Universal Casualty Company has been fined by the Illinois Department of Insurance. The Insurance Networking News reports that the fines were related to Universal Casualty's failing to adopt procedures for the efficient, and prompt investigation and settlement of consumers' claims. The full story, Illinois Dept. of Insurance Fines Universal CasualtyUniversale notes that the insurer does business in Missouri as well as other States. The Missouri Department of Insurance took action against the insurer in June by banning the writing of all new business.
According to the Missouri Insurance Director's order, the company violated Missouri insurance laws by:
It's good to see that the Missouri Department of Insurance and other regulators are taking insurance consumer protection seriously. Consumer's shortcomings are what bad faith conduct is all about. Responsible insurance companies treat their policyholders fairly and don't use these tactics to hurt their customers.
According to the Missouri Insurance Director's order, the company violated Missouri insurance laws by:
- Failing to respond to or properly investigate claims filed by policyholders within a timely manner;
- Failing to respond to inquiries from the Department of Insurance, which is investigating consumer complaints;
- Improperly denying claims; and
- Offering unreasonably low dollar amounts for claims.
It's good to see that the Missouri Department of Insurance and other regulators are taking insurance consumer protection seriously. Consumer's shortcomings are what bad faith conduct is all about. Responsible insurance companies treat their policyholders fairly and don't use these tactics to hurt their customers.
