The first report from the Financial Services Ombudsman Joe Meade shows that he received 2,600 complaints against financial services providers in the office's initial nine-month period from April to December 2005. This was up 23% on the same period a year earlier, when a voluntary system was in place. More than 1,700 of these concerned the insurance sector.
He found in favour of half of the complaints, and made one compensation award of €56,000 against a credit institution and one of €32,000 in the insurance sector. Details of a number of significant rulings made by the office last year had already been made public.
Mr Meade's report expresses concern about travel agents and tour operators selling insurance cover. The ombudsman's office can not investigate such complaints, but suggests the establishment of a code of practice covering this area.
The ombudsman also urges that all of An Post's financial services should come under his remit. He can currently deal with complaints about its financial services arm One Direct.
The €56,000 award was to an elderly couple to whom an unsuitable high risk investment product was sold. A €33,000 settlement was also reached with an insurance company relating to a permanent disability and critical illness claim which was initially rejected.
The ombudsman received a substantial number of complaints about alleged mis-selling of endowment mortgages in the 1980s and 1990s, but said these could not be investigated as they fell outside a six-year time limit.
