COVID-19 impact: Life insurance is top financial priority for UAE residents, shows survey
Half of respondents are likely to purchase a life insurance policy online
Dubai: Life insurance is the top financial priority for individuals in the wake of COVID-19, according to a survey of 1,000 residents in the UAE, commissioned by Zurich International Life Limited (Zurich).
Survey showed almost 5 in every 10 respondents indicated that life insurance was increasingly important to them in the current environment. A similar number of individuals (51 per cent) called out savings as a key priority while retirement planning highlighted by 32 per cent.
“The unprecedented nature of COVID-19 with the rising rate of infections and the increasing death toll across the globe has altered the mindset of individuals,” said Walter Jopp, CEO of Zurich in the Middle East.
“The previous misconception of “it won’t happen to me” has been set straight and people are now coming to terms with the fact that the unexpected does happen and it can happen to anyone and everyone,” Jopp adds.
Online purchase of insurance
The pandemic is also changing the attitudes and preferences of how consumers want to purchase goods and services – this includes the consumption of financial services. With anxiety surrounding physical interaction with others, individuals are looking at ways to make purchases online from the safety of their homes and at a time of their choosing. When asked about purchasing life insurance online, almost half of those surveyed admitted that they were likely to buy a digital life insurance solution with this number increasing to almost 60 per cent of higher income earners.
The unprecedented nature of COVID-19 with the rising rate of infections and the increasing death toll across the globe has altered the mindset of individuals.
Survey responses highlighted trust in the insurance provider as the most important consideration when purchasing life insurance online followed by affordability and simplicity surrounding terms and conditions, documentation and processes. Those respondents who stated they were unlikely to purchase life insurance online, cited affordability as one of most significant reasons.