At a glance
- There still exists a deep-rooted scepticism over whether insurers will actually pay out when a loss occurs
- Recent research uncovered that SMEs believe insurers only pay out on average 61% of claims
- In 2016, Zurich paid out on 99% of general insurance claims, 100% fact.
Zurich’s recent SME Risk Index survey found that small and medium enterprises (SMEs) believe insurers generally pay out just 61% of claims.
SME scepticism over whether insurers pay claims
There still exists a deep-rooted scepticism over whether insurers will actually pay out when a loss occurs. Out of the 1,000 SMEs who were surveyed by Zurich from June to July this year, only six out of ten believed insurers would pay their claim. This is a long way from the level of assurance that brokers are seeking to offer their customers, and a perception that our industry must work harder to dispel.
Reputation is everything
“The fact that on average SMEs believe that insurers only pay out on 61% of claims is concerning to say the least, and shows confidence is low amongst SMEs when it comes to insurers paying claims” says Paul Tombs, Head of SME at Zurich.
“The industry should strive to counter such perceptions by demonstrating value and integrity where it matters. At Zurich, for example, we recently announced that we paid out on 99% of general insurance claims in 2016 amounting to over £2bn.”
Releasing this information helps break the belief that insurers try and shirk their responsibilities. We are proud of our claims record, and paying out £2 billion in one year is a significant amount. It also firmly underlines the huge role we play in getting people and businesses back on their feet.
A reputation for not paying claims is damaging to insurers and the industry as a whole. Zurich will continue to ensure claims are paid quickly and fairly with customer and brokers at the heart of that process
Zurich paid out on 99% of general insurance claims made from January to December 2016, outperforming customer expectations. This amounted to approximately £2bn of support given to policyholders, including more than 130 individual payments in excess of £1m.