Third of protection clients nearly cancelled cover before claiming

Almost a third of protection claimants at Waddle Insurance had considered cancelling or had nearly lost their cover before needing to make a claim, according to the firm’s inaugural claims report.

The protection advice specialist said 32% of claimants in 2025 had either allowed payments to lapse or were close to cancelling their policies before speaking to an adviser.

The data also showed that claimants had held their protection policies for an average of just two years before needing to claim, underlining the importance of early conversations around income protection and family financial resilience.

Waddle Insurance said more than £1m had been paid out in protection claims during 2025, with 95% of valid claims either paid or currently in progress.

CLIENT ENGAGEMENT

The figures are likely to reinforce calls for advisers to maintain regular client engagement and policy reviews, particularly as affordability pressures continue to place household budgets under strain.

The report found that 76% of clients approached Waddle directly to begin the claims process, while a further 9% of claims were identified during client reviews.

Family financial dependency also featured heavily across the claims data.

Waddle said 73% of income protection claimants were the sole financial provider within their household, while 82% of all claimants had children.

The firm also warned that missing or outdated information could significantly delay claims processing, adding an average of 40 days to completion times.

HELPING PEOPLE

Nathan Wootton (main picture), operations director at Waddle Insurance, said: “I’m proud of the consumer-centric culture we’ve created at Waddle Insurance and our 2025 claims figures show just how vital it is to have a continuing dialogue with clients.

“It is this focus on knowing our customers and their needs that has helped to make sure 95% of valid claims for last year have been paid or are in the process of being paid.

“Our data shows that not having the correct information can significantly delay claims completion, adding on average 40 days to the journey.

“Our business is about helping real people who are experiencing real problems. Taking time to know them, their priorities and keeping their records up to date means we can be there to support them when they need assistance the most.”

GREATER CLARITY

Naomi Jeffs, Head of Claims, Waddle Insurance — Naomi Jeffs, Waddle Insurance

Naomi Jeffs, head of claims at Waddle Insurance, added: “I’m proud to introduce our first Claims Report – designed as a toolkit of sorts, created to give clients greater clarity and provide reassurance at a critical time.

“Too often, people are left questioning what happens next during a claim, but this report brings transparency to the process, showing that insurers do pay claims and offer meaningful support beyond the payout.

“By shedding light on the realities of claims, we aim to remove uncertainty, guide clients with confidence, and help shape a clearer, more supportive path for the future of personal protection.”