80% working Indians have experienced income loss

A survey by global insurance and asset management company Generali has found that nearly 80% of working Indians have experienced an income loss while 92% of them are worried about financial losses in the future, due to the economic downturn.

The survey also revealed that around 73% of Indians are considering purchasing life insurance covers as a result of the crisis and for income protection.

Awareness about insurance is one of the many changes that the COVID-19 pandemic has brought about. According to the survey, customers facing extreme income losses expect their insurers to provide flexibility in payment schedules.

The survey said, “38% of the participants had contacted their insurance company proactively to get financial support or relief during this critical moment.” “Self-employed professionals estimate that they may lose half their income over the next few months,” the survey said.

However, 95% of the Indian respondents expected some kind of relief in the case of income loss. As many as 53% of those who have experienced losses expect to get help from the Government. About 60% are planning to dig into their savings and investments, while 39% expect help from family members. Significantly, 40% of Indians expect their employers to step in with some form of relief, the survey revealed.

Four out of 10 Indians worry about the impact of the pandemic on physical, mental, social and financial health. Urban families are mainly concerned about the impact on their physical health, it added.

The study was conducted in 22 countries among 12,958 people to understand consumers’ sentiments during the current COVID-19 pandemic. In India, Generali has a joint-venture  partnership with the Future Group for insurance and surveyed close to 600 consumers for this survey.

Source: Asia Insurance Review