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The Financial Press likes a headline about insurance companies turning down a claim:
“Home Insurance that’s not worth the paper it’s written on”
Daily Mail 24th September 2019

Whilst any claim presented that falls outside of the cover provided by the policy understandably creates an unhappy client, it is worth reminding policy holders of the positive contribution made by the UK insurance profession.

Written by Paul Brown on 29th October 2019

We've got your back!

The Financial Press likes a headline about insurance companies turning down a claim:  

"Home Insurance that’s not worth the paper it’s written on” 

Daily Mail 24th September 2019

Whilst any claim presented that falls outside of the cover provided by the policy understandably creates an unhappy client, it is worth reminding policy holders of the positive contribution made by the UK insurance profession.

The latest figure published by the Association of British Insurers (ABI) confirms that claims to the value of £55 billion were settled to clients in 2017. This figure was made up as follows:

  • £10.6 billion paid out for motor claims, such as repair, replacement or personal injury.
  • £5.2 billion paid in property claims, of which £2.8 billion was for domestic homeowners and £2.4 billion was for commercial.
  • £5.1 billion was paid through protection products, such as critical illness cover, income protection or life insurance.
  • £2.7 billion was paid out on liability insurance policies to protect businesses.

  • A record £766.5 million was paid out to help people with the cost of treating their ill, or injured, pets.
  • £401.5 million was paid out to help 510,000 travellers to soften the burden of expensive medical treatment abroad and cancellations.

The ABI points out that this equates to £153 million paid every day, which is more than the entire annual GDP of Croatia.

Most claims that are turned down are presented in good faith and simply fall outside of the policy cover. However, the ABI revealed in August of this year that 469,000 fraudulent and dishonest claims were detected by insurers in 2018, an increase of 3% per cent on 2017.

The UK’s world-leading insurance sector provides a valuable service and allows our SME businesses to thrive by providing a safety net should the unexpected occur. On the other hand, the insurance profession has a duty to honest customers to detect the actions of fraudsters whose "claims” costs feed directly into insurance premiums.

Source:

https://www.dailymail.co.uk/money/news/article-7500125/The-home-insurance-thats-not-worth-paper-written-ceiling-caves-in.html

https://www.abi.org.uk/news/news-articles/2018/12/payday-uk-insurance-industry-paid-out-55-billion-in-a-year/

https://www.dailymail.co.uk/money/beatthescammers/article-7402305/469-000-fake-insurance-claims-caught-year-says-ABI.html

https://www.abi.org.uk/news/news-articles/2019/08/detected-insurance-frauds-in-2018/

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