Over the past year, Old Mutual Wealth has paid out £37.3m in life insurance claims with an average claim size of £82,931. It also paid out £19.3m in critical illness claims with an average claim size of £126,889. For the third year in a row the company has increased its percentage of successful critical illness claims and now pays out nearly 6% more than in 2016
In total, over 84.9% of critical illness claims were made for just three conditions. These comprised of cancer (66.45%) stroke (7.24%) and heart attack (11.18%). The average age of a claimant was 55 for women and 59 for men.
The FCA’s Financial Lives Study showed that nearly a third of the UK population showed ‘low financial resilience’. Some of those that exhibited this lack of financial resilience said that they would not be able to cover living expenses for even a week, if they lost their main source of income. This could become a reality if someone falls ill or a family member passes away and protection products can play a big part in helping to alleviate these types of problems.
Paul Roberts, head of protection at Old Mutual Wealth, comments:
“Today’s claims statistics add to our superb track record and illustrate our commitment to our customers and advisers. These positive claim figures continue to give our customers confidence that we will always endeavour to give them the best possible outcomes.
“When people come to us at the claim stage they are often at a vulnerable moment in their life as they might be grieving for a loved one or scared because of a worrying diagnosis. For this reason it is of paramount importance that we continue to give our customers a dedicated and empathetic service, which helps guide them through a difficult time.
“Our committed claims team has the experience to recognise when a customer is showing signs of vulnerability and the ability to think outside of simply the claims processes to offer a bespoke service, which goes beyond simply the claim.”