ST. LOUIS, Mo. (First Alert 4) – Complaints filed with state insurance commissioners about auto insurance claims were up 7.5% over the last year, according to a ValuePenguin report, as more drivers are growing frustrated.
“In April of ’25, my daughter was parked at school,” said mother Shannon Jungewaelter.
But her vehicle is still damaged from being hit by another car after nearly a year. The police report said the other driver “lost all steering and collided with the driver side rear.”
“The person hit the back of my daughter’s car, and hit another car in front of it, and he pulled over,” explained Jungewaelter.
She tells us she provider the other driver’s insurance carrier, First Acceptance Insurance Company, with three repair estimates, each totaling around $1,600. But she says First Acceptance sent a check for a smaller estimate of $1,062.00.
“So we’re out $500 because this is what their adjuster said the damage is worth,” said Jungewaelter.
An analysis by consumer information site ValuePenguin shows complaints filed with state insurance commissioners over claims shot up 7.5% from 2024 to 2025.
Now the National Association of Insurance Commissioners reports 88% of insurers either use or plan to use artificial intelligence to evaluate claims, speeding up the process.
But personal injury attorney Lem Garcia with Lem Garcia Law says he’s seeing more accident victims being offered lower settlements quickly.
“When they’re evaluating the case through AI, they’re using predictive modes. This person was in this type of accident, x plus y equals z. There are factors they’re not considering,” said Garcia.
He’s urging accident victims to be wary.
“They’re unaware that their case might be worth a lot more than that. You’re supposed to get paid for your medical bills, how it affected you, your pain and suffering, not just now, but in the future as well,” explained Garcia.
The Missouri Department of Insurance wants drivers to know they can help resolve claim disputes.
“Last year, we shattered an all-time record in terms of our consumer recovery. In 2024, we recovered $22 million, a record for the department. But in 2025, we recovered $46 million,” said Angela Nelson, Director of the Missouri Department of Insurance.
“We will investigate the claim to make sure the insurer has complied with Missouri insurance law, and the promises they made in their policy,” said Nelson.
Youngewaelter filed a complaint with the Illinois Attorney General, who sent a letter saying First Acceptance Insurance Company did not respond.
“I would like for them to honor my estimates, that’s all I’m asking. That’s all I’ve ever asked,” she said.
We have reached out to First Acceptance Insurance Company three times for comment, but haven’t heard back yet.
Here are steps you can take when you disagree with an insurance settlement:
- Request their rationale in writing
- Gather evidence to make your case: medical records, property damage, witness and expert statements,
- Send a formal demand letter,
- File a complaint with your state insurance department,
- Or consult an attorney.
Copyright 2026 KMOV. All rights reserved.
Based in New York, Stephen Freeman is a Senior Editor at Trending Insurance News. Previously he has worked for Forbes and The Huffington Post. Steven is a graduate of Risk Management at the University of New York.