Max Life Insurance Company Ltd. has unveiled the West zone findings of the sixth edition of its flagship survey, the India Protection Quotient (IPQ) study, conducted in partnership with KANTAR, the world’s leading marketing data and analytics company. Tapping 4,700 respondents across 25 Indian cities, this widely-inclusive survey uncovers urban India’s pulse on financial protection. The IPQ 6.0 findings, released on Friday, showcase West India’s substantial advancement in financial protection. The zone’s Protection Quotient has increased from 42 to 46 points compared to the previous edition, representing the most significant improvement among all regions. This heightened readiness for uncertainties is also evident in the zone’s financial security level, which has climbed to 59 per cent, returning to pre-pandemic levels.

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Further, 72per cent of respondents in the region have invested in life insurance policies, indicating a growing recognition of the importance of financial protection in India’s Western states. Specifically, there has been a notable increase in the adoption of term insurance plans, rising by 7 percentage points from 29per cent in IPQ 5.0 to 36per cent in the latest edition. The survey also showed a positive trend in insurance policyholders feeling secure with their term coverage. The percentage of individuals who believe their term cover is adequate has risen significantly from 53per cent in IPQ 5.0 to 62per cent, according to the IPQ 6.0 findings.

Prashant Tripathy, CEO and Managing Director, Max Life Insurance said, “The 6th edition of Max Life’s flagship survey, the India Protection Quotient- West Zone, marks a significant milestone in our journey to enhance financial preparedness in the region. Awareness plays a pivotal role in understanding the importance of financial protection and the value of investing in insurance. Over the past six years, the increase in awareness in the region has been remarkable, paving the way for increased adoption of protection as well as life insurance solutions. This progress also highlights the growing adoption of insurance as a means to building a secure future. As we strive towards achieving universal financial protection, the India Protection Quotient acts as a roadmap for all stakeholders, guiding our efforts to serve individuals and communities across various demographics and regions PAN India.”

The following findings reveal insights that highlight urban West India’s shift in financial priorities, outlook and behaviour:

Mumbai Exhibits A Solid Knowledge Index

This year’s IPQ edition revealed the degree to which Mumbai’s respondents are financially prepared for life’s uncertainties. As per the study, Mumbai’s financial protection quotient stood at 61 points, marking a 3-point increase from 58 in IPQ 5.0. With a Knowledge Index of 84 points, one of the highest among metros, Mumbai residents demonstrate a strong understanding of life insurance as a means to safeguard their future. While Mumbai boasts a high life insurance ownership level of 84per cent, it ranks third among metro cities, with Chennai at 92per cent and Delhi at 85per cent.

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West India Values Insurance Coverage And Features Over Premiums

Customers across urban India’s West zone are increasingly prioritizing important aspects such as sum assured and product features while buying insurance over factors such as premium amount. With percentage of people valuing term cover rising from 54per cent in IPQ 5.0 to 59per cent in IPQ 6.0, there is also a surge in the significance attributed to term product features, climbing from 56per cent to 65per cent, and term riders, increasing from 35per cent to 57per cent.

West Zone’s Positive Trend In Security Levels Signals Improved Financial Outlook

IPQ 6.0 reveals marked progress in West India’s financial security and preparedness for life’s uncertainties with respondents feeling increasingly confident about their financial stability. The percentage of individuals feeling secure about managing their medical expenses has risen from 60per cent in IPQ 5.0 to 66per cent in IPQ 6.0, indicating growing confidence in healthcare affordability. Additionally, there has been a notable rise in the number of individuals feeling secure about their jobs and businesses, climbing from 57per cent to 64per cent in this edition. A similar positive trend is observed in confidence levels regarding financing children’s education, with two out of three individuals expressing confidence in this regard.

Shifting Savings Priorities Witnessed In Urban India’s West Zone

Urban west India showcased a shift in savings objectives, with traditional goals like buying a house or saving for children’s marriage getting de-prioritised, while saving for a vacation increasingly preferred from 7per cent in IPQ 5.0 to 14per cent as per the current edition. Notably, 23per cent of West zone’s respondents cited saving for an early retirement as an important savings goal.

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Significant Increase In Health And Wellness Quotient

The IPQ 6.0 study reveals that 1 out of 2 individuals in urban India’s West zone engage in regular fitness activities like walking, gym, yoga, and exercise. The adoption of health and fitness technology has witnessed a significant surge in urban West India, with more individuals embracing products like fitness bands and health monitoring devices as integral tools in their wellness journey. Digital preferences impact insurance buying behaviour of customers: Most Individuals turn to social platforms for understanding term insurance

In today’s digital landscape, West India’s urban respondents are increasingly turning to platforms like Facebook, Twitter, and LinkedIn as primary sources of information during term insurance purchases, according to IPQ 6.0 findings. Social media platforms like Facebook, Twitter, and LinkedIn have emerged as significant sources of information, providing consumers with insights, reviews, and recommendations from peers and experts alike.

West India’s preference for communication channels such as WhatsApp and Voice Assistant platforms underscores the growing demand for convenience and accessibility in interactions with insurance providers. Similarly, online reviews play a crucial role in the decision-making process, allowing customers to leverage peer feedback to assess the trustworthiness and reliability of insurance companies before committing to a purchase.