Car and motorcycle insurance generated 14,282 new ombudsman complaints in the year to June 2026, followed by buildings insurance with 6,903 and travel with 4,869. Pets and livestock insurance, with 2,065 complaints, and private medical and dental insurance, with 1,899, complete the top five.
These five business lines accounted for more than two-thirds (68%) of all insurance complaints referred to the FOS during those 12 months, with motor insurance alone accounting for around one third.
The second quarter of 2026 saw a significant rise in complaints, with total referrals increasing 23% year-on-year to 11,796, from 9,606 in Q2 2025.
Motor complaints rose 37% to 3,918, while travel complaints increased 26% to 1,283 and private medical and dental complaints rose 22% to 525. Meanwhile, pets and livestock complaints increased 14% to 596, with buildings insurance recording a more modest 1.7% rise to 1,687.
Claims remain the main source of complaints, accounting for some 73% of referrals to the ombudsman in Q2 2026, up slightly from 71% in Q2 2025. Meanwhile, 22% related to policy administration and 5% to sales and advice, compared with 22% and 7% respectively a year earlier.
However, the rise in referrals was accompanied by lower upheld rates across all five leading business lines.
Pets and livestock recorded the largest fall in upheld rates, with the proportion upheld in favour of consumers falling from 49% in Q2 2025 to 29% in Q2 2026, a reduction of 20 percentage points.
Motor’s upheld rate fell from 35% to 33%, while buildings insurance declined from 38% to 33%. Travel’s rate fell from 36% to 32%, with private medical and dental insurance recording the lowest upheld rate of the five at 20%, down from 24%.
The fall in upheld rates offers some encouragement, but higher complaint volumes underline the need to understand where customer experience is falling short.
For insurers and brokers, examining the reasons for complaints alongside their outcomes can help identify recurring issues, inform product reviews and focus improvements where they are most needed.
How Insurance DataLab Can Help
Insurance DataLab’s market intelligence platform tracks quarterly FOS complaint volumes and upheld rates by insurer, product line and complaint type. Combined with our wider claims and customer experience insights, this helps firms benchmark performance, identify emerging risks and evidence customer outcomes under the Consumer Duty.
To find out more or request a demo, get in touch.