Customer data from LifeSearch has warned that many policyholders are not claiming on their protection policies despite having a legitimate reason to claim.
Around 1 in every 9 protection claims paid to LifeSearch clients in the second half of last year were identified through LifeSearch customer service teams making routine contact with their customers, rather than the policyholder taking any action.
The team's work has led to more than £500,000 being submitted for claims for Life Insurance and Critical Illness
policies during this period and over 70% of these policies have been paid already.
The figures suggest there may be significant number of consumers in the UK - those that have either bought direct or through a firm that doesn't maintain contact with its customers - who have might be able to claim successfully.
Emma Thomson, life office relationship director at LifeSearch, said: "There could be any number of reasons why policyholders aren't always claiming when they can, and one reason may be a lack of awareness. Some either forget they have a policy or do not remember specifically what the policy covered, especially if the plan was taken out by somebody else. So reminding them can be hugely important.
"We have customer review teams who contact our clients on a regular basis - typically once a year - and as our figures show, a growing number of clients may not have claimed without our intervention.
"It suggests many people who buy protection may not remember the cover they have and would benefit from having access to support from an adviser who can remind and guide them." -
