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Story of Two Claims-Media Awareness of Insurance

With the exception of this site and a few other specialized industry media, two claim stories that explain the view of the insurance media have recently caught my eye.

Tuesday, June 15, 2021 10:25 am

Russell Hutchinson

The first is the story of a widow who won the battle with a car insurance company because of the death benefit included in the cover package.

The plaintiff’s husband died of complications of deep vein thrombosis, and the insurance company rejected the plaintiff based on a medical condition that meant he was at increased risk of developing DVT.

There was a debate about whether “increased risk” was equivalent to the excluded “existing state”.

The widow highlighted her case in the media by Stuff.co.nz. The insurance company paid.

This highlights two important issues for insurers. One is the use of existing condition exclusions in simple consumer contracts like these, and how to define the boundaries between existing conditions and predisposition.

The second is the nature of the power imbalance between insurers and customers. In this case, the petitioner found a voluntary ear and route to consider her proceedings.

Some clients do not. Some people get their advice and determination from their advisors, not from their media contacts.

You can read the details here..

The second case is an income protection claim against mental health problems.

Media articles re-emphasize the power imbalance between insurers and clients, and the differences in insurer-appropriate processes (long, detailed, with lots of checks and ratings) and customer experience. -Process, in this case they sought legal assistance.

Also emphasized in this article is the fact that the complainant may be considered a vulnerable person due to the nature of the illness.

When I talk to journalists in mainstream media organizations, they comment on consumer perceptions in the industry. They are usually amazed at the high billing rates and the wide range of support that insurers do on a regular basis for their clients, for example during Covid. -19 Crisis.

This is also not a one-time event, as some insurance companies already offer some relief to Cantabrians affected by the floods. They also seem to think that law of conduct has a far greater impact on claims than the industry.

Of course, my experience is limited to life and health insurance companies.

But they always suspect that the problem is much worse than we believe.

At the end of last year, he said, “I still don’t know how many complaints were unjustly rejected, discouraged, or avoided.” . With complaints. “

Will the media view continue to be hostile to insurers, or will there be a more subtle view that balances eye-catching claimants with the need to protect the interests of other policyholders?

I like to choose an optimistic view, but that won’t happen unless we tell the story better.

tag: opinion Russell Hutchinson

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Story of Two Claims-Media Awareness of Insurance

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