The pandemic has prompted Canadians to spend more time researching and evaluating their insurance options online, according to a recent report from Ratehub.ca.
Ratehub.ca 2021 Digital Currency Trends Reportexamined how Canadians interact with and evaluate insurance policies and services, based on data from a survey of approximately 1,500 respondents.
The results suggest that COVID-19 is changing insurance buying behaviors in Canada. Prior to COVID, 35% of respondents said they had researched and compared insurance rates online, while 42% said they now plan to do so.
Around a third (31%) of respondents said they did not feel comfortable buying insurance online, although those under 55 showed more interest in buying policies online. line.
Another third (33%) said that before COVID-19 they allowed their policies to renew automatically without further research, but only 26% said they would continue this practice.
Additionally, the results show that the three most popular types of insurance are: car insurance, with 77% of Canadians paying for coverage, followed by home or condo insurance at 58%, and life insurance at 44%.
The most common policies purchased online are car insurance (42%) and travel insurance (39%), followed by life and home insurance.
Additionally, the study found that less than 50% of Canadian tenants have tenant insurance. Only 18% of respondents indicated having an active rental insurance policy. This figure corresponds to a recent TD Insurance surveywhich reveals that approximately 41% of tenants surveyed waive tenant insurance.
Ratehub.ca also found that people 55 and older were more likely to be insured. For example, 88% of people 55 and older had car insurance, compared to 70% of people under 55.
Home insurance covered 73% of those aged 55 and over, compared to 49% of the younger population, and 49% of those aged 55 and over with life insurance, compared to 40% of those under 55.
The report attributes this disparity to the fact that many young Canadians can live in cities and rely on public transit or carpooling, rather than owning a car.
“The older demographic grew up in a time when home and vehicle ownership was more accessible. Young Canadians are grappling with the current economic landscape that makes home ownership much less affordable,” the report says.
The results also show that many Canadians are missing out on money-saving opportunities, with only 40% of respondents indicating they have considered usage-based insurance. About one in three respondents bundle their auto and home policies, and one in four opted for a soft credit check for a discount on home insurance.