Dispute resolution service IFSO has received more than 82,000 complaints since the organisation launched in 1995. Of those, almost 8,500 have been investigated.
According to its latest annual report, the number of complaints for the 2024 year is the highest in its history. It saw a record number of enquiries, up from 4,120 last year to 4,974 this year. Of those, it investigated 479 complaints, a 46% increase on the previous year (327).
While weather-related claims caused a spike, Sue Suckling, the organisation’s chair says The economic situation has put ongoing pressure on households, with complaints about premiums making it into its top five enquiry issues.
“It’s been a mammoth effort from all those involved at the IFSO Scheme,” she says.
The IFSO scheme, which has 3,600 participants, has worked with Massey University to develop a complaints management course.
IFSO ombudsman Karen Stevens says: “It was a first for us this year when we were required by a complainant to take enforcement proceedings against a financial adviser who failed to comply with an IFSO award to pay the complainant compensation.”
Of complaints received, 677 related to health, life and disability claims, and 91 were about financial advisers.
While 479 complaints were investigated last year, 444 are now closed. Of these:
- 343 not upheld (77%)
- 78 settled (17%)
- 14 upheld (3%)
- 6 partly upheld (2%)
- 3 withdrawn (1%)
Complaints fell into five categories:
- Customer service
- Delays
- Scope of cover
- Premiums
- Misselling/misleading information/misrepresentation
Top 5 complaint issues:
- Scope of cover
- Policy exclusion
- Prima facie claim
- Misselling/misleading information/misrepresentation
- Non-disclosure