Meet the For Adviser use only people behind the numbers...1 Legal & General Claims Statistics 2019 The people behind the numbers Contents page Meet our Managing Director for Distribution

Meet the people behind the numbersOur claims statistics 2019

For Adviser use only

1 Legal & General Claims Statistics 2019

Contents pageThe people behind the numbers

Meet our Managing Directorfor Distribution

2019 in numbers

Our customers

20 - 29 year olds

30 - 39 year olds

40 - 49 year olds

50 - 59 year olds

60+ year olds

Why people are claiming

Regional claims data

Help us to pay more claims

Our claims teams and advisers

Our claims process

The people that make it happen

Meet our Director of Claims and Underwriting

What our customers have to say

How we’re keeping our promise

Going further for customers

What’s inside



During these uncertain times, providing a range of comprehensive protection products to our 4.4 million customers is more important than ever. But it’s not just our customers we’re supporting.

Our inclusive capitalism approach means we do the right thing for our customers, and invest their money in things that benefit everyone. We’re not just motivated by profitability, we want to answer the social challenges of our communities – it’s about using capital for good.

We’re moving from being the market leader to leading the market, and want to help customers at challenging times in their lives by providing financial support. As you will see from our claims record, our key focus is to help customers when they’re at their most vulnerable, and I’m very proud of these figures.

People think that insurers look for reasons not to pay out, but that’s not how we work. We ensure we pay as many claims as possible, as quickly as possible, and give our customers the best service at this very difficult time.

In fact, we’re so committed to paying claims that we’ve signed up to The Protection Distributors Group Claims Charter. It ensures we deliver the highest standards to our customers throughout their claims process.

After all, our statistics are more than just numbers, they are real people that we’ve helped in their time of need.

Thank youAli Crossley

Contents page

Meet Ali, our Managing Director for Distribution


Contents pageThe people behind the numbers Contents page

more than 2018

An extra

£93 millionpaid out

And over 5 years, that’s

£2.9 billion

paid out per day

£2 millionpeople helped

15,433paid to individuals and

their families

Over

£731 million

2019 at a glanceWe’re in the business of protection, so paying out claims is fundamental to our business – it’s why we exist. These figures show our commitment, and how we’re there for your clients when they really need us.



Our customers


The people behind the numbers Contents page



People often think they’re too young or too healthy to start thinking about protection. But as our figures show on the next few pages, a lot of our customers might be younger than you think. We’ve broken these figures down to show average payout and average policy length per

product before a claim was made amongst different age groups.

By providing this information, we hope to challenge some of the misconceptions people have, and showcase how important it is to ensure your client and their family have the protection they need.

When our customers need us most, we’re there

Contents page



Life Insurance

£271,118Average payout amount

3 yearsAverage length of policy before claim

Terminal Illness Cover



Critical Illness Cover



Income Protection Benefit

£819 per monthAverage payout amount


20 - 29 year olds



Life Insurance












30 - 39 year olds

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Life Insurance












40 - 49 year olds

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Life Insurance(combined with over 50s)










£1,056 per monthAverage payout amount


50 - 59 year olds

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Life Insurance(combined with over 50s)












60+year olds



Below are the top 3 reasons people are claiming, and the number of claims that have been made across all protection products for these specific conditions.

Why people are claiming

The need for protection People always say it’ll never happen to them, but the reality is illness and death can hit families at any time, so it’s important to have a plan in place should the worst happen

Did you know?

Every four minutes someone in the UK dies from cancer

Stroke is the fourth biggest killer in the United Kingdom

Mental ill health, stress, musculoskeletal injuries and acute medical conditions are most commonly responsible for long term-absence from work

An average of 460 people a day will lose their lives to coronary heart disease

*Not all types of cancer are covered under critical illness cover plans. Sources: Cancer Research UK, British Heart Foundation 2019, Stroke Association 2018, Mintel 2019.

Critical Illness Cover Children’s Critical Illness Cover

Cancer*

2,222Heart Related412Stroke199

Cancer 88

Children’s Funeral Benefit 19

Stroke 3

Blindness 3

Life (combined with Over 50s)

Cancer3,923Heart Related1,932Pneumonia / Bronchopneumonia579


Cancer1,004Motor Neurone Disease 28Chronic Lung Disease 7


Musculoskeletal51Cancer27Mental Health18



Regional claims data

East Midlands1,167

East of England1,435

London1,074

North East708

North West1,753Northern Ireland

586

Scotland1,863

South East1,988

South West1,190

Wales835

West Midlands1,287

Yorkshire and The Humber1,376

The map opposite shows Legal & General’s total amount of claims made for Life Insurance (combined with over 50s), Terminal Illness Cover, Critical Illness Cover, Children’s Critical Illness Cover and Income Protection Benefit, which have been recorded within each region in the UK.*

*It does not provide a true representation of total policies held in each region or a reflection of

death or illness, but simply the total volume of protection claims recorded per region.

500 - 900

900 - 1,200

1,200 - 1,500

1,500 +



In fact, it’s the complete opposite. We’re committed to paying as many claims as possible. So to ensure your clients have the right cover, and that their claims are accepted, it’s important to make sure they’ve provided us with the correct information.

Opposite are some of the common areas where mistakes are made on the application or customers forget to inform us. Please run through these with your clients to make sure they have cover in place that meets their needs. We want to avoid inaccurate information as much as possible, as this can impact the decision when it comes to claiming.

Alcohol

Your client needs to consider all parts of the alcohol questions carefully. Many people who have received medical advice to reduce their alcohol consumption don’t tell us.

Weight

If your client is uncertain of their current weight, please ask them to weigh themselves and advise them to be as accurate as possible.

Neurological problems

Your client needs to tell us about any episodes of blurred/double vision and numbness/tingling.

Symptoms not yet diagnosed

Remind your client to disclose any symptoms, or if they’re undergoing any tests which have not yet been officially diagnosed.

Smoking

It’s important people don’t think this question refers to regular smoking only.Your client must disclose even the occasional cigarette/cigar they have. If they have given up smoking, it’s also very important that they provide an accurate date when they last smoked.

Checking Your Details (CYD)

Always remind clients of the importance of completing a CYD and logging onto My Account. It protects the adviser, as what was captured on the application is said to be a true and an accurate account.

Help us to pay more claims

Contents page

People think that insurance companies don’t pay out. A recent report by Mintel discovered that 54% of adults aged 18+ think that insurance companies will always try to get out of paying a claim.




Our claims teams and advisers


The people behind the numbers Contents page



Whilst our claims are all about our customers, we also recognise the importance of the people that make it happen – our advisers and claims teams.

These vital roles help us protect more people and pay out more claims. It’s not just about

providing advice or processing claims, it’s also understanding customers’ needs and helping them access the financial protection they need, to look after their loved ones should the worst happen.

Vital roles that make it happen



Our purpose as a business is to support our customers at some of the most challenging times in their lives. An unexpected change in circumstances such as a critical illness diagnosis or the loss of a loved one can have a devastating impact on a family. For those facing a life-changing condition or grieving over the death of a family member, the importance of financial protection cannot be overstated.

We take incredibly seriously the responsibility of financially supporting our customers at

their most vulnerable. Last year we supported over 15,000 people through paying their claim. But behind our claims statistics are real people: families who have lost a parent, renters who are unable to work due to illness or injury, and individuals who have been diagnosed with life changing critical illnesses. We will continue to place our entire focus on providing this vital financial protection for our existing and new customers alike.

Thank youDavid Banks

Meet David, our Director of Claims and Underwriting



At Legal & General, we strive to pay every claim, because we know it could make the difference in helping to continue with the lifestyle your clients are used to, or not, should the worst happen.

We also know how important it is to work closely with customers and their advisers, ensuring they have the support they need, as well as making the claims process run as smoothly as possible.

After all, ensuring the right outcome involves the effort of many people, as you’ll see in these examples.

“I started working for Legal & General in October 2016 within the customer application support team, dealing with new policies. But I quickly realised that I really wanted to work within claims.

The great thing about working in claims is that we’re all part of one team, and all follow similar processes. Following the initial call from the claimant, the information received may then be reviewed by an assessor. They’ll decide if we need medical evidence or not, and will call and speak with the claimant. The assessor will keep the claimant updated throughout the process whether it’s by a text message, over the phone or e-mail.

Occasionally, I’ll get a call from a claimant where they’ve missed a callback from the assessor. If the assessor was calling with good news, I’m able to tell them it’s been approved. You can just hear the relief in their voices when they find out the money will be in their bank account within a week.

What helps us make a real difference is that we’re trained and support each other. As you can imagine, some of the calls can be quite hard emotionally, but we’re there for each other.

With the nature of insurance, everyone automatically thinks that companies are going to try everything to avoid paying out. People are nervous and very suspicious about the product. So, it’s great to hear their response when they gain that reassurance that it’s going to pay out - it’s like ‘oh thank God’.

One thing I’ve also learnt, is nearly every claimant you speak to says that they don’t know what they’re doing. But using our experience and knowledge, we’re able to explain every step about what’s going to happen. It’s about laying out all the expectations so they have a clear understanding of the process. Helping them through a tough time is immensely rewarding, and at the end of the call they’ll say ‘you made that so easy, I was really worried that was going to be hard’.”

Meet Claire,Our Claims Handler

“I’ve been helping people with their insurance needs for 11 years, so I’ve got a good knowledge of protection products. So, when a client of mine cancelled her direct debit as they were in the process of taking out a new plan in-line with their mortgage through another broker, I got in-touch. I advised her not to cancel her old plan as the new one hadn’t been agreed yet. I then discovered that she’d applied for other plans, but had been rejected because she had melanoma. Even though she was taking out a plan with a different broker, I feel if you arrange a plan for a client, you should see it through to the end.

After speaking with Legal & General, I discussed with my client and advised her to put in a claim. To my surprise, and the client’s, the claim was successful as it met the policy’s definition of a critical illness. After a 3-month window of it being approved, within days she had £150,000 in her bank account.

I think initially she was in shock because she felt she hadn’t been that ill – it took a lot of convincing that it was completely genuine; ‘this is your money, it’s your policy which has paid out’. A lot of people think you have to have something really serious before the plan pays out - but as this story shows, that’s not always the case. And you’re never too young to have cover. This client was under 30 – that’s why I always say, you never know what’s around the corner, so it’s good to have something in place. What’s more, it’s a good time to get cover when you’re young because you’re fit and healthy, and more likely to be accepted.”

Meet Ben,The Adviser

The people that make it happen

To read more Adviser stories head to our Hero in the Middle page on our Adviser Site

https://www.legalandgeneral.com/adviser/protection/doing-business-with-us/hero-in-the-middle/


Contents pageThe people behind the numbersOur claims processAt the time when your client’s family needs us the most, our team of claim assessors are ready to step up and support them through the claims journey. Unlike some of our competitors, we don’t have any cut off periods, so claimants can contact us when it’s right for them.

Below is an outline of our claims process, and how you and your client can help ensure claims are paid efficiently.

Contents page

Step 2Once we’ve received the claimants claim pack back, we’ll do one of three things:

If the pack is incomplete, we’ll send it back to them.

Pay the claim.

Refer the claim to health professionals.

1.

2.3.

Step 3Sometimes, we need to refer the claim to our health professionals. If this is the case, it may take a little longer to pay the claim while we’re waiting for information from third parties (e.g. NHS, Consultant etc.)

Unfortunately, we can’t progress any claims until we get this information. Don’t worry, our team will keep your client or their family updated. We’ll also let your client or their family know if we have accepted or declined the claim.

Step 1The initial phone call to start the claim will take around 30 minutes. For Bereavement Claims, the caller will need the death certificate and the Will if there is one. Our team will then send out the claim pack to be completed and returned. If they prefer, we can send out the pack via email – whatever’s easier.

• Ask the GP to keep the medical records for longer - usually they are removed from the surgery 28 days after death, which can delay claims by up to 6 months or more.

• Use email to complete your claim pack if possible.

• If we need medical reports, contact the relevant doctor and ask them to send it to us.

Speeding up claims There are a couple of ways your client can ensure their claims are paid quicker:



Numbers are important, but behind each one is a person that we’ve helped in their time of need. We work closely with our customers and advisers to make sure every claim is dealt with smoothly and quickly.

After all, paying claims is the most important thing we do.

Take a look at how our claims process has helped make a difference to our customers, when they need us most.

Meet Dave“From start to finish they were all professional, sympathetic and understanding. They didn’t make the process difficult, and they went above and beyond to make it easier for me by doing all the work when the claim was submitted - thank you.”

Meet Susan“Everyone I spoke with was very appreciative of the situation and dealt with my enquiries with great patience, tact and understanding. I could not have asked for better. Any time frames given for things to happen were not only met, but exceeded. Superbly professional in every respect too.”

Meet Richard“The claim was completely hassle free, relevant documentation was sent, and very little else was required from me. At what was an extremely difficult time, this was very helpful.”

Meet Julie “My claim was dealt with over the phone, so it avoided reams of paperwork. Staff were excellent, and they went above and beyond in processing and assuring me all was in hand. My claim was due to a bereavement and the team were respectful and considerate.”

What customers have to say




You saidClaimants weren’t aware how long a life insurance

claim could take, as it’s not a common experience.

You saidClaimants were finding it hard

to keep track of what was happening with their claim.

We listenedCreated an infographic that clearly outlines our claims

process, giving clarity on what to expect from the outset.

We listenedImplemented a consistent

communication strategy, sending SMS updates to claimants regularly letting them know

where their claim was at, and what action may be needed.

This ensures we really keep our claimants informed.

What’s coming up• We’ve streamlined our claims

pack, creating a simple, easy to understand, pre-populated form. This uses the information we know about the claimant already, making it easier for them.

• We’ve created a bespoke claims system to simplify the claims journey. It will help shorten end-to-end times for claimants, and give us the ability to communicate regularly, keeping them up to date with their claim.

How we’re keeping our promise

Contents page



Paying claims is one thing, but we go much further than that.

Whether it’s looking at new ways to improve our service, to helping people understand the importance of having protection in place, we’re always going the extra mile to provide our customers with the service they deserve.

Trained claims assessors We understand that when it comes to making a claim, it can be a difficult time. That’s why we have over 60 trained claim assessors who handle each claim with compassion and understanding.

After all, customers have enough to cope with already, so we want to make the claim process as quick and efficient as possible for all concerned.

Claims Charter We’ve signed up to The Protection Distributors Group’ Claims Charter as part of our commitment to deliver the highest standards to our customers throughout their claims process.

The Protection Distributors Group (PDG) want to build trust within the insurance industry. Their purpose is to help families find the protection they need, and encourage insurers and intermediaries to deliver better customer outcomes.

The Claims Charter set high standards, and below are some of the ways we’re meeting these:

• Dedicated claims teams• Regulated decision-making process• Named point of contact• Keeping intermediaries informed• Funeral Payment Pledge and

advanced payments• Payment within 72 hours

Advance payments forfuneral costs

We recognise that families having to deal with bereavement, can find themselves in situations where they face unexpected financial costs, in what are already upsetting circumstances. That’s why families can receive an advance payment of up to £10,000 on any valid claim to cover the cost of a funeral. All Life Insurance policies with a Death Benefit Claim could qualify for an advance payment. Depending on each valid claim and the circumstances, we can pay the Funeral Director directly if we are not already in a position to pay out the full claim value and if the funeral payment is still outstanding.Policies that don’t qualify for advance payments for funeral costs are Assigned, Under Trust or subject to bankruptcy.

Supporting 7 families To show the importance of having protection and the need for people to plan ahead, Legal & General are also supporting the 7 Families campaign. It provides a tax-free income for one year to seven people who have lost their income because of a serious or long-term illness or disability.

The aim is to highlight the need for people to plan financially. Disability Rights UK are working with seven families where the main breadwinner has been forced out of work by an accident or illness, and not received any related insurance pay out.

The campaign has three aims: To raise public awareness of the financial impact of long term illness or disability; to help seven real families who are facing financial meltdown; and to demonstrate the value of independent living support, rehabilitation and counselling, through trying to help get people back to work.

Our customerexperience team Providing the best service to our customers is all about listening to their needs. That’s why, our Customer Experience team work tirelessly across all areas of our Insurance Division, gathering customer feedback, so they can improve our service.

We’ve made a promise, and that’s to support our customers and their loved ones when they need us the most, ensuring that all valid claims are paid with accuracy, ease and speed.

So to do this, we needed to reimagine our communications, our systems and our processes to support our agents in building relationships with our claimants, demonstrating empathy and gaining their trust.

Going further for customers Contents page



Legal & General Assurance Society Limited. Registered in England and Wales No. 00166055.Registered office: One Coleman Street, London EC2R 5AA. We are authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority

QGI0016439 06/20

For more informationplease speak to your Business Development Manager

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Meet the For Adviser use only people behind the numbers...1 Legal & General Claims Statistics 2019 The people behind the numbers Contents page Meet our Managing Director for Distribution