AXA has released survey findings that provide a telling indication of the impact of the Global Financial Crisis on the attitude of Australians to insurance and savings.
AXA’s 2009 Protection Report (conducted by Newspoll in May) found that one in three Australians felt it was likely they would suffer from serious financial problems in the future, compared to just 16 per cent when the last Protection Report was published in 2007.
Many more Australians also believe they may lose their jobs – 37 per cent of those surveyed believe they were likely or somewhat likely to suffer unemployment, compared to only 15 per cent holding this view in 2007.
Today, only 15 per cent of Australians feel they are ‘very well insured’, compared to 33 per cent in 2007
Falling confidence in financial and employment security has been matched by an increase in awareness of Australians of their insurance needs. Today, only 15 per cent of Australians feel they are ‘very well insured’, compared to 33 per cent in 2007.
Referring to these findings, AXA General Manager Sales and Marketing, Adrian Emery, says it’s not just our savings that have taken a hit during the economic crisis:
“Two years ago we had the most care-free outlook in the world but our seemingly indestructible attitude is now gone; the global economic crisis has hit at the core of the Australian psyche,’ said Mr Emery.
But while the number of Australians thinking they were very well insured has significantly reduced, only 7 per cent of those surveyed said they had taken out additional life cover.
The survey also found:
- 13 per cent of Australians are more concerned about their level of insurance but have not done anything about it
- 45 per cent of Australians believe they don’t need additional insurance
Commenting on these outcomes, Michael Rogers, General Manager Financial Protection at AXA said: “It is encouraging to see the shift in attitude; this is a positive step forward, but we have still got a long way to go.
“We see so many people suffer because they are not insured or they are under-insured. Insurance is something most of us don’t want to think or talk about, but the fact is most of us don’t have adequate levels of cover,” said Mr Rogers.
