The Protection Gap – New Challenges for Insurers and Consumers

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This presentation discusses the global protection gap in property insurance, how it is increasing, and lists some contributing factors, such as inadequate financial literacy. In terms of 10-year rolling averages, between 1991 and 2016, insured losses grew by 4.6 percent per year but economic losses by 5.6 percent per year. Also discussed is the gap in flood insurance, and what can be done to narrow the difference: the number of occupied residences has grown by 7.25 percent since 2007, but the number of flood policies in force fell by 10.25 percent, for example.

 

 

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