How did providers perform in 2015?
25th April, 2016
Two of the UK’s leading protection providers have announced their claim and pay-out statistics for the whole of last year, highlighting increasing reliability for consumers. Bournemouth-based provider LV= revealed that during 2015 they paid out an impressive 96% of all individual protection claims, totalling £56m.
The provider also announced a 100% pay-out record on 50Plus and unemployment claims, 99% on terminal illness, 97% of death claims and 91% of critical illness. This equates to the LV= paying more than £1m per week to nearly 5,000 families in total. Investments in technology have also allowed them to streamline the claims process further and settle 70% of its 50 Plus claims over the phone for customers.
But LV= are not the only ones to be boasting a good 2015. Aegon UK also proved their reliability in the critical illness sector, by paying out a full 97% of claims, and a total of £116m on protection claims to 1,500 customers, business and families in 2015. This marks a rise from the provider’s 2014 results of 93%.
So why are providers becoming even more reliable in paying out on claims? Providers are always looking to increase their claims figures and work hard to streamline the claims process, whilst also ensuring transparency at application, so that advisers and their clients are clear on why a claim may or may not pay out. Douby Grant, protection director at Aegon, said that “It's very encouraging that year after year we're making a real difference by continually increasing the number of claims we're paying."
All this is great news for consumers and helps to dispel the myth that providers don’t pay out on claims, which advisers can use when talking to clients about their protection needs. If you would like to look at what protection might be suitable for your circumstances, browse our quotes page for a life insurance quote or contact us directly.