It is well publicised that consumers have a misconception that the protection industry does not pay claims. A recent study by EY, shows that 55%of insured consumers and 68% of non-insured consumers (within the UK), believe insurers will make efforts to not pay claims. All insurers now publish their claims paid stats that highlight claims paid are often well in excess of 90% and this data is freely available for advisers to pass on to their clients. Whilst this can help build consumer confidence it only tells part of the story and nothing quite highlights the importance of protection like a real-life example of a client benefiting from their protection plan. Many insurers now release case studies on their websites which tell the stories of claimants, how their scenario has affected them and their family and how having protection has benefitted them. This week we have brought together a collection of case studies from across the market telling such stories.

Critical Illness – Avril’s Story
After
three failed pregnancies and being diagnosed with Antiphospholipid Syndrome, Avril gave birth in 2017 but suffered a lot of pain in her back and chest. After investigations doctors found that she was having a heart attack. Avril was able to claim on her critical illness plan with Legal & General and in this story she tells us about the events leading up to her claim and how the money from her plan has helped her family.

Income Protection – Karen’s Story
When Karen’s fiancé past away suddenly in 2017, she found it difficult to cope. “I never realised the impact it would have on me, how difficult it is to carry on a normal life. Doing the job I do requires lots of energy; it requires you standing up in front of people, and I wasn’t in the right place to do that. And I knew that if I did that and it went wrong, I’d lose my customers.” Fortunately for her, an income protection policy she had taken out 7 years prior with
Aviva helped her carry on, supporting her financially until she’s able to get back on her feet.

Critical Illness – Linda’s Story
Linda and her husband took out critical illness policies over 20 years ago, at the time they just thought it was the right thing to do. Being fit and healthy, they honestly felt they would never need the cover, until many years later Linda felt a lump and was diagnosed with breast cancer. “When you’re worried about your heath, the last thing you want to worry about is money”. Fortunately for the couple, Scottish Widows were able to pay out the claim, helping them pay off the mortgage and allow Linda to focus on her health.

Critical Illness – Glenn’s Story
Glenn and his wife Janice run the Cherry Tree Home Bakery in Northern Ireland. Set up by his parents more than 50 years ago, just taking time off for a holiday was extremely tricky. in January 2019, during a routine check-up for the acid reflux he’d managed over the years, the doctors found something more serious. “Cancer”. Thankfully, Glenn had taken out a joint critical illness policy through Zurich with his mortgage 20 years ago to safeguard his family and the business. After his diagnosis, he was able to claim within days, it was accepted.

Regular readers of Protection Guru will understand that modern protection plans offer so much more than just a financial pay out. Our next story looks at how a client benefited from Holloway Friendly’s added value benefit services which aided her recovery and helped obtain treatment far quicker than she might have been able via the NHS.

Income Protection – Diana’s Story
“You never know what’s going to happen in life that affects your ability to earn”. Words Diana’s financial adviser said when recommending income Protection. Unfortunately, not to long later, Diana suffered a serious bout of stress due to her father’s health and ongoing responsibilities at work. Income protection from Holloway Friendly  helped Diana receive a proper diagnosis, formal treatment plan, ongoing therapy and an income to help cover her mortgage repayments.

Critical illness – Heidi’s Story

After noticing something strange going on with her body whilst breast feeding her second son, Heidi was misdiagnosed several times as having mastitis. After further investigations she found she was pregnant with her third child but also that she had inflammatory breast cancer. In this story Heidi explains how things went from bad to worse and how the decision to not take out critical illness cover when purchasing life cover for their mortgage was “bonkers”.

The above stories are prime examples of scenarios that happen within the protection industry on a daily basis. Providers want to pay claims, indeed no insurer will decline a valid claim. There is now an abundance of claims statistics made available by providers. These, combined with claims stories from real life claimants, can paint a powerful picture. If the industry as a whole is able to produce more stories like these we can go a long way to changing the views of consumers and give more confidence in the products that can literally be a lifeline in the direst of circumstances.

Other case studies:

Life Cover:
https://www.legalandgeneral.com/adviser/protection/life-cover/

https://youtu.be/4SD7xSIbF6A

Critical Illness:
https://www.aiglife.co.uk/globalassets/aig/advisers/knowledge/case-studies/alexs-story/2538_aig_case_study_alex.pdf

https://www.aiglife.co.uk/globalassets/aig/advisers/knowledge/case-studies/steves-story/2599_critical_illness_case_study_july_2018.pdf

Children’s Critical Illness:
https://www.aiglife.co.uk/globalassets/aig/advisers/knowledge/case-studies/ians-story-on-behalf-of-son-max/2538_aig_case_study_child_ci.pdf