Life insurance is top financial concern for half of UAE: research

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Life insurance is top financial concern for half of UAE: research

A YouGov survey of 1,000 residents in the UAE, commissioned by Zurich International Life Limited has revealed the top financial priorities for individuals in the wake of covid-19.

The research revealed 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%) called out savings as a key priority while retirement planning highlighted by 32% of those surveyed, became more significant with the age of the respondent. These statistics point to a greater need for long-term planning among the general population.

The current covid-19 environment has increased the importance of life insurance and changed the way that people want to buy cover, Yourlife empowers customers to take control of their future - on their own terms.”

Ranking of financial product importance during covid-19

 

"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 added.

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% of higher income earners.

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 why.

It is based on an understanding of these preferences, behaviours and concerns, that Zurich in the Middle East launched "YourLife", it's first completely digital life insurance solution in the UAE.

"We have been protecting our customers in the UAE for over 30 years and are proud to provide YourLife as part of our commitment to safeguard individuals and their families from the financial impact associated with passing away.  Our fully digital solution managed in accordance with Zurich's industry leading data commitment and local regulatory standards, provides immediate life cover of up to AED 600,000 from only AED 2 per day and can be purchased online in 10 minutes without the need for a medical," explained Walter.

"The current covid-19 environment has increased the importance of life insurance and changed the way that people want to buy cover, Yourlife empowers customers to take control of their future - on their own terms."

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Christopher Copper-Ind

Christopher Copper-Ind is editor-in-chief of International Investment. Before this, he was editorial director of The Business Year, from 2014 to 2017.