Royal London pays 90% of income protection claims in 2014
01 June 2015
- Over £3.2m paid out for income protection (IP) claims in 2014
- On average Royal London’s IP claims have been paying out for over 4 years
By the end of 2014 Royal London’s UK Intermediary protection business - which includes the brands Scottish Provident and Bright Grey – had 246 income protection claims in payment, totalling just over £3.2m. There were 73 new claims paid in 2014, and 90% of income protection claims were successful.
The average pay out for an income protection claim last year was over £13,000 and the average age was just 41 years old. The top 5 reasons for claim were cancer, musculoskeletal conditions, mental health illnesses, stroke and multiple sclerosis. These 5 reasons represented over 80% of new claims in 2014.
The average duration of an income protection claim was just over 4 years, demonstrating how long income protection payments can help in providing support for customers and their families when they need it most.
Debbie Kennedy, Head of Protection for Royal London’s Intermediary Division, said:
“It’s reassuring to report our 90% figure for income protection claims paid. Overall our claims experience adds strength to our reputation of aiming to pay as many claims as possible. This supports our commitment to offer a wide range of products to suit different customers’ needs, and provide support in a way that complements their needs at that time.”
“The crucial role an income protection product can play, by providing ongoing support for someone during unexpected ill-health and disability, is evident in the fact our income protection claims pay out for over 4 years on average. It’s also interesting to see that three of the most common reasons for a critical illness claim also appear on our income protection claims list: cancer, stroke and multiple sclerosis.”
“As a partner of the 7 families initiative (which has created a real focus on the benefits of having income protection cover) we are keen to stress the benefit Income Protection can offer someone if they experience unexpected illness or injury.”
Note to Editors:
- More information about Scottish Provident: www.scotprov.co.uk
- More information about Bright Grey: www.brightadviser.co.uk
- More details about 7 families: www.7families.co.uk
For further information please contact:
|0207 506 6715
About Royal London:
Royal London is the largest mutual life, pensions and investment company in the UK, with Group funds under management of £86.3 billion. Group businesses serve around 5.3 million policy holders and employ 2,859 people. (Figures quoted are as at 31 March 2015).
The Group is currently moving all of its UK businesses under a new version of the Royal London brand. The Group's independent wrap platform will remain branded Ascentric.