State says it recovered $3.5 million from insurers in 2010

Posted March 07, 2011, at 6:08 a.m.

AUGUSTA, Maine  — Maine’s Bureau of Insurance says it recovered nearly $3.5 million from insurance companies in 2010 for Maine individuals and businesses.

Insurance Superintendent Mila Kofman says the bureau recovered nearly $2 million for consumers for health and life insurance claims that were improperly denied. It collected another $1.5 million in auto, homeowners and renters insurance claims that were denied.

For the year, the bureau received nearly 1,000 formal complaints.

The bureau also collected more than $1.2 million in fines from insurance companies, agents and brokers who were found to be in violation of state insurance laws.

Most of it came from a case against American Trade Association and its operators, which were ordered to pay medical bills, premium refunds and nearly $1.2 million in civil penalties.