Over half, 59%, of homeowners and auto policyholders are concerned their insurance coverage is insufficient due to inflation and rising replacement costs, according to VIU by HUB, a digital insurance platform owned by HUB International. The survey results were fielded online, among 2,017 Americans, which included 1,656 policyholders, and was conducted in August by The Harris Poll on behalf of HUB.
"Consumers are right to be concerned about the possibility of coverage gaps, as the economy is changing quickly and many people are unknowingly underinsured," said Bryan Davis, EVP, head of VIU by HUB in a press release statement. "Education and insight can help alleviate those concerns while the advice of an expert can ensure ideal coverage and protection."
According to the survey results, 81% of policyowners feel they do not fully understand their policies and desire to learn more about their coverage. Of those surveyed, "40% who submitted a claim in the past five years have experienced an event where their insurance policy did not cover the claim as they had expected it to," VIU reported in the
As inflation and interest rates continue to rise, so do home and auto replacement costs. As a result, either insurers must raise premiums or policyholders must pay more for claims out of their own pockets.
The cost of insurance is a top priority for 65% of policyholders when shopping for an insurer, "which may also be why many are not covered appropriately," VIU noted in the infographic. Most respondents, 91%, said they would be worried to learn that their coverage is not enough in the event of a claim, and 29% said that they would fear falling into debt if forced to pay out-of-pocket for their homes or automobiles if the insurance policy didn't cover the expenses.
