No fewer than 1680 complaints against insurance companies in the US were received in the year to June 30 by the Insurance and Savings Ombudsman, reports have claimed.

And 202 of these were investigated with 191 resolved as the complaints bothered on claims that were declined because insurers got it wrong or unfairly rejected the claims.

The revelations were made in the annual report of the ombudsman.

The report said out of those resolved nearly half were settled or the complaints were vindicated, leading to the pay out of $413,000 (£266,000 approx.) to the policyholders that lodged the complaints.

It said further that although in the case of 19 others the complaints were found to be correct no compensation was agreed as at the time the ombudsman figures were being compiled.

One of the cases that was resolved was that involving a biker whose bike insurance company rejected his claim after his bike was stolen a year after he took out the cover. The firm claimed he did not disclose certain vital information, which he said he did. His complaint was upheld by the ombudsman.