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Catch up with the latest press releases from LV=

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LV= highlights improved protection claims performance

Press release: 14/05/2008


Protection specialist LV= today published its 2007 protection claims record, revealing that 86% of claims were paid across its income protection and critical illness policies. This is an increase over 2006, when around 86% of claims were paid for income protection and around 81% of claims were paid for critical illness protection.

Overall, more than £54.9m was paid out to policyholders in protection claims last year, which includes £5.8m in critical illness claims and £15.2m in income protection claims.

Chris McFarlane, Head of Protection at LV= comments: "We are pleased that we have seen an improvement in our claims record. We have put a lot of work into developing ways to help financial advisers and their clients with policy applications and claims, so that valid claims are paid promptly, and that the risk of non-disclosure is significantly reduced."

Based on all of its claims it paid out last year, LV= reports that:

  • The top three causes of income protection claims were mental disorders (30%), musculoskeletal disorders (20%) and circulatory disorders (11%);

  • Cancer claims accounted for more than two-thirds (69%) of all critical illness claims;

  • The average age of female income protection claimants was 44 years, while men who claimed were on average three years older;

  • For critical illness policy claims the average woman's age was 45 years, and 51 years for men.

Kevin Carr, Head of Protection Strategy at Lifesearch comments: "We applaud LV= for publishing their claims statistics and believe that this kind of move is crucial for the development of clarity and transparency in the industry. LV= is directly helping consumers to realise the value of protection, which is particularly important in the current economic climate, and also helping to improve consumer trust – all of which is good for consumers, financial advisers and product providers."

LV= has produced a guide entitled " Critical Illness and Income Protection claims 2007 – Our claims performance ". This is designed for financial advisers to use with their clients to help them understand the application process, exactly what information is required, and the added value benefits of LV= policies which include the Extra Care claim support service and the highly regarded tele-interviewing process.

Actual consumer case studies are also included in the LV= guide, to explain the UK's largest friendly society's positive approach to paying claims, and the importance of full disclosure.

Chris McFarlane continues: "Protection is about more than just providing cover at a competitive price. As an expert provider we believe it is important to educate and inform consumers, and also to give financial advisers the tools to enable them with their clients too. By providing clear communication, coupled with the additional benefits of our expert tele-interviewers and our ‘more than a cheque' Extra Care advisory and support service at the point of claim, we are offering consumers a total protection service to give them peace of mind on all fronts."

For further information and a copy of the '2007 Critical Illness and Income Protection Claims' guide advisers can visit www.lv.com/adviser.


LV=
LV= is a registered trademark of Liverpool Victoria Friendly Society Limited and LV= is a trading style of the Liverpool Victoria group of companies. The new LV= brand identity was launched in March 2007.

LV= employs almost 1,800 people, serves more than 2.5 million customers and members, and manages more than £8 billion on their behalf. We are also the UK's largest friendly society (Association of Friendly Societies Key Statistics 2007. Total net assets) and a leading mutual financial services provider.

Liverpool Victoria Life Company Limited registered in England No. 597740, authorised and regulated by the Financial Services Authority, register number. 110423.

Liverpool Victoria Friendly Society Limited (LVFS) is authorised and regulated by the Financial Services Authority, register number 110035. LVFS is a member of the ABI, AFS and ILAG. Registered address for both companies: County Gates, Bournemouth, BH1 2NF.
uk.