Results from an Australian study conducted by Roy Morgan have shown consumer satisfaction relating to life insurance have dropped. This article states that in year 2016 consumers were more satisfied with their home, contents, car and medical insurance than with their life insurance.
'According to Roy Morgan the number of people who were ‘fairly’ or ‘very’ satisfied with their life insurance fell from 68.8% in 2015 to 67.4% in 2016, behind comprehensive car insurance at 82.6%, household contents insurance at 80.3% and private health insurance ay 73.6%. At the same time, consumers who purchased life insurance directly from an insurer stated they had higher levels of satisfaction than those who purchased it through an aligned adviser or through a non-aligned adviser.'
Wow - that is a sharp contrast to some of the findings about reputation and satisfaction found in other surveys in New Zealand. There may be a number of long-term factors at work: one is the relatively strange phenomenon of rate-for-age pricing in Australia and New Zealand, most of the rest of the world does level-term. The other is the increasing sophistication of the consumer market, where, we suspect, the market is less satisfied because it knows more. A third factor is that this survey follows a year of claims-paying scandals in Australia which media spent a lot of time talking about. Those will all have pulled down perceptions.