Ameriprise Auto and Home Insurance Co. – also known as IDS Property Casualty Insurance Co. – has been fined $71,100 by the Colorado Division of Insurance for steering.
Records show that between September 2006 and January 2010, more than 700 Colorado consumers participated in the Ameriprise incentive program, for which they received a discount of $100 off their deductibles for using a shop that was contracted with the insurer as a DRP.
Ameriprise will pay $100 for each of 711 consumers steered to a shop on its preferred list between September 2006 and January 2010. The company will also pay a 10 percent surcharge of $7,100 to the Department of Regulatory Agencies’ outreach and education fund.
“Consumers need to be able to compare repair rates, quality and service,” said Marcy Morrison, Division of Insurance commissioner. “While the repair shops contracted with Ameriprise may have done good work, the anti-steering law ensures that consumers, not insurance carriers, are in the driver’s seat to decide where they want repairs
done.”
More information:
Details of the stipulation and Final Agency Order for Ameriprise
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