CID: New Releases (01/27/2016) - Insurance Department Recovers $6 Million for Policyholders, Taxpayers in 2015

{Connecticut Insurance Department}
STATE OF CONNECTICUT
Insurance Department
 
Katharine L. Wade
Commissioner
 
 
FOR IMMEDIATE RELEASE
 CONTACT: 
Donna Tommelleo
 
860-297-3958
January 27th, 2016


Insurance Department Recovers
$6 Million for Policyholders, Taxpayers in 2015

Insurance Commissioner Katharine L. Wade announced today that the Connecticut Insurance Department recovered approximately $6 million for policyholders and taxpayers in 2015, helping individuals and families with their claims and complaints.

“Behind these statistics are the individuals and families the Department was able to help through our intervention,” Commissioner Wade said. “In many cases we were able to make a real difference in their lives and I encourage anyone with questions or concerns about their insurance to contact the Department. We are here to help consumers.”

Some of the 2015 recoveries included:

  • $27,000 for home health care services for a senior citizen under her long-term care policy
  • $13,000 to pay for speech therapy for an autistic child
  • $16,000 paid to a policyholder for an inpatient stay at a skilled nursing facility
  • $37,000 in an additional payment to a homeowner to settle a claim

“Our staff makes certain that companies and agents comply with all state insurance laws and regulation and have extensive knowledge to answer a wide range of insurance questions,” the Commissioner said.

The Department’s Consumer Affairs Unit (CAU) fielded more than 6,100 complaints and inquiries and helped policyholders recoup more than $4 million from January 1 to December 31, 2015. Also in 2015, the Department’s Market Conduct division levied approximately $1.7 million in fines against carriers and returned that money to the state General Fund. The fines resulted from a variety of violations and settlements ranging from untimely claim payments to improper licensing

The majority of the funds recovered for policyholders stemmed from complaints over health, accident, homeowners and life and annuities policies. The following is the breakdown of funds recovered in 2015:

  • Accident, Health - $2.7 million
  • Auto - $430,000
  • General Liability - $17,200
  • Homeowners - $530,000
  • Life, Annuities - $294,000
  • Miscellaneous - $68,000

The Department calculates its consumer recoveries based on what the policyholder received as a result of the Department’s intervention. The inquiries and complaints also help the Department identify industry trends that may adversely affect consumers and trigger investigation by the Market Conduct division.

Complaint data also help determine topics for consumer education and serve as tools to help the Department monitor the industry. The Market Conduct enforcement actions are posted on the Department’s Web site at www.ct.gov/cid

 
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About the Connecticut Insurance Department: The mission of the Connecticut Insurance Department is to protect consumers through regulation of the industry, outreach, education and advocacy. The Department recovers an average of $4 million yearly on behalf of consumers and regulates the industry by ensuring carriers adhere to state insurance laws and regulations and are financially solvent to pay claims. The Department’s annual budget is funded through assessments from the insurance industry. Each year, the Department returns an average of $100 million a year to the state General Fund in license fees, premium taxes, fines and other revenue sources to support various state programs, including childhood immunization.
 
 
 
For help with all your insurance issues:
  • Ask a question or file a complaint online
  • Call the Consumer Helpline at 800-203-3447 or 860-297-3900.
  • Sign up for e-alerts to get the latest news, warnings and rate changes that may affect your premium
  • Download consumer FAQs on health, homeowner and auto coverage
  • Use the Department’s Speakers Bureau for public events.
  • Visit our Web site and follow the Department on Facebook, Twitter or YouTube
 


Content Last Modified on 1/27/2016 11:16:21 AM