Colorado regulators recently released their report which summarizes the Division of Insurance’s complaint handling activity from 2009-2010. According to the article “Report: Regulators Recover $2.8M for Auto Insurance Policyholders” by PRWeb found on SFGate.com, the DOI’s mediation of about 5000 formal complaints during this time period led to the recovery of over $12 million for the state of Colorado’s insurance consumers.
$2.8 million of this sum are a result of complaints and protests filed against auto insurance companies operating in Colorado. Colorado continues to receive the greatest proportion of consumer complaints filed with the DOI for the last 4 years. Formal complaints and protests made against car coverage providers accounted for about 55% of the total.
Colorado allows policyholders to file complaints about disputes over issues with coverage. Unlike most other states though, it has a separate category for protests against auto insurance companies which usually handle challenges against surcharges, policy cancellations, as well as coverage reductions. Formal complaints have a high rate of confirmation while protests are much lower, so this can cause Colorado to have inflated numbers. At any rate, Colorado auto insurance policy holders will get back some of what they lost from poor relations with their insurer.