Allie Sanchez
Major insurer Zurich UK is aiming to lead the way in publishing claims figures by revealing it disbursed £1 billion in claims in the first half of 2016, with general insurance claims accounting for 70% of the disbursements. The rest went to life insurance coverage.
In the said period, 115,000 new claims were filed across personal and commercial lines, with a payout rate of 99% for motor claims.
A high of 91% was also paid for property claims. The 9% nonpayment rate was due to misunderstandings on the part of the policyholder over claims coverage, a Zurich UK release states.
Meanwhile, Zurich’s life insurance business line received over 1,300 new claims, with a payout rate of 95%. Specifically, almost 70 million was disbursed to more than 800 families, with the average claim reaching just under £50,000. The largest claim for the pertinent period amounted to £2 million.
In health insurance, the most common claims were for breast cancer (20%) and heart attack (17%). Claims reached an average of £80,000.
Income protection claims were paid out for mental illness (23%), cancer (15%), and muscle and bone disorders (13%) and spinal injuries (13%). Average monthly payments were pegged at around £1,500.
“There is often a misconception that insurers shy away from paying claims – but by publishing these numbers we are trying to lift the lid on the fact that the vast majority are paid,” said Zurich chief executive Gary Shaughnessy.
“We are continuing to invest in our claims processes across life and general insurance to ensure we can help people as swiftly as possible, and also to ensure that our fight against insurance fraud remains robust,” he concluded.
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