The Financial Services Council (FSC) has revealed new life insurance data on mental health as part of its four-year industry-funded data project.
Sally Loane, FSC’s chief executive, said that the project aimed to provide the life insurance industry with a better tool to articulate the number of claims paid and would provide it with a better approach to the collection of aggregate industry data.
According to the Australian Prudential Regulation Authority (APRA) data, $10 billion was paid out across all categories of claim annually.
“Under life insurance disability claims, mental health accounts for 20 per cent, which is second only to accidents,” Loane said.
“Population studies show 22 per cent of all disabilities in Australians result from a mental health condition, similarly, FSC figures show 20 per cent of all disability claims are due to mental health condition.”
The was being collected by KPMG on behalf of the FSC, with data collected from 19 FSC life insurance members contributing.
Life insurance categories included the following:
- Death;
- Trauma;
- Total & permanent disability (TPD);
- Insurance protection (IP);
- CCI; and
- Funeral and accident.
