The pandemic has seen 47% of UK adults experience mental health challenges as people faced financial hardship, relationship stress and sleepless nights.

New research from Scottish Widows has found that only a small proportion of people notify their insurer of a mental health condition in the mistaken belief that it will affect their ability to take out life insurance or critical illness cover. This means they might not have adequate cover or access to support provided by their insurer.

30% of people report that they currently have a mental health condition or have experienced this previously. However, only 44% have informed their insurer.

There remains confusion around what can, or should, be said to an insurer when it comes to physical and mental health. Of those who did not disclose a mental health condition, 37% thought their provider would only be interested in physical illness. 26% felt it was personal and so would rather not share their condition with their provider. 18% worried they would not qualify for a policy or would be charged more.

Scottish Windows said that declaring a mental health condition does not necessarily mean higher premiums and it is unlikely to mean someone is ineligible for protection cover. Scottish Widows works with RedArc, a team of registered mental health nurses who can provide customers with a listening ear, as well as long-term support and guidance.

Rose St Louis, protection director at Scottish Widows, said: “People are confused about how mental health conditions affect their critical illness cover or life insurance, which prevents them from getting the right support. Insurers aren’t trying to catch people out – we are there to help our customers. It’s vital we have the right information in order to do this.

“This isn’t just up to customers, though. The whole industry needs to ensure people know they won’t be penalised for their mental health disclosures. The challenges of the last 20 months have highlighted the value of protection policies for families and individuals in difficult times. We need to make sure everyone knows there’s a policy for them, no matter what they are going through.”