debtor/Creditor: 192; consumer complaints often related to harassing phone calls or billing issues.
10. Insurance: 177.

Topics Tennessee