The life insurer released new data from its Best Doctors diagnosis service that revealed 21 per cent of users over the last four months had been seeking help with a mental health condition, versus 11 per cent over the 2019 calendar year.
Among those who had severe or extremely severe depression and accessed the service, 65 per cent had their diagnosis modified as a result while 87 per cent had a modification in their treatment.
The service provides access to clinical psychologists or psychiatrists for MLC Life Insurance customers through the insurer’s partnership with medical advice and opinions service Best Doctors.
“There has been a huge demand for mental health services since the beginning of the pandemic as many Australians struggle to cope with emotional and financial pressures,” MLC Life Insurance chief group insurance officer Sean Williamson said.
“Worryingly, we know that 54 per cent of people with mental illness do not access any treatment, and this is worsened by delayed treatment due to serious problems in detection and accurate diagnosis.”
Mr Williamson added that the insurer was interested in helping policyholders access early treatment for mental health conditions, particularly given that the long-term implications of the global recession were likely to trigger further bouts of mental ill health.
“While we’re here to protect our customers financially, we also want to support their health and wellbeing and offer them a tangible solution to help them improve their mental health,” he said.
“Given the uncertainty around how the economic impacts of COVID-19 will impact on claims in the future, there is a strong likelihood that a recessionary environment will trigger an increase in claims, particularly mental health, and we have to be prepared for that.”
The data builds on an already rising incidence of mental health claims, with KMPG figures revealing life insurers paid out $750 million in claims to approximately 6,800 customers in the 2019 calendar year.
Is it possible that the 54% of people with a “mental illness” who don’t seek treatment take the view that feeling down occasionally is just a natural part of life, and they use willpower and determination to overcome it rather than relying on hand holding and handouts?
This is exactly why AMP/ Resolution Life have ramped up their lump sum and IP premiums across the board, on both stepped and level covers (up to 55% on level premiums). Resolution is a retention company my foot. They want a clean book, to avoid paying claims after the real wash out from Covid-19 mental health claims are realised. Watch the other “ethical” risk companies do the same!
Say what? Check out the losses all the life companies are making. Claims costs have skyrocketed in the last 5 years. If the life companies don’t get enough premium, they can’t pay the claims they are paying. What do you want them to do – keep making billion dollar losses and then what – no one gets covered??? Oh, and in advance – LIF has nothing to do with the massive increase in claims costs