Insurance continues to be a vital safety net, offering financial protection during some of life’s most challenging moments. Irish Life’s 2024 Protection Claims Report provides valuable insights into the real-world impact of life insurance, income protection, and specified illness cover. The updated statistics not only highlight the scale of payouts but also reinforce the importance of timely and comprehensive insurance cover.
Real-Life Example — Client C: A Mild Heart Attack and the Difference Cover Makes
Meet Alan (name changed for privacy), a 50-year-old facilities manager employed full-time with a medium-sized company, earning a net monthly salary of €4,200. With essential monthly outgoings of €3,100 for mortgage, household bills, and children’s costs, Alan was managing well—until a Monday morning changed everything.
After experiencing severe chest pain, tests confirmed he’d suffered a mild heart attack, a condition typically covered by most Specified-Illness (Serious-Illness) insurance policies. Doctors signed him off work for six months to recover, undergo a stent procedure, and complete cardiac rehab.
Scenario A — Alan Has Specified-Illness Cover: His policy paid out an €80,000 tax-free lump sum within ten days of the insurer receiving the cardiologist’s report. This immediate financial support cleared the remaining €25,000 on his mortgage, reducing his monthly bills by €650. He set aside €15,000 to replace lost income once his employer’s sick pay ran out, used €5,000 for immediate private rehab, and still had €35,000 left as a financial cushion.
Thanks to an automatic premium waiver, his policy remained active without cost while he was on claim—keeping him covered for future health events. The result? No mortgage pressure, no rehab delays, and a stronger financial footing for when he returned to work.
Scenario B — Alan Has No Cover: Without a lump sum, Alan’s income dropped dramatically after 12 weeks, falling to €1,000 per month on Illness Benefit—creating a monthly shortfall of €2,100. A mortgage holiday request was refused, forcing him to drain €12,000 in savings and max out a credit union loan by the fifth month.
Facing an 11-week wait for public rehab, he paid €3,000 on a credit card to start earlier, adding interest to injury. By the fourth month, the financial strain forced Alan back to work prematurely—risking further health setbacks just to pay the bills.
The Straight-Talking Takeaway: Specified-illness cover pays out fast, with one diagnosis triggering one no-strings-attached payment. Whether it’s clearing debt, funding private care, or cushioning lost income, the decision on how to use the funds is yours. Even generous sick pay runs dry quickly, and Illness Benefit barely covers basic costs.
A serious illness is hard enough—financial chaos shouldn’t be part of the recovery. With cover, Alan faced a health crisis. Without it, the whole household faced a financial one too.
An Overview of Munster
In Munster, The region accounted for 593 life insurance claims, with a total payout of €45.7 million and an average claimant age of 68. Meanwhile, 289 specified illness claims were settled, amounting to €19.4 million, with claimants averaging 55 years old.
Notably, Cork led the province in claim volumes, receiving €19.2 million in life insurance payouts and €10.3 million for specified illness cover. These figures underline the vital role insurance plays in safeguarding financial wellbeing across Munster’s counties, from urban centres like Limerick and Cork to more rural areas such as Kerry and Tipperary.
Over €7.3 Million Paid Weekly in 2024
Irish Life paid out a total of €379.7 million in 2024 across 7,804 claims, averaging more than €7.3 million per week. Notably, nearly two-thirds of all claims were for living benefits such as specified illness and income protection, underscoring the fact that insurance is not just for end-of-life cover, but a lifeline during serious illness or incapacity.
Death Claims in 2024
In 2024, Irish Life paid out €240.7 million in life insurance claims across 2,838 cases. The vast majority (99.1%) of these claims were honoured. The average age of claimants was 68, and the average payout was €84,780.
Cancer remained the leading cause of death (36%), followed by heart-related issues (32%) and respiratory conditions (17%). The largest individual death claim reached €4.9 million, reinforcing the need for adequate coverage, particularly for families with dependents.
Specified Illness Cover: Cancer Still Dominates
Irish Life paid €68.23 million across 1,145 specified illness claims in 2024. The average age of claimants was 54, and 66% of claims were due to malignant cancers, making it the leading cause once again. Heart-related conditions (17%) and strokes (7%) also featured prominently. The average claim value was €59,626.
With a 92.5% claims acceptance rate, these figures show that specified illness cover continues to be a crucial benefit, especially given the unpredictable nature of health issues.
Income Protection: Mental Health Now the Top Cause
Income protection claims saw a significant rise in 2024, with 3,086 claims paid, totalling €64 million. The average claimant was 47 years old, and the average payout stood at €20,744. Mental health emerged as the leading cause of income protection claims, followed by cancer and musculoskeletal conditions.
This shift highlights the growing awareness and acceptance of mental health as a legitimate and serious health concern, and the importance of income protection for working individuals.
Gender Insights: Women Claim More for Cancer, Men for Heart Conditions
In 2024, 59.5% of specified illness claims were on male lives, with the most common reasons being prostate cancer, heart attack, and stroke. For women, 40.5% of claims were dominated by breast cancer, followed by stroke and heart attack.
Life insurance claims showed that nearly two-thirds of claims were on male lives, with cancer being the most common cause of death for both genders. However, heart-related deaths were more frequent in men (11%) compared to women (9%).
Why This Matters for You
These statistics from Irish Life provide a stark reminder: illness and death can strike at any time, and the financial consequences can be severe. Having the right insurance in place, whether it’s life cover, income protection, or specified illness cover, can make a meaningful difference for you and your loved ones.
Whether you’re starting a family, managing a mortgage, or simply want peace of mind, insurance is a fundamental pillar of financial planning.
Get the Right Cover with Riordan Financial
At Riordan Financial, we help you navigate the world of insurance with clarity and impartiality. As independent advisors, we work with all major providers to ensure you get cover that suits your needs and budget.
Insurance isn’t just a policy, it’s a promise to your future self and those who rely on you. Make that promise count.