Life insurance broker Reassured has revealed that life and critical illness insurance payouts for its customers reached more than £29.4 million in 2021 to date.
A total of 973 claims were paid over the course of last year, according to data from Reassured and its insurance partners.
This works out an average of 80 families each month benefitting from protection policies purchased through Reassured and the insurance broker said this figure is set to increase, with some claims still currently under assessment.
These figures are significantly higher than seen in 2020 in which 639 claims were paid, resulting in £17.6 million in payouts, and include payouts on both life and critical illness cover.
Two insurers and Reassured partners, AIG Life and Legal & General, each paid out more than £11 million to cover the claims.
Ali Crossley, managing director of distribution at Legal & General, praised the quality of the business written by Reassured, explaining: “Seeing claims paid in these volumes shows that we are jointly serving customers at the point they most need us, which makes us very proud.”
Reassured said the results highlight the value of customer choice, as the majority of the policies were purchased through its non-advised sales channel, which the insurance broker described as “a crucial route to market” for those without access to a financial adviser or unwilling to undergo a lengthy sales process.
Phil Jeynes, director of corporate strategy at Reassured, commented: “Earning customer trust is a challenge we continue to face in the protection industry. Ultimately standing by the promises we make is the best way to achieve this goal, so these statistics are extremely gratifying to see, albeit a representation of hard times suffered by a great number of our customers.”
“By displaying the right behaviours in terms of fairness, clarity and value, we are proud to be leading the way as the UK’s largest life insurance broker. We are grateful to all our insurance partners who stand shoulder to shoulder with us in delivering the right outcomes for our customers, regardless of which route they choose to buy their cover.”