TDCI: Tennesseans Repaid Over $5.1M in 2016

Tuesday, January 17, 2017 | 03:29pm

NASHVILLE – The Tennessee Department of Commerce & Insurance’s (TDCI) Consumer Insurance Services Section announces that more than $5.1 million was returned to Tennessee consumers in 2016 as a result of restitution—a process in which TDCI insurance investigators mediate between insurance companies and policyholders to get denied claims overturned and paid for policyholders.

From January through December of 2016, TDCI-assisted consumers received $5,121,759.84 in restitution, including $848,728.89 received in the month of December alone. By comparison, TDCI repaid consumers over $2.8 million in restitution during 2015.

“The Department proudly serves as an advocate on behalf of all Tennessee consumers in order to help ensure a viable insurance marketplace in the state,” said TDCI Assistant Commissioner Michael Humphreys. “These amounts that we are announcing today were returned to the pockets of Tennessee insurance consumers to help them pay for bills incurred as a result of their insured loss. They were owed these monies and should not have had to worry about paying bills without it. We encourage Tennesseans to reach out to us with questions or concerns regarding insurance products and services.”

In addition to restitution efforts, TDCI staff processed over 4,600 complaints and levied over $250,000 in civil penalties through disciplinary actions taken on behalf of Tennessee consumers against licensees found violating the state’s insurance laws.

To further assist Tennesseans, the Department launched a lost policy service in March 2016 which enables beneficiaries to easily track down the life insurance policies or annuity contracts of deceased family members. Last year, the Department connected 10 Tennesseans to $129,007 in life insurance benefits.

TDCI encourages policyholders to remember that filing a complaint or otherwise contacting the Department is always an option if they are ever denied a claim or even if they have a question or concern about their insurance policies.

Consumers should also always remember a few essential tips for working with their insurance companies:

  • Do your homework before purchasing a policy for any line of insurance.
  • Read the policies so you’ll know and understand its provisions before filing a claim.
  • Verify that the company and the agent are licensed in Tennessee before you buy. Visit our website to verify license status.
  • Look up complaint data to see how well a company is responding to consumer issues.                                                    
  • Homeowners should always keep pictures and/or receipts for all contents on your property. (Most fire losses leave nothing.) Digital tools such as MyHome Scr.APP.book lets you quickly capture images and descriptions of your belongings to help you determine how much insurance you need and for filing a claim.
  • For auto policies, know your coverage limits and what is required by state law. The WreckCheck app guides you through the steps to take following an auto accident.
  • For health policies, make sure your doctor and/or healthcare facility is participating in the network of your insurance carrier.
  • For life insurance policies, depending upon age and health status, you may or may not be eligible for certain products. If you have never purchased a life insurance policy before, you may seek the assistance of a licensed agent to help you make the choice that is best suited for your personal needs.

The Department welcomes contact from Tennessee consumers with questions about agent activity or recommendations or the license status of a potential agent.  Often times, regulatory actions stem as a direct result from a consumer feeling uncertain about a situation and contacting the Department.

Questions about insurance? We can help. Visit the TDCI website or contact us at 1-800-342-4029 or (615) 741-2218.

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