19th Aug 2024 Chennai, Tamil Nadu, India Max Life Insurance Company Ltd. (“Max Life”/ “Company”) today unveiled the South zone findings of the sixth edition of its flagship survey, the India Protection Quotient Survey (IPQ)*, 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. Marking its 6th edition, the IPQ stands as one of the most comprehensive and long-running financial studies, covering varied cohorts, including Generation Z, women, and millennials, carrying forward the theme of ‘Protection for All’.
As per the survey, South India continues to be India’s most financially protected zone with a Protection Quotient of 49, with progress made across all three aspects – Knowledge Index at 65 points (an increase of 8 points), Life Insurance ownership levels at 80% (increase of 2%), and Security levels at 77% (equal to IPQ 5.0). 8 in 10 urban respondents own life insurance in South India, while 4 in 10 urban respondents in South India own one or more life insurance savings products.
The survey also revealed the degree to which Chennai’s respondents are financially prepared for life’s uncertainties. Chennai’s protection quotient is at 40 points in IPQ 6.0, with the city’s knowledge index at 47 and overall Security Level at 68%. From a city perspective, Chennai showed a significant uptake in life insurance ownership reaching 92%.
Prashant Tripathy, CEO and Managing Director, Max Life Insurance said, “South India’s urban population has set a great example by consistently making proactive strides in safeguarding their future by investing in life insurance. While the progress is reflected in the zone’s consistent leadership in financial preparedness, there remain areas of improvement necessitating initiatives that target underserved segments. This requires participation from all stakeholders to make insurance accessible and affordable for all.”
Anxiety around prioritizing a family’s aspirations and financial independence in retirement has seen an increase in urban South India. Increasing medical expenses and family aspirations stand at 68 and 66, respectively, as compared to other regions. Savings for meeting the future needs of children remain key objectives for the urban south at 59; however, retirement planning took a backseat as compared to IPQ 5.0, which stood at 34.
South India Leads in Term Awareness
Awareness sees a huge spike in South India at 78%; however, ownership is at 33%. For the zone, premiums aren’t a big barrier to buying term plans, like they are in other zones; however, undergoing medical tests is a much more critical barrier for the South.