LifeSearch 2024 Claims Statistics

Over £100 million was paid out to LifeSearch claimants in 2024

LifeSearch, the UK’s top protection specialist, noted 1,418 claims in 2024. Insurers paid out £105,070,803, averaging over £2 million each week. More people are aware of and using life insurance and protection products, as shown by the rise in claims. It also highlights how much we depend on these policies in tough times. The company performed well in 2024. There was strong demand for life and critical illness policies. Income protection policies are also popular. These products provide important financial help when times are hard.

The number of claims settled went up by 35% from 2023. This shows more policyholders are benefiting from their coverage. LifeSearch customers are benefiting from this increase. The company has seen a remarkable £43 million (68%) growth in claims payouts compared to last year. This increase shows a higher volume of claims. It also highlights how insurers are meeting the rising demand for comprehensive protection. More individuals and families are facing unexpected health challenges.

Claims Breakdown

A closer look at the 2024 LifeSearch claims shows a detailed breakdown by insurance categories. Twenty-three insurers paid a total of £65 million for 551 life insurance claims. Life insurance claims make up a large part of the total. Life insurance is crucial. It acts as a financial safety net for families and dependants when a policyholder passes away. Also, £16.2 million went to 131 claimants under terminal illness policies. This support gave vital financial help to those with life-limiting conditions.

Critical illness claims accounted for a large part of the total payout. £23 million went to 471 policyholders. This type of insurance is becoming more important. It covers illnesses like cancer, heart disease, and stroke, which are more common today. The rise in critical illness claims highlights the importance of protection policies. These policies provide financial relief and give policyholders peace of mind. They help manage medical treatments and time off work.

LifeSearch gave £698,257 in 'replacement income' to 141 claimants. This was in addition to life and critical illness cover. This support is especially helpful for those who can’t work due to illness or injury. It helps replace lost wages and reduces the financial strain of recovery. Many people worry about income protection. In today’s unstable economy, job security isn’t guaranteed, and living costs keep rising.

There were also 17 Fracture & Waiver of Premiums claims settled, totalling £59,016. These claims usually happen when policyholders have serious injuries. The waiver of premiums allows them to keep their coverage for free when they can't work. This feature is key to many policies. It ensures ongoing protection during tough times. This brings peace of mind to people recovering from accidents or serious injuries.

Female LifeSearch customers accounted for 40% of the total claims paid out. This statistic shows why protection insurance is vital for women. They often deal with special health and financial issues. More women are making claims on their insurance. This shows they see the value of having good coverage for themselves and their families.

In 2024, a key case involved a critical illness policyholder. They made a claim 29 days after getting their cover. This example shows why it’s crucial to get protection insurance early. Unexpected health issues can happen anytime. It highlights LifeSearch's quick response times and customer-first approach. They provide support and timely payouts to those who need them most.

The rise in claims in 2024 shows a wider trend in the UK. More people see the need for financial protection against risks like illness, injury, and death. Protection specialists like LifeSearch play a key role. They help people safeguard their finances and their families, especially in hard times.

Justin Harper, Chief Marketing Officer at LifeSearch, said: "Our claims statistics reaffirm the critical role of protection insurance – through advice and online services – in providing financial security through life’s uncertainties. Behind every statistic is a real person, and for consumers and advisers, it serves as a powerful reminder that life is unpredictable – but also that protection insurance does pay."

"Over 1,600 LifeSearch customers made claims last year. Most deal directly with their insurer, but our dedicated claims support team assisted over 400 customers last year, providing guidance from notification to the final decision. On a rare occasion where a claim was initially declined, perhaps unfairly, we have stepped in to appeal and successfully challenge those decisions to help our customers secure a positive outcome. At LifeSearch, we have long said that the product isn’t the policy, it’s the claim, and we’re proud to have made such a financial and emotional difference to our customers when it mattered to them most."

"However, there is still room to improve the claims experience. It is important for insurers to notify advisers when customers make claims, as collaboration with us and other distributors will be key to faster responses, more empathetic and practical evidence gathering, and quicker payouts. After all, when it comes to protection, paying claims is what we’re all here to do."

ENDS

Notes to Editors
LifeSearch press contacts: Millie Dunn, edunn@teamspirit.co.uk / Henry Clatworthy, hclatworthy@teamspirit.co.uk