/ 16 May 2005

Motor claims dominate insurance complaints

Motor claims continue to dominate complaints about service from short-term insurers, according to the 2004 annual report of the ombudsman for short-term insurance, released on Monday.

Motor claims accounted for 64% of complaints, followed by complaints relating to household contents (15%) and house structures (13%).

Last year saw a record 5 435 complaints, compared with 4 351 in 2003. The ombudsman managed to recover more than R40-million, compared with R22-million in 2003, on behalf of consumers, with the average time taken for resolving a complaint at 85 days compared with 110 days in 2003.

“We are very happy with the reduction in the time taken to resolve a complaint. Our aim is to keep the average below 90 days. In the coming year, our board and council will merge, which will result in the insurance industry not having a majority on the board.

“This clearly demonstrates the phenomenal support and confidence that our office receives from the industry,” the ombudsman for short-term insurance, Helm van Zijl, said.

Consumer education continues to remain a top priority for the ombudsman’s office, where articles are regularly published and interviews conducted with the ombudsman, providing consumers with practical advice and assistance.

“[Last year] was another successful year from the efforts of the ombudsman and his team in helping to give the South African consumer an effective and speedy alternative dispute-resolution channel which can be easily accessed,” chairperson of the council Isabel Jones said. — I-Net Bridge