Insurers have a responsibility to educate Financial Advisers about the reality of unforeseen events that occur in the lives of consumers.
People suffer needlessly everyday because they haven’t made adequate insurance provision for themselves and their families.
To this end, the claims-paying record of insurance companies is key information for Financial Advisers to use in their advisory capacity to consumers. Liberty Life was the first insurance company in South Africa to publish claims statistics; thereby highlighting its commitment to excellent service and transparency to its policyholders.
The company has once again published these claims statistics to confirm to the public that they have kept their word and paid out on claims, touching a significant number of lives in the process.
According to Neelan Porthen, Head of Risk Products at Liberty Life, ‘every well-established insurance company keeps a detailed record of the number and amount of claims that it honours in a year. These statistics should be used to highlight to consumers the importance of those monthly grudge insurance payments’.
In 2008, Liberty Life payouts surpassed the R2 billion mark; with R1.57 billion paid out in death claims to the beneficiaries of policyholders who lost their lives during the year.
A further R456 million was settled on dread disease and disability claims to policyholders that lost their ability to earn an income through disability or illness, enabling them to continue to live their lives in the manner they had worked hard for.
The following table shows the breakdown of Liberty Life’s 2008 Risk Insurance claims:
|
Amount |
Type of Claim |
Benefit Description |
|
Lifestyle Protector Claims |
|
|
|
R1.142 billion |
Death claims |
Pays upon death of the policyholder |
|
R199 million |
Dreaded disease claims |
Pays a lump sum upon the diagnosis of a critical illness |
|
R175 million |
Lump sum disability claims |
Pays a lump sum if the policyholder is occupationally disabled |
|
R30 million |
Income disability claims |
Provides a monthly income payable to the policyholder upon occupational disability |
|
Capital Alliance Claims |
|
|
|
R200 million |
Death claims |
|
|
R31 million |
Lump sum disability claims |
|
|
R6 million |
Income disability claims |
|
|
Liberty Active Claims |
|
|
|
R230 million |
Death claims |
|
|
R15 million for lump sum disability claims |
||
Porthen further adds that ‘There are many stories from consumers where Liberty Life policies have changed clients’ lives under unfortunate circumstances. These testimonials show that Liberty Life empowers its policyholders to own their lives responsibly.’
For more information and regular updates on claims matters, both consumers and Financial Advisers can refer to the Liberty Life website.
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