Protection pay outs total edged toward £7bn in 2022 in record year

Providers paid out around 98% of claims last year

Jaskeet Briah
clock • 2 min read

Protection pay outs for both individual and group protection policies hit a total of £6.85bn in 2022, according to the Association of British Insurers (ABI) and industry body Group Risk Development (GRiD).

This is a marginal increase from a the previous record £6.8bn of pay outs by protection providers in 2021. Overall, providers paid out around 98% of claims in 2022, which ABI and GRiD noted has been a consistent figure since 2017. For over half of denied claims, customers failed to inform their insurer of "key" details about themselves or their circumstances when they took out the policy.   A total of £4.6bn was paid out across 287,000 individual polices for life insurance, income protection (IP) and critical illness claims last year, while group policies paid out £2.2bn in claims. ...

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