View more on these topics

LV= pays 86% of IP and CI claims

LV= paid 86 per cent of income protection and critical illness claims in 2007.

The income protection statistics have not budged from 2006 but the critical illness claims paid increased 5 per cent from 81 per cent in 2006.

The firm paid £54.9m to policyholders last year, which includes £5.8m in critical illness claims and £15.2m in income protection claims.

Mental disorders accounted for 30 per cent of income protection claims followed by 20 per cent for musculoskeletal disorders and 11 per cent for circulatory disorders. The average age of female income protection claimants was 44 years, while men who claimed were on average three years older.

Cancer claims accounted for almost 70 per cent of all critical illness claims.
The average female claimant’s age was 45 years, and 51 years for men.

Head of protection Chris McFarlane says: “We are pleased to have seen an improvement in our claims record. We have put a lot of work into developing ways to help financial advisers and their clients with policy applications and claims, so that valid claims are paid promptly, and that the risk of non-disclosure is significantly reduced.”

Lifesearch head of protection strategy Kevin Carr says: “We applaud LV= for publishing their claims statistics and believe that this kind of move is crucial for the development of clarity and transparency in the industry. LV= is directly helping consumers to realise the value of protection, which is particularly important in the current economic climate, and also helping to improve consumer trust – all of which is good for consumers, financial advisers and product providers.”


Fear and lending

Are lenders in danger of becoming too cautious? Despite the Bank of England’s £50bn rescue package, we have seen further evidence of lenders tightening criteria by cutting maximum loan to values (Abbey and Nationwide), introducing higher rates for those borrowing more than 75 per cent LTV (Alliance & Leicester) and hiking rates (too many lenders to mention by name).

‘Cost of regulation set to hit 50bn’

Spending on regulation and compliance for the world’s 100 biggest financial institutions could almost double to 50bn by 2010 after a rise of more than 30 per cent over the past three years, according to Deloitte.

State of the markets: UK equity income

Artemis Income Fund manager Nick Shenton discusses the state of the UK equity income market with journalist Alexis Xydias. With the first three months of 2015 showing strong returns for both the Artemis Income Fund and UK markets generally, Nick Shenton discusses the fund’s top contributors – including overseas holdings Novartis and Bayer – and […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm