Loading ...In your experience has your advice practice found that life insurers treat your clients’ claims with objectivity and fairness?
Our latest poll question was prompted by huge reader interest in our report last week laying out how an insurer went above and beyond after a customer made a complaint to an ombudsman service (see: Claim Complaint – Insurer Goes Beyond).
In essence, after an insurance ombudsman service had recommended an insurer should pay 50% of a life insurance benefit from a policy the company had deemed as lapsed, the insurer subsequently decided that the fair outcome was to pay the claim in full.
In its case study the Insurance and Financial Services Ombudsman Scheme outlined, in some detail, a complaint where a couple jointly owned a policy with life and trauma cover for the husband, and after his death the wife said she was not clearly told the policy was about to end or that it had lapsed.
IFSO says it discussed with the insurer “..our view that it was fair to share responsibility between the insurer and the policy owners and said the insurer should pay 50% of the life insurance benefit as if the policy had still been in place, less the unpaid premiums.”
“However, after reviewing the complaint and our reasoning, the insurer subsequently decided that the fair outcome was to pay the claim in full,” the case study says.
In light of this outcome we are interested to understand your experience and whether you feel life insurers treat your clients’ claims with fairness and objectivity. We’ll report back next week…