Income protection insurer DG Mutual has paid 99% of income protection claims in 2009.
The society received the highest number of claims for infections with 40% claiming against swine flu and other viral illnesses. The company specialises in providing income protection to self-employed professionals.
It recently launched a starter product, Classic Double Share Scheme, for people who are self-employed, employed or currently not in employment.
2.2 million people of working age will be off work for at least six months at any one time through sickness and disability, yet approximately 70% of people have no personal provision to cover an unexpected drop in income.
DG Mutual is hoping to tap into this market with the launch of its low cost Classic Double Share Scheme product that offers three levels of cover and protects up to 66% of a person’s income if they are unable to work.
DG Mutual is a friendly society, owned entirely by its members and all profits are shared as a tax-free cash lump sum upon retirement, regardless of how many claims members make. With Classic Double Share Scheme, members have the option to pay higher premiums for a larger cash lump sum at the end of the policy.
Income protection insurance: News update: 4 February 2010