"£77 million is the most we have ever paid out for individual protection claims and we’re pleased we have been able to help even more families in their time of need."
LV= paid out almost £77 million in new individual protection claims in 2016 - more than it has paid in any other year.
The mutual paid 100% of 50 Plus claims, 98% of life insurance claims, 92% of critical illness claims and 90% of income protection claims.
In total, LV= paid out almost 7,000 claims over the year, around 2,000 more than the year before. The highest claim paid in the year was £600,000 for a critical illness claimant.
The most common conditions for critical illness claims were cancer (65%), heart related conditions (13%) and strokes (7%), while the most common claims for income protection were for musculoskeletal disorders (23%), mental health issues (14%) and cancer (14%).
In support of work carried out by the Protection Distributors Group on its Funeral Pledge the insurer has also this month introduced an early payment of up to £10,000 for death claims on all life products which can be paid within 24 hours.
Myles Rix, Managing Director of Protection at LV= said: “Last year we continued to invest in our claims service to make it as quick and easy as possible for our customers to claim and this is reflected in these numbers. £77 million is the most we have ever paid out for individual protection claims and we’re pleased we have been able to help even more families in their time of need.
“While we know some consumers worry that claiming for a protection policy will be a difficult process, these numbers demonstrate that the overwhelming majority of cases are paid out. We urge advisers to use information such as this to help their clients understand the value of protection policies, and demonstrate the financial peace of mind they can provide.”