This equates to an average of over £2m paid every week to our customers in life cover payments and £1.7m in critical illness claims.
The insurer said since January 2000 the total combined amount it has given back to customers across both life and critical illness claims totalled £1.9bn.
Scottish Widows had sold polices directly though its bancassurance distribution channel with Lloyds Banking Group, which cut protection sales last year.
This is now being scrapped in favour of a more digital approach and Scottish Widows is set to launch an advised proposition this year.
In 2014 Scottish Widows paid out 99% of life and 90% of critical illness claims. Out of the 72 declined life claims, 57 were due to mis-representation and 15 where the definition of terminal illness was not met.
Out of the 258 declined critical illness claims, 175 were due to the definition not being met and 83 were due to mis-representation.
Looking at life cover in isolation, 55% of all claims from females were as a result of cancer, compared to 36% of males.
The total amount paid out in life claims was £105.3m, with £13.7m paid in terminal illness claims. The average policy duration at claim stage was 7.5 years and on average Scottish Widows pays out to people at 58 years old.
The total amount paid out in critical illness claims was £86.6m, with an average claim amount of £36,034. The average period in force before a claim was six years and the average age of a claimant was 50.
Scott Cadger, head of underwriting and claims strategy at Scottish Widows, said:
“In 2014 we paid out over £3.7m every single week in life and critical illness claims, showing the true value of taking out appropriate protection cover. And since 2000 we have helped in the region of 60,000 individuals and their families through what can be both an emotional and financially difficult time.”
