A quarter of respondents to a consumer survey conducted by global reinsurer Swiss Re across four major Asia Pacific markets are worried about how they will come out of the COVID-19 pandemic financially.
27% of respondents are “anxious” and “overwhelmed” about their finances while around 40% in all markets surveyed said they were “stretched but coping.”
Swiss Re found that respondents preferred speed, simplicity and fulfilment over financial savings when it comes to insurance policies
Among those who reviewed their policies, half discovered unknown benefits, some of which could help during COVID-19.
The ability of an insurer to process policies and claims online was found to be a top priority while processing policies online from start to finish was a top consideration for selecting an insurer.
“From the survey, we can see that there is a priority to keep insurance policies in times of extreme stress like COVID-19,“said Russell Higginbotham, CEO of Swiss Re Asia.
“We have also learnt that consumers value service and access most highly. Chinese insurance companies seem to stand out as an example for the rest to follow, especially in how they engage their customers.”
More Australians were found willing to sacrifice their life insurance over home or car insurance, while in mainland China and Hong Kong very few are willing to forgo their life insurance payments.
Swiss Re said a quarter of respondents in Singapore and one in five in Hong Kong would let go of their home/car insurance if pressed financially.
In China, 85% either agreed or strongly agreed to the expectation that insurance companies would pay out valid claims.
In contrast, the figure was 54% for Australia, while Hong Kong and Singapore stood at 56% and 59% respectively.
“The pandemic environment raises awareness of people’s needs for protection. The results of our survey give us a lot of clues about these needs and consumer preferences going forward,“ Higginbotham added.
“This is a great moment for the insurance industry to put the customer at the centre of everything we do and deliver solutions that at last show progress in closing the protection gap and making society more resilient.”
