AIG Life has announced it paid out 90.2% of critical illness (CI) and children's CI protection claims and 92.2% of life insurance claims in 2014.
This is increase of 7.8% points on life insurance claims paid in 2013, the insurer formerly known as Ageas Protect has said.
Key statistics include:
• Over £13.7m paid out for CI and children's CI claims in 2014;
• The average sum paid to critical illness customers `was £71,100;
• The average age of critical illness claimants was 43 years old; and
• Cancer remains the most common cause of critical illness claims at 53%, followed by children's CI causes at 15%, along with stroke and heart attack or related conditions at 6% each.
Looking at cancer claims in detail, the top five causes for claim in 2013 were as follows:
1. Breast cancer - 46%
2. Testicular cancer - 9%
3. Colon cancer - 6%
4. Kidney cancer - 5%
5. Skin cancer - 4%
The number of children's CI cancer claims rose from 12% of claims in 2013 to 15% in 2014.
AIG Life said cancer was again the top cause for children's CI claims last year, making up over 50% of children's CI claims.
The insurer also continued to focus on providing benefits to its customers and their family members.
In the last 12 months, AIG Life provided 27 customers with payments from the claims support fund. This is available on all AIG life critical illness policies to cover the costs of travel to and from hospital, up to the value of £300.
Steve Casey, head of marketing & propositions at AIG Life, said: "The figures that we publish today are in keeping with the size and maturity of our portfolio. The percentage paid figures are higher than last year which we predicted would be the case. Of greater importance, however, is to look under the headline figure and understand the causes of claim.
"The percentage of claims paid for a children's critical illness on last year's figures demonstrates the importance of having a financial parachute in place should a child fall seriously ill. The emotional impact of a child's illness on a family will likely be tough to endure but with some financial support the pressure can be eased a little."
Of the CI claims not paid in 2013, 4.6% were declined because of non-disclosure, and 5.6% were declined for conditions not being met.
Further reading
Ageas Protect rebrands as AIG Life
