Last year, during the initial height of the pandemic, insurers received 7,000 life insurance claims and paid out £90m to support families of those who had sadly lost their lives to the virus, representing total claims of £980,000 settled every day.
Data from the Association of British Insurers reveals that, between 1 March and 31 May last year, 6,689 claims were received under individual protection policies and 351 claims were received under group schemes (including a small number of permanent disability and critical illness claims). Interestingly, this equates to 77 daily claims over the period.
Claims settled – Positive news
The overwhelming majority of these claims (83%) had been settled by mid-August and reassuringly, every life insurance claim made during this time was accepted.
The average claim value paid on term insurance policies was anticipated to be £63,000, with the group policy average payout totalling around £137,000.
Protection is unequivocally vital
These figures go to show how valuable it is to have the right protection cover in place. None of us know what the future holds, which is why it’s important to get advice and support to make sure your family is properly protected in 2021 and beyond.
As with all insurance policies, conditions and exclusions will apply
Catch up on our other blog posts:
Millions Hiding Ill Health From Loved Ones
Seven million people are keeping quiet about mental health issues, while nearly four million are hiding a physical health problem from their families, according to a study1. Keeping loved ones in the dark about health issues can create problems both now and in the...
Stamp Duty – Just a Reminder!
The temporary raising of the nil-rate Stamp Duty band threshold to £500,000 ended on 30 June. The measure was introduced in July 2020 to maintain confidence in the housing market during the pandemic. Don’t despair if you missed the deadline, as there's now a tapered...
A Record Summer for house prices?
House prices continue to rocket, with the Nationwide House Price Index1 revealing annual house price growth of 13.4% in June, the highest level since November 2004. The extended Stamp Duty holiday, in addition to the new mortgage guarantee scheme and changing...
(Your home may be repossessed if you do not keep up repayments on your mortgage)
We charge a fee for arranging and advising you on the mortgage. The fee will be dependent on your circumstances but will not exceed £499. (Our typical fee is £299.)
For Lifetime Mortgages/Equity Release the fee will be £799.
Our mission is to provide honest mortgage advice, whilst helping you save money.
Get in contact
Flexible appointments
Or call —02380224925