The Association of British Insurers (ABI) has examined the impact of the coronavirus crisis in terms of death claims in the period March 01 to May 31, which is said to be the height of the pandemic.
During the three-month span, according to data released by the ABI, about 7,000 life insurance claims were received by insurers who collectively paid £90 million to support the families of those who tragically passed away due to COVID-19.
Broken down, the majority of the claims (6,689) were under individual protection policies while 351 were under group schemes. The ABI also cited “a small number” of critical illness and total permanent disability claims.
Notably, the trade body said every life insurance claim has so far been accepted. In addition, 83% of the abovementioned claims have already been paid.
“Every COVID-19 death is a tragedy,” commented ABI protection & health head Roshani Hill. “While no amount of money can ever replace a life, insurers have been doing all that they can to help families cope financially through these unprecedented and distressing times.”
The assistant director went on to say: “We know that coronavirus has long-lasting impacts, and protection insurers will continue to support families hit by this tragedy. No-one knows what is round the corner, which is why protecting yourself and your family against the worst is vitally important.”
