Overall GI complaints up 99% as PPI complaints rise 129%, regulator says

FSA

Direct Line Group and Aviva were the most complained about general insurers in the first half of 2012, according to the latest figures from the FSA.

The top of the table is dominated by banks, however, following a 129% surge in complaints about payment protection insurance (PPI).

UK Insurance, the main underwriting division of Direct Line Group, told the FSA it had received 32,316 complaints in the first half of this year, making it the most complained about general insurer, and putting it 12th in the list of general insurance and pure protection complaints.

Direct Line Group is the UK’s largest personal lines insurer, and includes Direct Line Insurance and Churchill.

Direct Line Group managing director of sales, service and partnerships, Darrell Evans, said in a statement: “We are pleased the number of new Direct Line Group complaints reported to both the FSA and FOS fell during this period.  We will continue to make improvements to address complaints and we remain committed to achieving the right outcome for our customers.” 

The next-highest insurance name in the list was Aviva Insurance Limited, in 22nd place with 12,389 complaints. Co-op General Insurance was next, in 29th place with 7,634 complaints, closely followed by RSA in 30th place with 7,616 complaints and LV= in 31st place with 7,510 complaints.

The most complained about companies in the general insurance and pure protection category were not insurers but banks. Lloyds TSB Bank topped the table with 391,272 complaints, followed by Bank of Scotland with 291,872 complaints and Barclays with 280,358 complaints.

The number of complaints to banks and building societies increased by 67% in the first half of 2012 to 2,767,913.

Overall, the FSA said general insurance and pure protection complaints were up 99%. But it appears this was mostly driven by the surge in PPI complaints, which make up 62% of the general insurance total.