What is required of insurers regarding complaint records?

• A. Insurer must keep a complete record of all complaints received during the previous 3 years or since last examination.
• B. Insurer must keep only complaints that resulted in litigation.
• C. Insurer must publish a yearly list of complaints to the public.
• D. Insurer may discard complaint records after 6 months.

Answer: (A)

Regulators require insurers to keep a complete record of all consumer complaints for a defined period so they can review patterns and compliance during examinations. The rule is to retain all complaints received during the previous three years or since the last examination, whichever is longer. This ensures regulators have full visibility into how complaints are handled, what issues repeatedly arise, and whether the insurer is meeting applicable laws and regulations. It isn’t limited to complaints that go to litigation, it isn’t about publishing complaints publicly, and records shouldn’t be discarded after a short time like six months. Keeping a full, accessible complaint file for the specified period supports accountability and regulatory oversight.