Tag Archives: surveys

Insurance Will Face COVID-19 Side-effects Even After Pandemic Ends

A new survey from the Insurance Research Council (IRC) finds that two-thirds of respondents worked from home at least part of the time during the COVID-19 pandemic. The survey, conducted in October, also reveals half expect to continue working from home entirely or alternate between working and not working from home in the future.

Many consumers also expect to continue shopping on-line, with nearly half saying they expect to do less in-person shopping in retail stores even after the pandemic retreats. Both findings point to a continuing reduction in vehicle travel.

One-third of homeowners indicated they had undertaken substantial home improvement projects since the start of the pandemic. Significant home improvements have insurance implications to the extent that they increase the replacement cost of the home or, in some cases such as installing swimming pools, introduce additional liability risk. Other pandemic developments with possible impact on liability risk include the number of Americans adopting dogs (21 percent) or acquiring firearms (13 percent).

The study also explored attitudes toward economic conditions and steps taken in response. Half the respondents said they were concerned about their financial future; the most commonly cited actions taken were to reduce spending on travel and entertainment. A small percentage of respondents indicated that they had taken steps to reduce insurance spending, such as shopping for less expensive insurance or reducing coverage.

“This survey suggests the effects of COVID-19, including those impacting the property-casualty insurance industry, may continue even after the virus is under control,” said David Corum, CPCU, vice president of the IRC. “The results also reveal younger, urban, and lower income consumers have been more severely impacted by many economic aspects of the pandemic.”

The report, Consumer Responses to the Pandemic and Implications for Insurance, presents findings from the October 2020 survey of 2,147 adults who acknowledged some role in household insurance purchasing decisions.

For more information on the study’s methodology and findings, contact David Corum at (484) 831-9046 or by email at IRC@TheInstitutes.org.

ABOUT IRC: The Insurance Research Council (IRC) is a division of the Insurance Information Institute (Triple-I), the trusted source of unique, data-driven insights on insurance to inform and empower consumers. The IRC provides timely and reliable research to all parties involved in public policy issues affecting insurance companies and their customers. The IRC does not lobby or advocate legislative positions. It is supported by leading property-casualty insurance organizations.

Drivers are underprepared for car accidents, new survey finds

Nobody wants to be in a car accident, but they happen to almost all of us. According to a new survey from Esurance, 77 percent of U.S. drivers have been in at least one accident (which aligns well with previous research showing the average driver will be in 3 to 4 accidents in a lifetime).

The survey also found:

Drivers aren’t taking post-accident precautions to ensure their well-being.

  • More than half neglected to file a police report or document the damage.
  • Only 42 percent talked to the police after their incidents.
  • And, of respondents who suffered injuries in an accident, fewer than half (47 percent) sought medical attention.

And drivers are underprepared before an accident even happens.

  • 75 percent of drivers believe they’re well covered by insurance but may have gaps since 3 out of 4 drivers experience some out-of-pocket costs (and 16 percent know they have coverage gaps but choose to take the risk).

Ideally no one should be involved in a collision, but since car accidents are still a fact of life, the I.I.I. has advice on steps to take after an accidents here.

 

American Dream on Pause

While the American dream is still alive in 2009, sweeping changes in the economy have led to a reevaluation of priorities for most Americans. The third annual MetLife study finds that amid the economic crisis individuals are placing a premium on financial protection and stability.

Across generations, eight in 10 say having a personal safety net will be more important this year than last. However, nearly 74 percent admit to not having an adequate safety net in place. MetLife found that Americans count auto insurance (60 percent), health insurance (57 percent), life insurance (46 percent), homeowners insurance (45 percent), a retirement savings plan such as a 401(k) (40 percent), and cash on hand for 3-6 months (35 percent) as the top six components of their safety net.

Among those who do not feel they have adequate protection, nearly two-thirds (62 percent) desire cash on hand for 3-6 months as the product they would most like to have in their safety net. The MetLife study also reveals that some 84 percent of individuals believe the U.S. economy is heading in the wrong direction, up from 64 percent in November 2006. More than nine in 10 believe that it will take at least 12 months for the economy to recover.