We're always excited to tell you about the new trends in the insurance industry as it relates directly to the type of cover you take to insure you and your loved ones from life's unexpected events. Liberty's Claim Statistics for 2018 reveal an important shift in the long-term insurance market.
In 2018 Liberty paid claims to the value of R4.69 billion to 28,453 individuals and their beneficiaries. A significantly higher proportion of claims are paid to survivors of life-changing traumatic events. If you haven't met with your financial adviser yet this year, this data can help you to have a robust and informed conversation around the type of risk cover you should have in place.
69.22% was paid for surviving claimants - only 30% for death claims
Traditionally, life insurance has been more appropriately described as death insurance because the policy pays money to beneficiaries at the policyholder's death. However, advances in medical technology and early diagnosis of critical illness are seeing more people recovering from adverse events. Now claimants and their beneficiaries need to manage the cost of survival and it is time that the industry changes the conversation.
According to Liberty's Claim Statistics for 2018, the increase in survival claims was seen across the country, emphasising the importance of including lifestyle protection in your long-term insurance cover.
Percentage of survival claims countrywide
- Limpopo - 81.82%
- Mpumalanga - 71.95%
- Free State - 70.83%
- Northern Cape - 69.23%
- KwaZulu Natal - 68.67
- Eastern Cape - 68.06%
- Gauteng - 67.50%
- North West - 66.67%
- Western Cape - 63.19
Ursula Torr, Lead Actuarial Specialist at Liberty tells us that, "As a result of this emerging trend in survival, long-term insurers and financial advisers should consider providing you with a good balance of lifestyle protection cover; and not just death insurance. Even though cancer remains the highest cause of claims, statistics are showing that people are living longer."
At Liberty, we are constantly looking at ways to improve our solutions in line with evolving trends, and in accordance with your life stage. This is why it is so vitally important that you meet with your financial adviser and use these insights to check that you are adequately covered for life's unexpected moments.
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