The firm declined a third less critical illness claims due to non-disclosure, which it says is a result of paying a proportion of claims involving unrelated non-disclosure.
It declined 6.5 per cent of claims for non-disclosure, compared with 9.9 per cent in 2006, and 7 per cent because the policy definition was not met, down from 8.8 per cent last year.
Head of protection Mark Jones says, for the first time, fewer claims were declined for non-disclosure than were declined for policy conditions not being met.
He says: “I’m delighted that the three pronged approach we’ve applied to our range of protection products of education, simplification and promoting a culture of fairness, is beginning to pay dividends. The improvement in the number of critical illness claims paid will help increase consumer confidence in protection products.”
Cancer remained the most common cause for a claim and the average age of a claimant was 44. The average critical illness payout in 2007 was over £58,500 and the largest claim paid was £750,000.