Table of Contents
Executive Summary
-
- Top takeaways
- Market overview
- Impact of COVID-19 on insurance
-
- Figure 1: Short-, medium- and longer-term impact of COVID-19 on insurance trends, December 2020
- Opportunities
- Improving perceptions can boost ownership rates of creditor and pet insurance
- A third of 18-34s discuss insurance on social media
- Changing the conversation about insurance
- Challenges
- Canadians confront “lockdown inertia”
- Perceptions of complexity may be hindering mobile app adoption levels
- COVID-19 is making insurers focus more on mental health
The Market – Key Takeaways
-
- Rise of virtual care
- Obesity is high
- On-demand insurance
- Driving tracking is gaining momentum
- Smart homes and home insurance
The Market – Market Factors
-
- Impact of COVID-19 on the insurance industry
- COVID-19 increases interest in digital insurance and virtual care
- Rise of virtual care
-
- Figure 2: Babylon by Telus Health direct mail campaign, January 2021
- Obesity is high
-
- Figure 3: Weight distribution of the Canadian population, Statistics Canada, 2018
Market Opportunities
-
- On-demand insurance
- The Internet of Things in insurance
- Smart homes and home insurance
- Driving tracking is gaining momentum
-
- Figure 4: Canadian auto insurers’ telematics offerings (select), March 2021
- Telematics surcharges arrive in Ontario and Alberta
- Travelers Canada Introduces IntelliDrive
- CAA targets low mileage drivers
-
- Figure 5: CAA direct mail campaign, August 2020
Companies and Brands – Key Takeaways
-
- Health care developments
- Start-up news
Competitive Strategies
-
- Loblaw to refer shoppers to health services
- New Manulife model aims to help group members stay healthy
- Canada Life now offers Shoppers Drug Mart health coaching program
- RATESDOTCA Group raises $51 million
- Insurance for the ‘gig economy’
- Livelli aims to provide community-based insurance platform
- Duuo offers innovative products for the “new economy”
-
- Figure 6: Duuo insurance online ad, January 2021
- TD pushes simplified life insurance
-
- Figure 7: TD Insurance Facebook ad for simplified life insurance, October 2020 and January 2021
The Consumer – What You Need to Know
-
- Most Canadians own at least one insurance product
- COVID-19 has made Canadians more careful in their everyday life
- Strong calls to focus more on preventative and mental health
- Majority prefer buying through brokers/agents
- More than half willing to use a driving tracking device
Insurance Ownership
-
- Most Canadians own at least one insurance product
-
- Figure 8: Insurance ownership, December 2020
- Ownership of home and auto highly age dependant
-
- Figure 9: Home and auto insurance ownership, by age, December 2020
- Life insurance ownership spikes after 25
-
- Figure 10: Life insurance ownership, by age, December 2020
- Improving perceptions can boost ownership rates of creditor and pet insurance
Changing the Conversation about Insurance
-
- Insurance was born of a need to manage risk
- Interest in insurance features: renewal discounts are of most interest
-
- Figure 11: Interest in insurance features (any rank), December 2020
- Multi-policy or bundling discounts matter more to younger consumers
-
- Figure 12: Scotia Home & Auto Insurance direct mail offer, September 2020
-
- Figure 13: Interest in insurance features (any rank), by age, December 2020
-
- Figure 14: Tackling road safety with traffic cameras | Aviva Canada, August 2020
Impact of COVID-19 on Insurance
-
- COVID-19 has made Canadians more careful in their everyday life
-
- Figure 15: COVID-19 related behaviours and attitudes, December 2020
- Telehealth and virtual care experience a COVID-19 surge
-
- Figure 16: Pacific Blue Cross print advertisement, June 2020
- Canadians confront “lockdown inertia”
-
- Figure 17: COVID-19 related behaviours and attitudes (select), by age, December 2020
- COVID-19 has made most Canadians more careful
-
- Figure 18: The COVID-19 pandemic has made me more careful in my everyday life, by age and gender, December 2020
- Only 5% have cancelled or suspended their auto insurance
- Few are using health insurer’s app to find COVID-19 testing locations
Health Care Trends
-
- Strong calls to focus more on preventative and mental health
-
- Figure 19: Attitudes towards health care trends, December 2020
- Younger men are more interested in prescription delivery by drone
-
- Figure 20: Attitudes towards tech-related health care trends (% agree), by age and gender, December 2020
- Half of men aged 18-34 are interested in health monitoring implants
- Health insurers increasing focus on mental health
-
- Figure 21: Sun Life Canada’s Let’s get you there campaign, October 2020
- COVID-19 has exposed the need for more mental health services
- Preventative care is on almost everyone’s wish-list
- ‘Quarantine 15’ appears due to pandemic lifestyle disruption
- What else can the health care industry do: the holistic angle to wellness
-
- Figure 22: Select attitudes towards health care trends (% agree), by age, December 2020
- COVID tracing app appeals more to younger consumers
-
- Figure 23: Toronto Public Health Instagram post, March 2021
Insurance Purchase Trends
-
- Half use comparison sites before shopping for insurance
-
- Figure 24: Insurance purchase attitudes, December 2020
- Simplified life is the industry response to a demand for simplicity
- A third would rather interact with apps than humans
- Majority prefer buying through brokers/agents
-
- Figure 25: Insurance purchase attitudes, December 2020
- Most think of insurance at renewal but read policies in detail
-
- Figure 26: Know Your Policy, September 2017
- Two thirds of 18-34s interested in on-demand insurance
- Majority find online rating sites useful
-
- Figure 27: Online attitudes towards insurance, December 2020
-
- Figure 28: I have posted a review of my insurance company online, by age and gender, December 2020
- A third of 18-34s discuss insurance on social media
-
- Figure 29: I discuss insurance on social media, by age and gender, December 2020
-
- Figure 30: Sonnet Instagram post, November 2020
Technology Trends
-
- More than half willing to use a driving tracking device
-
- Figure 31: Attitudes related to technology and insurance, December 2020
- Half of 18-34s willing to let health insurers track their lifestyle
-
- Figure 32: Attitudes related to technology and insurance, by age, December 2020
- Half of 18-34s also willing to let home insurers use smart home device data
-
- Figure 33: CAA member savings on smart home technology, October 2020
- Smart homes are of most interest to young men
-
- Figure 34: I want my house to be a “smart home” that I can control from my phone (% agree), by age and gender, December 2020
Mobile Insurance Apps
-
- Perceptions of complexity may be hindering adoption levels
-
- Figure 35: Attitudes related to mobile apps, December 2020
- Interest in mobile apps
- Mobile apps: majority interested in at least one feature
-
- Figure 36: Interest in mobile app features, December 2020
- Interest is highest among 18-34s
-
- Figure 37: Interest in mobile app features, 18-44s vs over-45s, December 2020
Appendix – Data Sources and Abbreviations
-
- Data sources
- Consumer survey data
- Consumer qualitative research
- Mintel Trend Drivers
- Abbreviations and terms
Back to top