Reinforcing its commitment towards ensuring greater financial protection for the country, Max Life Insurance Company Ltd. (“Max Life”/ “Company”) today unveiled the findings of the third edition of its flagship survey ‘Max Life India Protection Quotient 3.0 (“IPQ 3.0”)’ in partnership with KANTAR. As per the survey, urban India witnessed a positive movement of 4 points on the Protection Quotient scale from 35 (as per IPQ 2.0) to 39 (as per IPQ 3.0). However, it was found that in the backdrop of Covid-19, India continues to feel financially insecure.
Conducted in the most uncertain and challenging times, Max Life IPQ 3.0 assesses the notable shifts in attitude of urban Indians from the beginning of the lockdown in March 2020, through the different phases of COVID-19, until announcement of a viable COVID – 19 vaccine in December 2020. Around 4,357 respondents were surveyed via face-to-face interviews with adequate safety measures across 25 cities comprising of 6 metros, 9 Tier I and 10 Tier II cities, making this one of the most comprehensive financial studies carried out during COVID-19 situation.
Urban India has grown more anxious about financial security and preparedness in the last one year, the survey noted, and there is a significant shift towards increasing savings and investments. Financial anxieties related to COVID-19, and ability of current earnings to cover expenses have emerged as top concerns for Urban Indians.
The survey revealed that the degree to which Urban Indians are aware about life insurance products or the Knowledge Index moved up by 9 points to 55 and life insurance Ownership levels increased by 500 bps from IPQ2.0 to 71%. The degree to which urban Indians feel financially secure and prepared or the Security Level dipped by 300 bps to 57% amidst uncertain times. Notably, the survey shows a significant growth of Knowledge Index across all cities, age and gender, highlighting responsible outlook of urban India amidst uncertain times. In the wake of the pandemic, the survey witnessed an increase in urban India’s levels of Term insurance awareness and Term insurance ownership. Now, 28% of urban Indians own Term products, notably higher than the earlier 24% as per IPQ 2.0.