Pioneer Friendly Society, the income protection provider, has announced an increase in claims payments for 2006. During the year, 96.89% of Pioneer policyholders who made a claim were paid compared to 96.57% in 2005.
Musculoskeletal and back injuries accounted for over 30% of claims down from 40pc in 2005. Operations at 16% and fractures at 11% were the next largest areas for claims.
Pioneer chief executive Andrew Chapman said: “We believe that income protection should be a core product for the working population, however, the industry has a big job to do to raise awareness and, more importantly, build trust. By publishing our claims payment statistics we believe we are helping to meet these challenges and policyholders can feel confident that genuine claims will be paid.”
Pioneer offers two income protection products. These are a flexible ‘protection-only’ policy called Pure Protection and Income Protection which offers a tax free cash sum payable at a selected retirement age in addition to replacement income benefit.IFAonline
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