The Australian insurer has revealed it paid out around $90 million a week on average on customer claims over the 12 months to 31 March 2025.
According to TAL, around 54,000 customers and their families received payouts from the firm in the year to 31 March 2025, totalling some $4.7 billion over the period.
This is a marked increase on the previous year, in which the firm paid out around $4.2 billion in claims for the year to 31 March 2024.
Of this year’s payouts, the firm reported that 74 per cent were for living insurance claims, including income protection (IP) and total and permanent disability (TPD) cover.
Notably, in December, TAL released data that revealed around 80 per cent (28,450) of the 36,200 claims it paid out in the six months to 30 September 2024 were for living insurance policies, up from approximately 24,340 in the previous corresponding period.
At the time, the insurer chalked the increase up to a rise in IP and TPD claims related to mental health conditions, jumping to 29 per cent of all claims from 23 per cent in the same period last year.
Looking again at this year’s data, the trend appears to continue with the insurer revealing that, for the fourth consecutive year, mental health conditions were the leading cause of claims (21 per cent), closely followed by cancer (17 per cent), and injuries and fractures (15 per cent).
As Australians continue to struggle with the high cost of living, which has ultimately seen some forced to reduce or cancel their policies, TAL chief claims officer Georgina Croft suggested that insurance is crucial during trying economic times as it provides a financial safety net when things go wrong.
“Last year, TAL supported more Australians than ever before – offering financial and recovery support when it was most needed,” Croft said.
“While these numbers are significant, our focus is the people they represent – Australians recovering from an illness or injury or dealing with loss. Each claim is a person, a family and a life impacted.”
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