From life insurance to income protection, consumers and businesses alike often disregard financial protection as too expensive or unnecessary. The most cynical may believe that insurance providers don’t pay claims.

And yet…

In 2025, UK insurance providers paid out £7.84 billion to individual and group claimants

Figures published by the ABI (Association of British Insurers) and GRiD (Group Risk Development) show that “insurers paid out £7.84 billion in individual and group protection claims across 2025 – equivalent to £21.5 million every day” [1]. 

These figures, released on 29 June 2026, are further corroborated by data from Royal London.
 
In 2025, the firm paid 98.4% of all protection claims, paying a record £821 million to 62,412 customers, families and businesses [2]. 

Group protection could benefit your employees and your business

Protection insurance comes in several forms, but in each case its primary purpose is to provide financial support during life’s most difficult moments – giving your employees and their families peace of mind. 

Offering appropriate protection to your employees – as standard or on a voluntary basis – can drive up engagement, reduce staff turnover, and attract talent to your business.

Here’s an overview of the three main protection products, their purpose, and the 2025 ABI claim figures that count.

• Life cover – Term life insurance covers the policyholder for a specified number of years, typically until retirement age. It pays a lump sum and is often used to cover outstanding mortgage payments if the policyholder dies unexpectedly or prematurely.
   o    96.7% (48,055) of new claims paid
  o    Average value of claim: £83,892. 
  
  
• Critical illness cover pays out a lump sum when the policyholder is diagnosed with a specified illness. The most common reason for a claim is cancer. 
  o    90.2% (20,498) of new claims paid
  o    Average value of claim: £69,375.
  
  
• Income protection can help fill income gaps when a person is unable to work due to illness or injury. It usually covers a pre-determined percentage of the policyholder’s salary. Some policies also provide support services to keep people in work and help employees back into work.
  o    79% (18,469) of new claims paid
  o    Average value of claim: £23,416 [3]. 

Other options may include group private medical insurance, allowing you and your team to potentially bypass the NHS waiting lists and receive care and treatment quickly and easily.
 
With so much to consider, it can be tough to work out what protection is right for you, your business, and your employees. Not to mention calculating the cover you need and finding a competitive premium that suits your budget without compromising benefits when you need to make a claim.

This is where we can help. 

Access award-winning group risk advice direct from corporate benefit experts 

Having won multiple prestigious professional awards for group risk and health and wellbeing solutions, you can rest assured that you’re in safe hands.

Whether you already have schemes in place or you’re only just starting to provide employee wellbeing benefits, we can:

• Assess any existing benefits against workforce demographics, absence and claims data, and business objectives.
• Identify gaps, duplication, and inefficiencies.
• Conduct full market reviews, benchmarking premiums, benefit levels, and any additional value-added services your team could take advantage of.
• Measure success through increased scheme membership and/or coverage levels, employee engagement, and financial efficiency.
• Increase employee engagement through our flexible benefits platform – Bionic Benefits – allowing simpler benefits admin and access to all workplace benefits in one place.
• Assist with claims as and when needed.

Get in touch
If you’d like to learn more about how the right protection could provide a financial lifeline to your people when they need it most, please email info.wp@titanwh.com or call us on 0800 048 0150.

Please note
This article is for information purposes only and does not constitute personal financial advice. If you are unsure about whether a particular course of action is suitable for you, we recommend that you seek independent financial advice.

The value of investments and the income from them can fall as well as rise, and you may get back less than you originally invested. Past performance is not a reliable indicator of future performance. Tax treatment depends on individual circumstances and may be subject to change in the future. Tax and estate planning outcomes are not guaranteed.

Titan Wealth Planning Ltd is authorised and regulated by the Financial Conduct Authority (FCA reference number: 574458). Registered address: 101 Wigmore Street, London, W1U 1QU, United Kingdom.