Protection complaints to FOS increasing

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The proportion of critical illness complaints upheld by the Financial Ombudsman Service rose by 1% to 25% in the July-September 2014 quarter.

The numbers of enquiries and new cases rose about critical illness cover rose, although the number sent to the Ombudsman for a final decision fell.

For cases upheld in income protection the increase was 4% to an upheld rate of 38%, the number of enquiries to FOS have fallen.

Complaints upheld about whole of life policies remained at 23% of complaints, but with an increase in the number of new cases the ombudsman was dealing with.

Whole of Life policies were the 8th largest area for enquiries, with 688 received by FOS, with 102 cases sent to the Ombudsman for a final decision.

Term assurance enquiries were down to 804 from 953 however there was a 5% increase in the number of cases being upheld to 23%.

The current statistics include the information on enquiries received for the first time as well as the number of cases passed to the ombudsman for a decision.

The protection industry remains a small part of the work FOS does, with 157,000 enquiries handled during the July-September quarter, 88,038 new cases and 12,125 complaints appealed to an ombudsman, the final stage.

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