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FNB Life says death-related insurance claims are normalising to pre-Covid levels

23 June 2022 FNB

Claims data suggests the impact of Covid-19 on loss of life is waning

FNB Life has revealed that in the last six months, its customers' death-related insurance claims have returned to pre-Covid 19 pandemic levels. The insurance provider says the fourth and fifth waves were less severe compared to the first three waves.

Prior to the COVID-19 pandemic, FNB Life paid out an average of R99 million in death-related claims per month. However, between the first and third waves of COVID-19, this increased significantly, peaking at around R300 million in monthly pay-outs. FNB Life disclosed in March of this year that it had paid out more than R2 billion in life insurance claims to its customers in the previous year.

"At the height of the pandemic, we significantly improved our capacity to process high volumes of claims and pay-outs," says Lee Bromfield, CEO of FNB Life. While we have been able to assist beneficiaries during this difficult time, we are also pleased to see that the impact of COVID-19 on loss of life is starting to fade. This is also reflected in our monthly death-related claims across all of our life products, which closely correlate with the COVID-19 national database trends."

"Our life insurance business was founded with the primary goal of serving customers in their time of need, and we are accomplishing that goal by constantly disrupting the traditional insurance market. We've democratised access to life insurance through FNB's digital platform by developing cost-effective solutions with simple sign-up and claims processes," Bromfield adds.

FNB Life recently announced that it has reached a new milestone of R500 million in proactive claims paid out since 2018. It is the only life insurance provider that processes pay outs proactively. When a policy holder passes away, the insurance provider initiates this process on their behalf by proactively analysing data from the National Population Registry to pay out to beneficiaries.

According to independent surveys, FNB Life ranks high in customer satisfaction when compared to other life insurance providers on the market. For the fifth consecutive year, it was ranked as one of the top three leaders in the annual The South African Customer Satisfaction Index (SAcsi).

Quick Polls

QUESTION

We have watched with interest as each of the country’s large life insurers report their 2021 life claims statistics, with soaring claims and claims values. That got us thinking: how do the big life insurers compare against one another, from an IFA perspective?

ANSWER

An insurer is an insurer is an insurer
All are excellent: would not deal with them otherwise
There is one insurance brand that stands out for me
Tied agent: but my brand is the best out there
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