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Complaints boost Ombudsman’s staff by 25%

The Financial Ombudsman Service (FOS) says soaring numbers of complaints have boosted its workforce by about 25% to just over 200 in the past nine months.

In the general insurance area disputes were up 33% in the six months to December 31, with the most significant increases in home buildings and travel insurance. Home contents and motor vehicle insurance followed closely behind.

Fuelled by the global financial crisis, the Investments, Life Insurance and Superannuation division at FOS received nearly 1000 new written disputes in the six months, close to double the new disputes received for the same period in 2007.  

Financial planning disputes were up 114% while the life insurance figure was up 31%.