February 24, 2010 by Canadian Underwriter
After a year in which trust in business sunk to historic lows, Canada stood out on the world stage with its increased trust in the insurance industry, according to the 2010 Edelman Trust Barometer.
Conducted by public relations firm Edelman, the 2010 Edelman Trust Barometer survey tested the trust and confidence of people in business generally, as well as people’s trust in particular industry groups.
The survey sampled 4,875 informed publics in two age groups (25-34 and 35-64) in 22 countries.
“While still near the bottom compared with sectors like energy (64%) health care (63%) and the most trusted [industry] — technology (71%) — when asked how much they trust the industry to “do what is right,” Canadian opinion leaders gave the insurance sector a boost of confidence this year with a 17 point jump over 2009 — from 34% to 51%,” the survey noted.
A big part of that jump in confidence has to do with the way in which the Canadian insurance industry was regulated during the financial crisis in 2008-09, the survey suggests.
“When juxtaposed against other Western economies where governments invested heavily in bailouts, Canada’s tighter regulation and oversight of financial institutions facilitated more confidence,” Edelman Canada CEO Heather Conway said in a press release.
“Similarly, we haven’t seen the collapse of insurance companies here at home and the subsequent impact on the economy like in the U.S. and the U.K. [and so] Canadians likely feel that our insurance industry is more stable and safe.”