LATVIA: Last year, the number of complaints received by the PTAC on the financial sector decreased, with the most complaints being about insurance

15 March 2023 —
Last year, the number of complaints received by the Consumer Rights Protection Center (PTAC) about the financial sector decreased, yet the most complained about insurance. PTAC received 220 complaints, or 30% less y-o-y, and the only area where the number of complaints slightly increased was insurance, the Latvian news source wrote.

23 insurance consumer complaints were submitted to PTAC, mainly about amounts of insurance compensation and exceptional cases not covered by the policy. In recent years, the fastest growing insurance class is health insurance, thus most insurance complaints were about health insurance. PTAC admits that insurance contracts are complicated, residents often do not read contracts.

"The most complaints were received about health insurance (which services are paid, and which are not), and property insurance, Motor Hull, a few about travel insurance and some other types", said PTAC representative Sanita Gertmane.

Janis Abasins, president of the Association of Latvian Insurers, noted that the situation with insurance contracts in Europe has been improving in recent years, as insurers have to offer consumers short versions of contracts as well. "In addition to a contract, which is too complicated and too long, on 5 or even 10 pages, it is necessary to create an information sheet for each insurance product, which should not be longer than a couple of pages. For each insurance product, insurers have created such informative material, which is available on websites. So, the situation has improved a little in the last couple of years in this respect, but insurers and others in the financial sector still have a lot to work on, so that, if not in three, maybe in five minutes, key information is presented to a customer nicely", Janis Abasins explained.