LV= paid out a record £137 million in personal protection claims in 2024, up £2 million on the previous year, according to figures published in its latest claims report.
The investment, protection and retirement specialist supported nearly 8,000 individuals and their families during the year, settling 95% of all individual protection claims across life insurance, critical illness and income protection.
The insurer has now paid out over £630 million in personal protection claims in the past five years, assisting nearly 38,000 claimants through what it described as some of the most difficult periods in their lives.
COMMON CAUSES
The largest proportion of 2024 claims – more than £80 million – related to life insurance and terminal illness, with LV= paying out in 97% of cases. Cancer was the most common cause of death (40%), followed by heart-related conditions (20%), respiratory disease (11%), and dementia or stroke (4%). The average age of claimants was 66, with the youngest just 24 years old.
Critical illness claims totalled more than £33 million, supporting over 429 individuals and families. Cancer was again the dominant cause, accounting for 65% of all claims. Breast cancer was the most common form (33%), followed by prostate (16%) and bowel (8%). The highest single critical illness payment exceeded £750,000.
Income protection claims accounted for £18.2 million, paid to more than 1,100 people who were unable to work due to illness or injury. Musculoskeletal conditions (39%), cancer (21%) and mental health issues (15%) were the primary causes. The average length of claim was five years and eight months, with one claimant as young as 17.
One of the most high-profile cases involved broadcaster Jennie Gow, who suffered a stroke in her early 40s. Her LV= policy provided financial support during her recovery, including speech and language therapy through the insurer’s built-in rehab services.
CHILDREN’S CLAIMS
In addition, LV= paid £774,000 in children’s critical illness claims, including several funeral payments. The firm also paid almost £190,000 in parent and child cover and £85,000 through its death benefit feature.
More than £4 million was paid to individuals covered under the insurer’s personal sick pay product, designed for higher-risk occupations. Most of these claims came from HGV drivers, builders, warehouse staff, and joiners. Nearly half of claims were for musculoskeletal problems, followed by fractures and seasonal illnesses.
Anna Rogers, head of underwriting and claims at LV=, said the results marked a milestone for the business. “Reflecting on last year, I’m proud to say that our 2024 payout for protection claims totalled almost £137m, the highest on record in LV= history. Behind each of these cases is a real person, and in 2024 we supported almost 8,000 individuals and their families through the difficult times in their lives.”
She highlighted the growing importance of added-value services such as LV= Doctor Services and its Legal Advice Line. Usage of the insurer’s mental health support rose by 61% year-on-year, while overall use of medical services increased by 20%.
Rogers pointed to the firm’s Reaching Resilience research, which found that 56% of working people had experienced at least one life event in the past three years where protection could have helped. “Jennie Gow’s story is a real life example that holding a policy with LV= does not just start and finish with an insurance payout,” she added.
Despite the high rate of successful claims, LV= said around 5% were not paid in 2024. Of these, more than 70% were declined due to misrepresentation or fraud, including failures to disclose pre-existing medical conditions, smoking habits and alcohol consumption.
