Survey says… insurance products a mystery to consumers

A new survey measuring consumers’ understanding of insurance products indicates a widespread lack of knowledge, signalling the need for more education to ensure individuals are properly protected.

The survey, conducted by SOM research in June for Desjardins Group, involved 3,000 adult Internet users across the country (1,500 in Quebec, 750 in Ontario and 750 in the remaining provinces). Responses point to a lack of knowledge of insurance products, as well as habits around personal finance management that have scarcely changed since last year, notes a statement from Desjardins.

On the home front, only 45% of respondents knew water damage is the most common type of claim filed by homeowners. For individuals protected by home insurance, almost 40% did not keep any of the lists, sales slips or photos of their most valuable assets that would help them submit an accurate claim in the event of a loss, Desjardins reports.

“Clearly, there is still a lot of work to be done to educate people about the importance of taking an interest in their finances, especially insurance products, in order to learn how to draw up and manage a budget more wisely,” the company says.