For the past 25 years, the Office of the Ombudsman for Long-term Insurance has provided out-of-court resolution of disputes between complainants and insurers fairly, quickly and informally. This service is free for consumers and rulings are legally binding on insurers.
Judge Galgut, the Ombudsman for long-term insurance, has recently released his 2009 report. Here are some of the highlights of his report:
- The office received 9 088 complaints in 2009, almost 10% more than in 2008.
- During 2009 the office finalised 5 380 full cases (those which require investigation), a 25% increase over 2008.
- 41% of cases were resolved wholly or partially in favour of complainants.
- 78% of cases were finalized within 6 months.
- A total of R102 394 655 by way of lump sums was recovered for complainants.
- A further R516 373 was paid by insurers to complainants as compensation for inconvenience caused by their maladministration, including poor service.
- 91% of complainants would advise family and friends to use the LTI Ombudsman’s office.
When asked about his overall impression of 2009, Judge Galgut said “We have found that insurers respond to my office’s queries more promptly in 2009 than they did previously and that the turn-around times for resolution of complaints received by my office are therefore better.”
