Press release creditor metrics and life protection metrics in europe
New research from Finaccord, a market research consultancy specialising in financial services, reveals that across six major European countries, consumers in Poland are most likely to have bought a creditor (payment protection) or other protection-related life insurance policy, while their counterparts in Italy and the UK are the least likely to have done so. Finaccord's Creditor Metrics and Life Protection Metrics research reports provide detailed analysis of the degree to which consumers in France, Germany, Italy, Poland, Spain and the UK hold four types of payment protection insurance - namely creditor insurance linked to mortgages, consumer finance and credit cards, plus bill payment protection insurance - and five protection-related life insurance products - namely risk life, critical illness, long-term income protection, short-term income protection, and funeral expenses (over 50s life) insurance.
Published on: Mar 4, 2016
Transcripts - Press release creditor metrics and life protection metrics in europe
PRESS RELEASE Creditor Metrics and Life Protection Metrics in Europe Consumer holdings of creditor and life protection policies are lowest in the UK and highest in PolandLondon, 16 November 2012 - New research from Finaccord, a market research consultancyspecialising in financial services, reveals that across six major European countries, consumers inPoland are most likely to have bought a creditor (payment protection) or other protection-related lifeinsurance policy, while their counterparts in Italy and the UK are the least likely to have done so.Finaccords Creditor Metrics and Life Protection Metrics research reports provide detailed analysis ofthe degree to which consumers in France, Germany, Italy, Poland, Spain and the UK hold four types ofpayment protection insurance - namely creditor insurance linked to mortgages, consumer finance andcredit cards, plus bill payment protection insurance - and five protection-related life insurance products -namely risk life, critical illness, long-term income protection, short-term income protection, and funeralexpenses (over 50s life) insurance.“Across the six territories, the average uptake across all nine protection insurance products variessignificantly from country to country. Poland hosts the most vibrant protection market given thatrespondents had bought an average of 1.92 such policies. In contrast, the equivalent figures amongrespondents in the UK and Italy were only 0.81 and 0.86, respectively, and in France, Germany andSpain the corresponding figures were a respective 1.50, 1.18 and 1.47. At 57.8%, the percentage ofrespondents without any kind of protection whatsoever is highest in the UK, whilst only 25.8% of Polishrespondents were found not to hold any of these policies. However, it is also true to say that take-uprates vary quite significantly by type of protection product and are often influenced by country-specificfactors,” commented Tobias Schneider, a Consultant at Finaccord.Naturally, consumers propensity to acquire creditor insurance is dependent on holdings of theunderlying lending products. Finaccords survey established that mortgage holdings were the highestamong respondents in Spain and in the UK, where a respective 34.8% and 28.0% of all participantsreported having a mortgage, whilst consumer finance uptake was highest among respondents inPoland (38.6%) and credit cards were most common among respondents in Spain (49.8%). However,with regards to the penetration of creditor insurance among consumers with a loan, mortgageborrowers in France were the most likely to have taken out related creditor insurance, while insurancecross-selling rates were highest among Polish consumers in the case of both consumer finance andcredit cards. Unsurprisingly, in the wake of the mis-selling scandal which is costing banks billions incompensation payments, penetration rates were lowest by far among UK consumers for the latter twoproducts.As for the five types of protection-related life insurance investigated, acquisition rates for risk life andcritical illness insurance were also found to be highest in Poland with long-term income protectioninsurance proving most popular among French respondents and funeral expenses insurance achievingthe highest rates of penetration in Spain. Moreover, as an average across all six European countries,consumers were found to be least likely to hold short-term income protection insurance coveringaccidents, sickness and / or unemployment, which remains something of a niche market."Other research by Finaccord indicates that the combined market for creditor and protection-related lifeinsurance in France, Germany, Italy, Poland, Spain and the UK was worth around EUR 61.8 billion in2011 in terms of total gross written premiums and that it is growing at a compound annual rate of nearly3%", concluded Mr Schneider. "Hence, in spite of the collapse of payment protection insurance in theUK, and notwithstanding economic turmoil in the eurozone, there is still a very large and growingcreditor and life protection market for insurance providers to compete over in these six Europeancountries." --- END ---
Media contact: Roberto Napolitano, +44 (0)20 3008 4406, firstname.lastname@example.orgNotes to editors:Finaccord is a market research, publishing and consulting company specialising in financial services. It provides itsclients with insight into and information about major issues in financial services in the UK, Europe and globally, witha particular focus on marketing and distribution topics such as affinity marketing, bancassurance and strategicalliances.Two new studies published respectively by Finaccord in October and November 2012 - titled Creditor Metrics:Consumer Approaches to Payment Protection Insurance in Europe and Life Protection Metrics: ConsumerApproaches to Protection-Related Life Insurance in Europe - provide a comprehensive overview and uniqueinsights into the behaviour of consumers in the context of creditor insurance and protection-related life insurance,respectively. Each title is based on a survey of over 1,000 consumers in each of France, Germany, Italy, Poland,Spain and the UKSample graphic from the research, showing the average number of creditor and life protection policies held perrespondent and the percentage of respondents with at least one policy for the six European countries covered inthe report. Average number of policies per respondent % of respondents with at least one policy 2.5 100% 2.0 80% 1.5 60% 1.0 40% 0.5 20% 0.0 0% France Germany Italy Poland Spain UK Average number of policies per respondent % of respondents with at least one policy