Holloway Friendly Society paid 96.2% of its income protection claims in 2011, up from the previous twelve months 95.5%.
Of the 3.8% of unpaid cases 67% were due to the increasing number of claimants who failed to provide the correct medical or financial evidence.
A number were unpaid because clients had not informed Holloway Friendly that their circumstances had changed since they took out their policy and had suffered no financial loss.
The society noted the positive that no claims were denied due to non-disclosure.
Mat Manser, Sales & Marketing Manager for Holloway Friendly says, "Holloway Friendly has an exceptionally high pay out rate on claims which improves every year.
"However, we are concerned by the number of clients we were unable to pay out to due to changes since inception that we hadn't been told about, we believe this is a big opportunity for advisers to review their cases regularly and get in touch with their clients, so that these figures are reduced."
