One in 20 do not tell the truth in insurance applications

One in 20 consumers admit to having lied when filling out a life insurance application, according to new research.

Findings from a survey by Friends Provident showed that 95 per cent of people said they always tell the truth when completing forms for insurance.

Mark Jones, protection products and actuarial manager at Friends Provident, said: “It’s good to see many people recognise the importance of advice when buying insurance, and they take the time to answer all questions truthfully when applying for insurance.”

Over half of the respondents said that those who did not tell the truth deliberately on the forms should be punished by not being allowed any benefits

Under half said they would do research online before taking out insurance while 20 per cent would take advice from a financial expert and a further 15 per cent would rely on information from family and friends.

A further one in five admit to not reading the terms and conditions in a policy before signing up.

Meanwhile, research from Nationwide has revealed that a fifth of homeowners do not have buildings insurance.

Tags: Provident, benefitsUnder half, policy, actuarial manager, respondents, family