Aegon pays 98% of life claims

Income protection claims paid resulted in almost £800,000 paid in monthly benefits, as well as practical support in the form of rehabilitation services where appropriate.

Life claim payments were worth £59.8m in total in 2014, with the average size of claim paid £96,658 and the highest £4.1m for an accidental death.

The most common reason for life claims to be denied was misrepresentation, while cancer was the most common cause of death, accounting for 44% of claims, with an average age at claim of 59.

For terminal illness claims Aegon paid 95% of claims, with payments worth £25m, although part of the life protection contract for Aegon customers is assessed separately.

CI claims were paid in 93% of cases, in line with the figure for 2013, with a total value of £28.2m paid.

Of CI claims 5% were declined due to definitions not being met and 2% were due to misrepresentation.

The average CI claims was £78,520 with the highest claim of £600,000 being paid out for a breast cancer claim.

Cancer accounted for 64% of CI claims for Aegon, 13.5% were for heart attacks and 8% were for strokes.

With multiple sclerosis and benign brain tumour the top 5 conditions accounted for 91% of CI claims with an average age at claim of 48 years old.

Dougy Grant, protection director at Aegon UK, said: "We have reported our claims experience for around 8 years and over the years we've worked hard to reduce incidents of misrepresentation and ensure that customers have the best claims experience. 

"The strength of these figures is a credit to the quality and clarity of our proposition as a whole.

"We always look to pay claims, putting customers and their needs at the heart of what we do. We value our customers beyond the point of sale and through the life of the policy.

He added: "As part of our mission to provide a seamless claims experience, we continuously improve our claims process and this year will enhance our systems to ensure our customers receive the best experience."