What do insurance consumers in APAC Established Markets care about? Plus, more insights from the region
Our Global Consumer Study covers five established markets in Asia Pacific—namely Hong Kong, Japan, Singapore, South Korea and Taiwan. With news of uncertain global markets and intensification of risks for the future, we look at how consumers in this region approach life and health, and how they manage protection for themselves.
APAC established markets have good insurance literacy, but they're eager to learn more
Respondents in Asia-Pacific (APAC) established markets have an insurance literacy score of 6.65 out of 10, higher than the global average of 6.25. But even with this relatively high score, 78% of people in the region feel they need additional education about insurance. This desire is similar to findings in APAC growth markets where the literacy score is only 4.95, indicating that there is strong appetite for insurance education throughout the region.
1-on-1 calls are the most popular way for APAC established markets to learn more about insurance, while the rest of the world prefers to take an online course for this purpose. Claims, on the other hand, are made primarily through an agent or adviser (38.5%) followed by online (31.6%), which varies slightly from the global preference to claim online (34.8%) followed by over the phone (33.2%).
6.65/10 is the insurance literacy score for established markets in APAC
Sharing data is viewed with caution
There is also more resistance to share data compared to the rest of world. 38.9% of people in APAC established markets are uncomfortable or very uncomfortable to share employment data, while 47.8% are uncomfortable or very uncomfortable to share financial data, compared to global averages of 27.2% and 39.6%, respectively. Insurers might view this as a push to build more consumer trust and credibility so that they're comfortable with data sharing, which can lead to the creation of tailored products and experiences.
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'Better sleep' tops the wishlist for most people
When asked about which aspect of lifestyle they want most to improve, 'better sleep' came up top compared to the global average answer of 'more exercise'. Poor sleep habits may result from lifestyle factors that negatively affect physical and mental health, and it could be an opportunity to promote educative steps on topics such as managing anxiety or finding balance, for example. The APAC established market may also need a reminder on the importance of healthy living, as only 56.7% say that it plays a large role in their life, compared to the global average of 61.4%.
Family and friends are a source of comfort in stressful times
Interesting to note is that stress levels in this region have remained constant in the past three years, with 41.7% claiming to be always or often stressed compared to the downward trend in the rest of the world, from 43% in 2021 to 34% in 2022 of people in the same category. Work issues (24.6%) were found to be the leading cause of stress in APAC established markets, followed by uncertain future (21%). We see a contrast from the global top response of financial issues (24.2%) and health issues (20%).
41.7% of people in APAC established markets claim to be always or often stressed
When seeking comfort in stressful times, people here rated talking to friends and family as their first port of call, much like the rest of the world. This shows a distinction from APAC growth markets, where people prioritise exercise and meditation to manage stress, instead.
People are aware of various insurance types, and are hesitant to try new technology
Compared to the rest of the world, there is less agreement in how essential it is for digital identity, digital assets and personal data to be protected to develop trust in digital services (29.4% vs 40% globally). However, it's worth noting that almost half (49%) of the APAC established market would consider purchasing cyber insurance to cover their personal data and digital identity. Insurers have an opportunity to find new perspectives on exploring digital and cyber solutions to get more people on board, particularly in today's world where the majority of our daily business and transactions take place online.
49% would consider purchasing cyber protection for their personal data and digital identity
Humble drivers, who show resistance to telematics
Modesty is observed by people in APAC established markets when rating their driving behaviour, as only 27.96% give themselves five stars for being a good driver compared to the global average of 44.12% giving themselves the same rating. This demographic also showed less interest to the idea of insurers installing an analytics device on their vehicle (telematics) in exchange for benefits, with only 26.9% being very interested in a customised price based on car usage compared to the global average of 38.2%. There is still room in this region to improve consumer outlook on data sharing and lifestyle-related technology, by building a case to illustrate the potential benefits such as safer and eco-driving.
The APAC established markets of Hong Kong, Japan, Singapore, South Korea and Taiwan were included in the latest GCS among 22 other global markets. With a total representative sample size of 2,548 people, we sought to gather the latest insights on the consumer journey, life and health, and property & casualty (P&C) insurance from consumers in this region. To discover more in-depth insights on these APAC established markets, visit our dedicated GCS page to download the full report and access our dynamic dashboard to explore all the data.