The most recent details of actual claims paid out by Aviva Life for the year 2023. This was the highest level of claims that the company has ever paid in Ireland and  in one hand it is good information just to show why the cover is so important to have.

Source Aviva Ireland: Published: 15 Apr 2024

Aviva Life & Pensions Ireland DAC (Aviva), one of Ireland’s leading insurers, today reported that the company paid out €121.1 million in claims to customers with protection policies in 2023, the highest value paid to date (2022: €118.6 million).  The company paid €121.1 million to over 2,600 – (2022: 2,628) with life, specified illness, and income protection policies last year.  Income protection claims increased by €3 million and specified illness claims by €3.6 million, while life insurance claims reduced by €4.1 million last year. A further €250,000 was spent on rehabilitation for customers with claims, an increase of €50,000 over the 2022 statistics.

Specified illness claims

Some 163 customers who were diagnosed with a specified illness were paid €17.8 million (2022: €14.2 million) in 2023.  Whilst breast cancer and other cancers has been the primary reason for specified illness claims from females for some time, the incidents of breast cancer reduced by 3% last year following a stark 21% increase in 2022, bringing the total claims for breast cancer to 52%.  This was followed by other cancers at 28% of claims and cardiac and stroke at 10% for female claimants, the latter up from 6% in 2022.  The primary cause of claims for males remains cancer at 56%, cardiac at 33% , with strokes at 6%.

The youngest female claimant was 32 years of age and the youngest male aged 38.  The earliest female customer claim was paid out after just six months of the policy being taken out, and 16 months for a male claimant.  The largest claim paid last year was €2.9 million, up from €950,000 in 2022.

Death benefit claims

Aviva paid out €52.3 million (2022: €56.4 million) on 454 (2022: 471) death benefit claims, with the largest single claim pay-out of €1.9 million. €700,000 more than the prior year.  There were no changes recorded in the top three reasons for the claims which continue to be cancer, cardiac and respiratory issues. We write in more detail about life insurance in our blog https://www.ubezpieczenianazycie.ie/…/ubezpieczenie-na…/

The value of holding life, specified illness and income protection cover is only fully realised when a claim is made. Paying claims is at the heart of what we do, and we are always pleased to support our customers in what is generally a very stressful time when dealing with the death of a loved one or coming to terms with a specified illness or having to stop working for a period due to illness or injury. Having a regular income or receiving a lump sum can help alleviate financial concerns when someone is dealing with an injury, illness, or the death of a loved one.

The reality is that, in the unfortunate event that we experience illness or injury during our lifetime, we must continue to pay our bills that likely include our mortgage or rent, living costs and other expenses. We believe that having some financial protection is better than none and recommend that those in employment speak with a financial broker who can help them plan the best protection option suitable to their specific circumstances and budget. You can learn how income insurance works from our previous blog https://www.ubezpieczenianazycie.ie/ubezpieczenie-dochodu-2024/

Customers taking out an income protection policy can protect up to 75% of their income, or choose a lesser amount if affordability is an issue. Our average annual benefit paid last year to individual income protection customers provided approximately €976.00 per week (males) and €940.00 per week to females. These sums represent a substantial uplift on the weekly State Disability benefit of €232.00 which is what individuals with no income protection cover can expect to receive if they are unable to work because of injury or illness for an extended period

Author: Siocha Costello, Aviva