97 percent of life cover claims paid out by Scottish Provident

Wednesday, June 9, 2010

Scottish Provident announced this week revealed that it paid out 97 percent of all life cover claims last year and also stated that their life cover rates will be undergoing extensive re-pricing in the second half of this year.

For example, a female, smoker, aged 25, that is on a 25 year policy of a level lump sum of £500,000 would previously have paid £24.87 a month.

As a result of the re-pricing plan, a new customer will make a saving of 17.7 percent as they would only have to pay £20.47 a month.

Head of marketing at Scottish Provident, Susan Barclay commented:

“Today’s reprice announcement shows Scottish Provident is committed to providing our customers with the best possible deals in the market. At a time when many people are struggling to make ends meet, we are determined to give our customers the best possible chance to feel financially secure. And the great news is that our life cover claims data for 2009 reflects just that.”

Scottish Provident provides life cover as a part of its Self Assurance plan, which also offers income protection, critical illness and unemployment cover. The plan will pay out either a lump sum or monthly installments in order to offer financial support for the plan holder or their families.

Earlier this year, Scottish Provident revealed that it had paid out on just over 91 per cent of critical illness claims, totalling nearly £94 million in 2009.