SINGAPORE (THE BUSINESS TIMES) – Greater than half the claims filed with the Monetary Trade Disputes Decision Centre (Fidrec) for the 12 months ended June 30, had been in opposition to banks and finance corporations.
Throughout the interval, Fidrec obtained 1,097 claims, down from 1,227 the 12 months earlier than. It was the third straight 12 months that the variety of whole claims surpassed the 1,000 mark.
Of the claims obtained, 52 per cent had been filed in opposition to banks and finance corporations, 26 per cent in opposition to life insurers, and 13 per cent in opposition to basic insurers, stated Fidrec in its annual report launched on Friday (Nov 26).
These aged 51 years and older continued to kind the biggest group with 51 per cent of whole claims. The median declare quantity was $8,808, whereas the biggest declare quantity stood at $1.62 million.
Among the many claims filed in opposition to banks and finance corporations, 42 per cent associated to unauthorised transactions, frauds and scams, whereas 31 per cent concerned inappropriate recommendation, misrepresentation, or disclosure points, stated Fidrec.
Among the many claims filed in opposition to life insurers, 41 per cent had been disputes about inappropriate recommendation, misrepresentation or disclosure points, and 22 per cent had been disputes on legal responsibility.
Nearly all of the claims (72 per cent) in opposition to basic insurers had been largely associated to disputes on legal responsibility.
The restrictions led to by the continued Covid-19 pandemic resulted in Fidrec concluding 82 per cent of its claims inside 6 months, which was decrease than the 89 per cent the earlier 12 months.
The centre resolved 862 claims within the first stage of mediation with out having to proceed to the second stage of adjudication – representing 76 per cent of instances dealt with within the interval. Of the instances concluded at mediation, 48 per cent concerned a settlement. The remaining 52 per cent didn’t see any settlement.
In the meantime, 271 instances proceeded to adjudication, together with instances introduced ahead from the 12 months earlier than.
Fidrec chief government Eunice Chua stated the Covid-19 pandemic meant extra shoppers transacting on-line which led to a surge in claims for “unauthorised transactions, frauds and scams”.
She added that these claims took over “market conduct” as the highest declare in opposition to banks and monetary establishments for the interval. Furthermore, Fidrec additionally noticed extra investments-related claims than earlier years, seemingly resulting from unstable markets and heightened monetary stress.
The centre has introduced that it’s going to launch a brand new portal by early December 2021 that’s anticipated to extend effectivity. The brand new portal could have on-line claim-filing linked with MyInfo, in addition to portals for shoppers and monetary establishments to add paperwork and obtain updates, to call a number of options.
Fidrec is a not-for-profit firm which specialises within the decision of client monetary disputes via mediation and adjudication.