Division recovers $11.5 million for insured consumers

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Consumer complaints to the Division of Insurance led to $11.7 million in recovered insurance benefits.

In half the complaints filed with the division, insurance companies violated state laws regulations, or disregarded policy provisions.

The division published its analysis of consumer complaints during the last fiscal year, a report that covers annuities, auto, health, homeowners, liability, life and title insurance. Overall, the division handled more than 4,200 complaints during the past fiscal year.

Complaints included misrepresentation by insurers or agents, denial of claims and protests about premiums. Storm activity from hail, high winds and snow has resulted in an increased proportion of homeowners’ claim denial complaints.

Auto insurance was responsible for more than 50 percent of the complaint, with issues ranging from liability, medical payments, collision and comprehensive coverage and uninsured motorist problems. It also includes challenges to an auto insurers’ imposition of surcharges, cancellations, non-renewals or reduction in coverage.

Health insurance complaints were also up slightly. And while complaints against life insurance companies were few in number, they frequently result in larger recoveries and are more often in violation of the law.

Complaints must be filed in writing, through the division’s web site at www.dora.state.co/us/insurance, faxed or mailed.