10. Insurance

Access to appropriate insurance products is perhaps given less attention within financial inclusion research than it deserves. Only 6 in 10 working-age adults had home contents insurance in 2017/18 and more could be done to explore the lack of coverage for such a significant minority.

Source: Family Resources Survey

10.1  Only 6 in 10 working-age adults had home contents insurance in 2017/18. Of those who did not have it, the reasons given were equally split between those saying it was not relevant to them, those saying it was relevant but they did not want it, and those saying they could not afford it.

10.2  According to the Association of British Insurers, a quarter of all households lacked home contents insurance in 2018. Londoners were particularly likely to be uninsured with 45% in this position in 2018. This may be due to higher rates of renting in London, given that renters generally are much less likely than home owners to have contents insurance.

Source: ABI

Source: FCA Financial Lives survey

10.3  According to the Financial Conduct Authority’s Financial Lives Survey, more people had car insurance than home contents insurance in 2017, of course the former being a legal requirement for drivers.