How Customers Purchase Critical Illness Insurance?

How Customers Purchase Critical Illness Insurance?

Summary

According to the Association of British Insurers, insurers paid out more than 15,500 claims worth GBP1.0 billion in 2020, of which GBP664.3 million were paid for cancer-related claims. Cancer was the greatest cause behind critical illness claims, followed by heart attacks, strokes, multiple sclerosis, benign brain tumors, and Parkinson’s disease.

At a time when COVID-19 is changing consumer behaviors, this report explores how purchasing preferences have changed over time. It discovers what is most influential to customers when purchasing a critical illness policy and reveals the most popular providers in the market. New trends and innovations are highlighted, as well as the key factors that will influence the critical illness insurance market over the next few years.

Scope

• Critical illness customers are most inclined to visit price comparison websites (PCWs) and take advice from an independent financial advisor before purchasing a policy.
• The top financial concerns among critical illness policyholders were paying monthly bills, saving for a comfortable retirement, and the impact of the COVID-19 pandemic.
• In 2020, the number of new contracts with and without critical illness decreased by 10.0% and 2.2% compared to 2019.

• Understand consumer purchasing decisions and how these will influence the market over the next few years.
• Improve customer engagement by recognizing what is most important to them and how insurers can adapt their products and services to meet their needs.
• Compare the Net Promoter Scores of key insurance providers.
• Discover which providers lead the way in the household insurance space and learn about new product innovations.
• Adapt your distribution strategy to ensure it still meets customer purchasing behaviors.