In an effort to prove that insurance companies are not avoiding their obligations, Zurich has revealed its paid UK claims total for 2016.
The company wants to shed a more positive light on the insurance sector and show the role that companies can play in helping people get back on their feet – and as part of this it has revealed that it paid out close to £2 billion during 2016 with 99% of retail motor claims paid, more than 99% of commercial claims paid and 95% of all life insurance claims paid.
“Releasing this information helps break the belief that insurers try and shirk their responsibilities,” said Zurich UK CEO Tulsi Naidu. “We are proud of our claims record, and paying out £2 billion in one year is a significant amount. It also firmly underlines the huge role we play in getting people and businesses back on their feet.
“That such a small number of claims are declined shows the level to which customers understand what their policy covers – something we are keen to improve even further.”
Among the interesting statistics revealed in the breakdown of its report was that the proportion of consumer home claims paid out is lower at 94% with the company explaining that “the overwhelming reason is because customers make claims for damage caused by wear and tear – which is not why insurance exists.”
In addition, it explained that “the second most common reason is where customers make a claim, but do not have the appropriate cover in place. Examples of this could be making a claim for an accident - but not having taken out a provision for accidental damage – or claiming for damage in the garden where this isn’t part of the policy cover.”
Overall, the company reported 220,000 new claims for general insurance products, down from 260,000 in 2015, with just over half being motor claims. There were also 130 individual payments of more than £1 million.
Related stories:
