Standard Life has revealed that it paid out on 82% of critical illness claims in 2005, with payments totalling £19.8 million. The provider rejected 18% of claims, 10% of which were due to the claims not meeting the policy definitions and 8% because of non-disclosure.
The average claim value was £57,800. Cancer claims were the biggest single source of claims and accounted for 53% of payouts, while heart attacks accounted for 13%. Standard Life have said that they expect the number of rejected claims to fall following the Association of British Insurers statement of best practice on policy definitions, as they believe that it will provide ˜clarity for advisers and consumers as to what exactly is covered in these policies".
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These figures roughly reflect the market average in terms of claims accepted and claims paid. Do you need some critical illness protection? Get a quotation and compare companies today.