Guardian paid £31.7m in claims to people and their families suffering from illness or bereavement last year, but misrepresentation climbed 140%.
This was almost 50% more than the £21m it handed to claimants in 2024.
The insurer said that the rise was a result of winning more customers and a maturing book of business.
The numbers
In total, Guardian paid 91% of all claims received during the year. The challenger brand paid out on 297 life, terminal illness and critical illness policies.
This included 87% of life, 92% of terminal illness and 90% of critical illness claims.
Despite the jump in value year-on-year, volume fell. Indeed, 100% of life, 94% of terminal, 92% of critical claims were paid last year.
Guardian paid all critical illness claims for children, just as it did in 2024.
Declined
Of the 29 claims Guardian did not pay, 24 had ongoing medical investigations or pre-existing health conditions that were not disclosed when applying for cover.
In 2024, 13 adult claims were declined – 10 for misrepresentation and three for not meeting the definition.
A closer look
There were 53 life insurance claims paid totalling £9.2m in 2025, compared with £6.7m across 50 claims a year earlier.
For terminal illness, the 35 claims paid amounted to £7.6m, compared with 32 collectively worth £4.9m in 2024.
And for critical illness, the 169 approved adult claims totalled £13.9m while more than £807,000 covered the 40 successful claims for children in this policy type.
This compared to the £9m paid across 129 adult claims and 27 children’s claims totalling £643,270 12 months earlier.
No probate
Guardian also paid 99% of premium waiver claims, helping a further 293 customers continue their cover while unable to work due to illness, injury and redundancy as well as for maternity or paternity leave.
Guardian said that due to the pay out planner – where a beneficiary is named in advance to allow the maturing policy to bypass probate – families received payments on average 21 days faster last year.
Of the life claims it received, 70% were paid using the pay out planner.
Planning for the unexpected
Guardian’s chief executive Carlton Hood (pictured) said: “Protection works.
“When people take out protection, they’re planning for the unexpected. Our job is to be there when those moments happen, providing financial support when it’s needed most.
“We’re proud that more customers than ever benefited from Guardian’s protection in 2025, and of the role our people, advisers and products played in delivering on the promises we make,” he added.