Consumer priorities have changed in a major way because of COVID-19, and insurers stand to benefit if they adapt and respond in kind, according to the latest EY Global Insurance Consumer Survey.
“By proactively connecting with the most financially impacted consumers, communicating the value of insurance and providing protection solutions in a time of need, insurers can help this group recover, while forming the foundation for long-term customer relationships, Bernard Klein Wassink, EY Global Insurance Customer & Growth Offering Leader, said in prepared remarks.
The survey found that 45 percent of consumers are planning to save more, and those most impacted financially want to mitigate future financial uncertainty. At the same time, however, 60 percent of respondents said they haven’t been contacted by their insurance provider since the pandemic started.
Here are some additional survey highlights:
- Since the pandemic, personal lines insurance consumers have been more worried about cyber fraud, and paying insurance for a car being driven less. EY said that 70 percent of respondents are more interested in usage-based auto insurance as a result. Approximately 62 percent of respondents are more interested in insurance for home services such as smart thermostats and water sensors.
- About 70 percent of respondents said they’d be interested in insurance that pays three months of income in case of a job loss.
- 65 percent said they’d want policies that cover credit card bills.
- 63 percent said they’d be willing to exchange personal health data for a product with a lower customized rate.
- Sizeable majorities of respondents said they’d pick an insurance company based on commitment to social responsibility causes like racial justice, environmentalism, income equality, police brutality and employee relations.
“Insurers need to think differently about how they demonstrate their purpose,” Fayaz Jaffer, EY Americas Insurance Product Innovation Leader, said in prepared remarks. “They have a unique opportunity to reach an energized audience by amplifying and better communicating their corporate social responsibility efforts.”
The survey – by EY Global Insurance and EY QUEST – includes responses from more than 2,700 personal lines and life insurance consumers in the U.S., Canada, and Europe – particularly France, Italy and the UK. Surveyors focused on gathering data on how the COVID-19 pandemic affected life and insurance needs.