Does Income Protection Ever Pay Out?
Yes, income protection does pay out. The ABI reports that around 91% of claims are successful - one of the highest rates across insurance types. Declined claims are usually due to non-disclosure of health conditions when applying, not meeting policy definitions, or claiming for excluded conditions. Be honest when applying to ensure your claim is paid.
Claim Statistics
91% claims paid
Industry-wide statistics show the vast majority of genuine claims are successful
Multiple claims allowed
Unlike critical illness, you can claim multiple times during your policy
Mental health covered
Most policies cover mental health conditions - a leading cause of claims
Non-disclosure is key risk
Most declined claims are due to not disclosing health issues at application
Frequently Asked Questions
What are the claim success rates?
The Association of British Insurers reports around 91% of income protection claims are paid. This is one of the highest claim rates across all insurance types, showing that genuine claims are typically paid.
Why are some claims declined?
Common reasons include: non-disclosure of health conditions when applying, claiming for pre-existing conditions excluded from cover, not meeting the policy's incapacity definition, or claiming during the deferred period.
How can I ensure my claim is paid?
Be completely honest when applying (disclose all health history), understand your policy's incapacity definition, keep good medical records, notify your insurer early, and ensure you meet the policy's specific requirements.
What conditions trigger most claims?
Mental health conditions (especially stress, anxiety, depression) and musculoskeletal problems (back pain, joint issues) are the most common claim reasons, followed by cancer and other serious illnesses.
Related Questions
This page provides general information only and does not constitute personal financial advice. Income protection insurance products and their terms vary between providers. Always read the policy documentation carefully before purchasing. Your Home Finance is authorised and regulated by the Financial Conduct Authority.