Dubai, UAE - A Friends Provident International (FPI) survey has revealed a significant increase in the number of UAE residents who do not have protection in place in the form of life or critical illness insurance; compared with FPI research conducted at the same time last year.
According to the latest research - conducted by YouGov on behalf of FPI - 58 per cent of the 503 respondents do not have life insurance in place, compared with 48 per cent who said they did not have life or critical illness insurance in last year's survey. Only a fifth (21 per cent) of respondents currently has critical illness insurance in place to protect them and their families should they fall seriously ill.
The research shows that females are less likely to have life insurance, with just over one third (37%) having cover in place, compared with 45% of males. Females are also less likely to have critical illness cover, with less than one in five (18%) having this type of cover as opposed to 23% of male respondents.
The main reasons cited by respondents for not having life cover in place were 'too expensive' (32 per cent) and just over a quarter (26 per cent) said they were 'not familiar with the concept of life insurance'. For those without critical illness cover, more than a third of respondents (37 per cent) said they were 'unfamiliar with the concept' and 28 per cent said it was 'too expensive'.
Marcus Gent, Managing Director, Middle East and Africa at FPI said: "It is quite disturbing that the number of respondents without life insurance cover has increased in the last year, and the number of respondents without critical illness cover is also a cause for concern. I appreciate that no one likes to consider their own mortality or to think about becoming seriously ill; however it is important to think about the potential impact on a family if the worst should happen. Protection should form a cornerstone of any robust financial planning. Life and critical illness are important areas to consider and should never be overlooked."
Life insurance plans, such as term insurance, provide a payout in the event of death, terminal illness or if the insured suffers from one or more of a range serious illnesses (if critical illness cover is included) before the plan's expiry date. Such plans can provide a lifeline for families if the breadwinner should die unexpectedly or become seriously ill. These plans can also be used as protection for a mortgage or loan and to protect businesses in the event of the death or serious illness of a key employee.
Marcus Gent commented: "Life insurance and critical illness insurance are probably the only things you buy and hope you never have to use. But the cost implications of not having such insurance cover if the worst should happen is likely to far outweigh the amount of premium necessary to secure a reasonable level of cover. I am concerned that so many respondents said they were not familiar with the concepts, and this is something that needs to be addressed. I would encourage anyone without life or critical illness insurance to speak with a financial adviser who will be able to explain the many benefits; help them to assess their situation and - if necessary - recommend a protection plan with a suitable level of cover."
-Ends-
Research conducted by YouGov between 3rd and 10th August 2016.
Results based on information gathered from 503 UAE based respondents.
About Friends Provident International
Friends Provident International (FPI) provides life assurance, pensions and investment products in Asia, the Middle East, the United Kingdom and other selected markets and is part of the Aviva Group.
We have over 35 years international experience, offices in Hong Kong, Singapore, the United Arab Emirates and the Isle of Man, and more than 500 staff worldwide.
See www.fpinternational.com for further information on Friends Provident International.
About Aviva
- Aviva provides life insurance, general insurance, health insurance and asset management to 33 million customers, across 16 markets worldwide
- In the UK we are the leading insurer serving one in every four households and have strong businesses in selected markets in Europe, Asia and Canada. Our shares are listed on the London Stock Exchange and we are a member of the FTSE100 index.
- Avivas asset management business, Aviva Investors, provides asset management services to both Aviva and external clients, and currently manages over 289 billion in assets.
- Aviva helps people save for the future and manage the risks of everyday life; we paid out 30.7 billion in benefits and claims in 2015.
- By serving our customers well, we are building a business which is strong and sustainable, which our people are proud to work for, and which makes a positive contribution to society.
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- For an introduction to what we do and how we do it, please click here http://www.aviva.com/about-us/aviva/
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IMPORTANT INFORMATION
Friends Provident International is a trading name of Friends Provident International Limited and Aviva Group PLC (for business conducted outside the United Kingdom).
Friends Provident International Limited
Registered and Head Office: Royal Court, Castletown, Isle of Man, British Isles, IM9 1RA.
Incorporated company limited by shares. Registered in the Isle of Man, number 11494.
Authorised by the Isle of Man Insurance and Pensions Authority.
Provider of life assurance and investment products.
Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the
Prudential Regulation Authority.
Authorised by the Office of the Commissioner of Insurance to conduct long-term insurance business in Hong Kong.
Registered in the United Arab Emirates as an Insurance Company (Registration No. 76).
Registered with the Ministry of Economy as a foreign company (Registration No. 2013): Registration date 18 April 2007. Authorised by the United Arab Emirates Insurance Authority to conduct life assurance and funds accumulation operations.
Registered in Singapore No. F06835G.
Licensed by the Monetary Authority of Singapore to conduct life insurance business in Singapore.
Friends Provident International is a registered trade mark of the Aviva Group.
Journalists requiring further information should contact:
Mustapha Al Tayech
Hill +Knowlton Strategies
mustapha.altayech@hkstrategies.com
+9714 334 4930
Tim Hughes
Brand, Marketing and Communications Manager
Friends Provident International
tim.hughes@fpinternational.com
+9714 436 2883
Felicity Goodwin
Senior Media Relations Manager
Friends Provident International
felicity.goodwin@friendslife.co.uk
(t) +44 (0)1306 871 843
(m) +44 (0)7468 743 246
Press Release 2016
