Legal & General paid 93.2 per cent of its critical illness claims in 2011, up from 91.8 per cent the year before.

In total, L&G paid out £441m in combined death and critical illness claims last year, up from £373m in 2010. This is broken down as £264m in death claims and £177m in critical illness claims.

A total of 2,784 claims were paid in 2011, with the average payout totalling £63,573. The average claimant was 43 years old.

Around 2.6 per cent of claims were declined because of non-disclosure and 4.2 per cent for not meeting policy definitions.

L&G underwriting and claims director Russell Whitworth says: “We are in the business of paying claims and we want to make sure we pay as many claims as possible as quickly as possible and give our customers the best possible service at what is a very difficult time.”