The Exeter has announced that it paid out 94% of income protection claims in 2016, allowing it to maintain its stellar 95% 10-year payout rate.
According to the latest claims information published by the Devon-based friendly society, the most common type of claim it paid out for in 2016 was for injuries such as broken bones, fractures and sprains arising from accidents of one kind or another (37%).
Such claims were more than three times as prevalent as the next three highest most commonly paid out claims, which were back and spinal problems; conditions such as anaemia, kidney stones and migraines; and digestive disorders, each of which accounted for around 12% of total claims in 2016. (See overleaf for a full break down).
Making things better
As Tom Conner, Director of Drewberry, explains, “The Exeter led the charge back in 2005 when it became the first insurer to publish its income protection claims data. We’ve always been great advocates of this approach and, over the years, we’ve done everything we can to encourage other insurers to follow suit. Today, the situation is much improved with most of the top insurers regularly publishing their payout rates.
Tom Conner of Drewberry
“This ‘sea change’ has paid dividends in two big ways,” says Conner. “The first is the increased confidence that the average Briton now has that their insurer will be there for them when they really need them. Not so long ago, there was a widespread perception that insurers did their best to ‘weasel’ out of paying claims,” says Conner. “Publishing claims data that clearly contradicts this has gone a long way towards repairing the sector’s somewhat tarnished reputation,” he says.
“The second big benefit has been the steadily improving payout levels that have accompanied this increased transparency from insurers. This has also helped to bolster public confidence, which has translated into steadily rising income protection sales. This is good news for both insurers and for the average ‘man on the street’ as it means that more Britons than ever before are taking action to protect their greatest asset – namely their health.”
Drewberry Insurance offers advisory services for a range of individual and corporate policies including life insurance, income protection, critical illness cover, health insurance, keyman insurance and employee benefits while Drewberry Wealth Management provides financial advice on investments and pensions. More information is available at www.drewberryinsurance.co.uk. For advice consumers can call 020 8432 7333 or email email@example.com
Drewberry Insurance is a trading name of Drewberry Ltd, which is an appointed representative of Intrinsic Mortgage Planning Ltd and Intrinsic Independent Ltd, which are authorised and regulated by the Financial Conduct Authority.
Drewberry Wealth Management is an appointed representative of Intrinsic Mortgage Planning Ltd and Intrinsic Wealth Ltd, which are authorised and regulated by the Financial Conduct Authority.