Research firm The Finance & Technology Research Centre has launched a new claim statistics tool which aims to help advisers dispel consumers’ fears that insurers do not pay claims.
The free online tool features in-depth claims data for life cover, critical illness cover and income protection insurance from 10 of the market’s largest insurers, including Legal & General, Aviva, Friends Life, Aegon, Bright Grey, British Friendly, Exeter Family Friendly, LV=, Scottish Provident and Zurich. Ageas is set to follow shortly.
As well as providing the overall percentage of claims paid during a specific period, the data also includes things like the number of claims paid, the average age of claimants, the youngest and oldest claimants, the top five common reasons for claiming, the average time taken to pay claims and a breakdown of why claims were denied.
F&TRC managing director Ian McKenna says the firm is looking at the feasibility of creating a consumer-facing version of the website.
McKenna says: “Research [by the Protection Review, earlier this year] shows the perception is less than 40 per cent of claims are paid, while the reality is 90 per cent. This free tool provides an unparalleled amount of claims data in one place, in a simple and consistent format, that will help advisers and consumers to understand the need for protection.”
Master Adviser senior partner Roy McLoughlin says: “When you sit down with someone and they say ‘does this pay out?’, unless your answer is unequivocally ‘yes’ then they will turn off. With this now you can say here are the numbers to prove it. That is important.”
Advisers can register for the tool at www.adviserforumplus.com.