Vitality paid £142m in protection claims in 2024 – a 21.4% increase from the £117m in protection claims paid in 2023.
Publishing its protection claims statistics for 2024, the insurer revealed it approved 91.9% of all claims received across life insurance, income protection, and serious illness cover, down from 94.6% in 2023.
Life
Vitality paid £95.7m in life cover claims last year, with 98.9% of claims paid. This contrasts with £83.5m in 2023, with 99.7% of claims paid out – the same percentage of claims as the previous year.
Cancer continued to be the most common reason for claim for life insurance, followed by heart and artery conditions, and neurological illnesses such as strokes.
Serious illness cover
When it came to serious illness cover, Vitality paid £44.4m in claims in 2024, with 88.6% of claims approved.
This was considerably up on 2023, when Vitality paid out £32.7m in 2023, but with 87.8% of claims paid out.
Cancer remained the leading cause of claims among women accounting for 70% of claims from women, while heart and artery conditions were more common among men (28%).
Notably, pregnancy complications was the fourth most common claim category for women. Vitality said this was a benefit rarely included in traditional critical illness policies but it was included in all serious illness cover plans.
Vitality noted one in seven claims were for conditions not typically covered by enhanced critical illness plans, and a further one in 10 were paid to members who had already previously made a successful claim.
Income protection
Turning to income protection, Vitality paid £1.8m in claims, up 80% from £1m in 2023.
The top four claims made were for cancer, musculoskeletal issues, mental health conditions, and neurological illnesses — together accounting for over three-quarters (82%) of all claims.
Vitality told Health & Protection it is not publishing an approval figure for income protection claims this year, noting that in recent years it had seen significant growth in the amount of IP policies sold.
“Over half of our IP members have joined us since we refreshed our offering in 2023, updating it to reflect consumers evolving needs,” the insurer said.
“Consequently, a larger proportion of our IP claims are from new plans claiming within the year and a smaller proportion are from existing claimants, as evidenced by our 80% increase in the amount paid to IP claimants in 2024.
“Industry standard methodology typically includes both new and ongoing claims, which can significantly inflate the paid percentage for providers with larger legacy books.
“As a newer provider with a rapidly growing book of business, applying this methodology and publishing it, would be misleading if compared to more established providers.
“Only 34 claimants were declined in the calendar year, which compares well to the industry average for new claims within the year. Reasons for decline include claims not meeting the policy definition and non-disclosure,” it added.
Optimiser and rewards
Vitality said its Optimiser feature continued to reward customers as those members were shown to be three times more likely to engage with its programme, and in 2024, saved £40m in lower premiums.
Vitality said its reward programme gave members 1.1 million cinema tickets, nearly three million Caffè Nero drinks, cashback from 1.5 million healthy food shops at Waitrose & Partners, plus 100,000 pairs of running shoes.
Engaged members saved an average of £244 annually through the Vitality programme, with Vitality data showing that these members are more active, less likely to lapse their plans, and can live up to five years longer. This figure is based on analysis of members between 2013 and 2019, who moved from 0 to 21+ activity points a week.
Justin Taurog, CEO of VitalityLife, (pictured) said: “In 2024 we paid £142m in protection claims – our largest amount to date – reflecting the scale of support we provide and the strength of our commitment to our members and their families when they need it most.
“We believe that protection should be about more than just being there when things go wrong, it should deliver value every day. In 2024, we delivered nearly £100m in everyday value through the Vitality Programme and helped members save £40m on their premiums through Optimiser. This represents real, tangible benefits that members experience without needing to claim.
“At a time when the industry is being challenged by consumers to demonstrate meaningful value and avoid foreseeable harm, our model does both. It supports members when they need it most, but also helps them live healthier, longer lives – with our data showing that engaged members can live up to five years longer.”
