AFM members pay out £70m on IP claims in 2023

Claims for musculoskeletal continue to rise

Jaskeet Briah
clock • 2 min read

Members of the Association of Financial Mutuals (AFM) that offer income protection (IP) products paid out over £70m in claims to customers last year, which is up 38% from £52m in 2022.

The AFM said that part of the increase follows Wesleyan Assurance re-joining the association in 2023. The year prior, LV='s addition to the association largely drove a 53% rise in claims payments. AFM members paid out 92.1% of claims, compared to 91.6% in 2022. Overall, 7,000 customers received payments, compared to 9,000 in 2022, continuing an annual trend of decline. This decline was due to a drop in the number of Covid claims from 1,300 in 2022 to 169 in 2023 and because The Exeter was unable to supply data, with more of the claims being older rather than new claims coming in. T...

To continue reading this article...

Join COVER for free

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around health and wellbeing, diversity and inclusion and the cost of living crisis.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Members only access to monthly programme 'The COVER Review'
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Individual Protection

The Right Mortgage names head of customer service

The Right Mortgage names head of customer service

Supporting AR firms and advisers

Jaskeet Briah
clock 30 May 2024 • 1 min read
Step-parents twice as likely to take out protection

Step-parents twice as likely to take out protection

Half of blended families concerned for their financial future

Jaskeet Briah
clock 24 May 2024 • 1 min read
Industry Voice: High-touch customer service reigns supreme

Industry Voice: High-touch customer service reigns supreme

High quality customer service offers a chance to raise industry standards, especially in claims speed and communication.

Sarka Halas
clock 23 May 2024 • 3 min read