| |
Action |
TIO scheme |
Mobile Premium Service Industry scheme |
| Level 1 |
Most complaints are classed as level 1 and are referred back to
the service provider. This gives both parties a last chance to resolve
the complaint without the TIO becoming formally involved. Once a
member is notified of a level 1 complaint, either by the TIO or by
the complainant, the provider has two weeks to resolve the
complaint with the consumer. |
93% of complaints (88,704)
were resolved at level 1, the
highest percentage for the
last three years. A contributing
factor is that some companies
are actively trying to resolve
complaints at level 1, before
they are formally investigated
by the TIO. |
97.3% of MPSI complaints (6,894)
were resolved at
Level 1. |
| Level 2 |
Complaints that cannot be resolved at level 1, either because the
TIO considers that the proposed outcome is not fair or reasonable,
or because the TIO has not seen enough evidence to assess whether
the proposed outcome is fair or reasonable, are raised to level 2.
Level 2 complaints give the member and consumer a last chance
at informal resolution, a process facilitated by the TIO. |
6.1% of complaints
(5,791) resolved. |
2.6% of complaints
(181) resolved. |
| Level 3 |
Level 3 complaints are a formal investigation with an evidence gathering
focus. They require TIO analysis, targeted questioning
and assessment in relation to ACIF code breaches. They still allow members and complainants to
resolve a complaint by liaising with one another to achieve a fair
and reasonable outcome, as opposed to the more informal agreed
outcome at level 2. Where a fair and reasonable outcome is not
offered by a member, the TIO may elect to make a binding (on
members) determination to the value of $1,200. |
0.9% of complaints
(827) resolved. |
0.1% of complaints
(10) resolved. |
| Level 4 |
If the member has failed to respond to a level 3 complaint within
the required timeframes, the complaint may be raised to level 4.
This is known as an administrative level 4. Alternatively, if the
TIO determines that the outcome of a level 3 complaint is not fair
or reasonable, or we have not seen enough evidence from the
member to determine whether it is fair or reasonable and the amount
in dispute exceeds $1,200, the TIO may escalate to level 4 for
further investigation and possibly determination.
In determining whether a complaint should be escalated to level 4,
we will also have regard to the amount of the dispute – for example,
if it is above $1,200 – and the estimated additional time investment
that will be needed to resolve the matter. Once a level 4
investigation has been completed the TIO has the power to either
dismiss the complaint or make a binding determination or give a
direction up to the value of $10,000. We can also make a
recommendation up to $50,000. |
0.1% of complaints
(55) resolved. |
0.01% of
complaints
(1) resolved. |
Media 
Home
| News |
Publications | Annual
Reports | 2006/07 | Classifying complaints 