Canadian consumers struggle to make sense of available insurance products
90% of Canadian Gen Z consumers willing to share personal data with insurers. Education, digitalization, and hyper-personalization identified as key industry priorities in insurance survey from Capco
TORONTO, September 21, 2021 – A new consumer survey has found that just under half of Canadian respondents (46%) feel uncertain or ill-informed about currently available insurance products. There is a clear opportunity for insurers to drive a further uplift both to levels of financial education and the transparency of policies. Knowledge leads to heightened confidence, more tailored protection, and a greater appetite among consumers to explore additional insurance options and coverage.
Capco, a global technology and digital consultancy, surveyed 1,000 Canadian consumers to gauge their impressions of insurance products and providers to capture public attitudes toward consumer insurance, the key products and services used, and emerging trends. The results form part of a larger survey of 14,000 consumers across 13 markets globally.
Three key themes emerge from the Canadian survey findings:
1. Lack of confidence about insurance presents the opportunity to better educate consumers and drive better engagement.
2. Digitalization could offer customers greater transparency into ‘expensive and complex’ products.
3. Consumers show willingness to share personal data for better premiums.
Joanna Lewis, Partner, Capco Canada, said:
“Insurers can deliver value-add customer experiences that create more customer touchpoints over the policy term. Most consumers are not engaging with their financial products actively, impacting the level of their insurance coverage. Our Canadian and global data reveals confidence, availability of information, and education levels have a dramatic effect on the number of policies owned. We therefore advise insurers to make customer engagement a priority, and one of the ways they can do this is by giving consumers reasons to engage and by demystifying insurance, such as through simplified offerings, apps and providing personalized insights.”
Capco is a global technology and management consultancy specializing in driving digital transformation in the financial services industry. With a growing client portfolio comprising of over 100 global organizations, Capco operates at the intersection of business and technology by combining innovative thinking with unrivalled industry knowledge to fast-track digital initiatives for banking and payments, capital markets, wealth and asset management, insurance, and the energy sector. Capco’s cutting-edge ingenuity is brought to life through its Innovation Labs, and award-winning Be Yourself At Work culture and diverse talent. To learn more, visit www.capco.com or follow us on Twitter, Facebook, YouTube, LinkedIn Instagram, and Xing.
The survey was conducted online in April and May 2021 and collected responses from 1008 Canadian respondents and a total of 13,798 individuals globally. The markets surveyed were the UK, US, Canada, Brazil, Germany, Austria, Switzerland, Belgium, Hong Kong, China, Singapore, Thailand and Malaysia. Country representative quotas were followed. Survey respondents were drawn from six age demographics: 18-24, 25-34, 35-44, 45-54, 55-64, and 65+. 49% of respondents identified as male, 50% identified as female, and 1% identified as other.