ABI Publishes New Standard TPD Definitions

pedro123456

So you agree that there is lack of public confidence, that’s a step in the right direction, although if we are offering opinions, I would say there is a lack of public confidence over the whole insurance industry, not just CI, it would include car insurance/home insurance etc.

And you think that if 100% claims are paid out people would still complain? Why? , what is the “claim rate” for CI?

The IC has got all their get out clause and loopholes piled up to the rafters, can a decision be over turned?, how many actually get overturned, not many I wouldn’t think, and of course there must be claims turned down that never get to the FOS.

I don’t “think” IC definitions are unfair at all I “know” they are.
Simply definitions by the IC for the IC, with no independent input from the medical profession (CI definitions)
Is my view bias? You refer to people you know that were grateful for CI cover, are you bias then? you also work within Insurance it in your interest to promote Insurance products another reason for bias maybe?


CI cover is a gamble, a gamble that you have to claim in the first place and a gamble that you get a settlement if a claim is put in, it is a gamble that favors the bookies (insurance company)


TPD would be the most problematic, by the time the IC have dissected/analyzed the meaning of total and permanent and disability individually, and then lumped them all together for an individual to meet, it a nigh on impossible definition to meet, full of loopholes.

I welcome these recently published changes and I am confident that these will have a further positive effect on claims statistics going forward and public confidence in critical illness cover as a whole.

This sounds like a press statement :rotfl:

And as for this foolish comment “I don't see how you can hope to achieve your aim of putting people off critical illness cover”
Lets make this clear, people have choices as to have CI or not, that aint my concern, I just want to highlight the imbalance of power that the IC holds, and that the consumer has to look, how this power will affect their ability to get a settlement should they be unfortunate enough to have a CI.

OshayAway

Pedro, literally hundreds of millions of pounds of critical illness claims are paid every year in the UK. The paid claims statistics have been steadily rising to almost mid 90's% and the 2010 figures will be out shortly.

How overwhelmingly high do these facts have to be to affect your conspiracy theory?

pedro123456

OshayAway I think you have got the wrong end of the stick, so let me add some clarity for you.

I didn't ask how much was paid out, I asked for the % of claims, ie how many claims are actually made?

With this % figure. we can understand the "likely hood" of a CI claim.

Is that question clear enough?

OshayAway

pedro123456 wrote: »

OshayAway I think you have got the wrong end of the stick, so let me add some clarity for you.

I didn't ask how much was paid out, I asked for the % of claims, ie how many claims are actually made?

With this % figure. we can understand the "likely hood" of a CI claim.

Is that question clear enough?

Well, it is impossible to say for one very obvious reason. Critical illness cover is by it's very nature a long term product. Term length is typically in excess of 20 years, some as long as 40 years. If it was an annual product like car insurance, those figures would be available.

I can tell you that an individual is much more likely to claim on a CI policy than term life assurance policy, which is why it is comparably more expensive. I can also tell you that average age for a policy holder to claim on their CI policy is early to mid 40's and that average length of time that a policy is in force before a claim is made is circa 6 years.

Underwriter

pedro123456 wrote: »

I don’t “think” IC definitions are unfair at all I “know” they are.
Simply definitions by the IC for the IC, with no independent input from the medical profession (CI definitions)

I'm new here but I think that either Pedro has an axe to grind or else these comments aren't made seriously perhaps???


Of course the insurance industry has independent input from the medical profession, don't be so silly! I can absolutely promise you that every single critical illness definition has been scrutinised by doctors not only for the ABI but for every single reinsurance company as well as individual insurance companies. All the definitions are is descriptions of medical conditions.

I also pay claims and I know for a fact that we do not use the definitions to get out of paying claims. The trouble is that on the few we have to decline it's because the policyholder has either lied on their application form, or else they just haven't got the illness they thought they had.

If you want % of claims paid then google it, it's publicly available information :T