Do Canadians have all the facts on insurance?

52% wouldn't clarify details of their policies: TD State of Insurance Report

From deductibles to deferred premiums, many Canadians don’t understand the ins and outs of their insurance coverage. According to new research from TD Insurance, one-in-two Canadians (52%) wouldn’t ask their insurance provider to clarify details they don’t understand in their policy.

The State of Insurance Report, an annual report commissioned by TD Insurance to understand Canadians’ habits, attitudes and knowledge about insurance, found that Canadians do not ask for clarification on their policies because they think it is too complicated (31%), don’t have time (31%), are embarrassed by their lack of knowledge (23%) or are simply uninterested (19%).

Read: Canadians know little about insurance products

Moreover, while a majority of Canadians (55%) review their insurance policies at least once a year, not everyone takes the time to ensure they are properly insured.

Thirty-seven percent of Canadians admit they didn’t bother to review, or even skim, the fine print on their insurance policies. As a result, 23% have been upset to learn that they weren’t covered for something they thought was covered, and 15% have been pleasantly surprised to find they had more coverage than they thought.

“When you renew your insurance, or reach a milestone in life like buying a new car, a home or have recently completed renovations, spend some time reviewing your coverage,” says Dave Minor, a vice-president at TD Insurance. “Your insurance needs may change from one year to the next and your coverage could have changed, too. Call your insurance provider if you have any questions about adjustments or if your coverage no longer reflects your lifestyle.”

Read: Consumers admit lax attention to policies

Broken down by province, British Columbians are among those most likely in the country to review their insurance policies at least once a year (64% versus 55% nationally). However, half of British Columbians wouldn’t ask their insurance provider to clarify details they don’t understand in their policy.

Though 57% of Albertans review their insurance policies at least once a year, they are the least likely in the country to ask their insurance provider to clarify details they don’t understand in their policy (61% versus 52% nationally).

Similarly, 54% of Ontarians review their insurance policies at least once a year and over half of them (56%) wouldn’t ask their insurance provider to clarify details they don’t understand in their policy.

Do these survey results surprise you? Let us know at @CITopBroker.

Copyright © 2017 Transcontinental Media G.P.
Transcontinental Media G.P.