A recent survey conducted by the Philippine First Insurance (PFI) Group has revealed that some 78 percent of young Filipinos prioritize family protection through insurance over investment products amid pandemic-induced awareness in the country and heightened global economic uncertainties.

The PFI Group’s survey on Gen Y and Gen Z consumers also showed that 66 percent of respondents deasired a higher standard of living for their families and peace of mind as reasons to obtain insurance.

A substantial group, or 64 percent, said they were seeking financial stability.

Most sought product

Thus, life insurance was the most sought product, followed by health insurance or HMO service, and burial insurance.

PFI Group chairperson Monico Jacob said more Filipinos are now looking for long-term protection and stable financial growth amid growing global risks to investment instruments.

“You have long-term and short-term choices. Going into the stock market is short-term,” he said.

“The equity market is up and down. For the fixed-income instruments, interest rates are not that high,” Jacob added.

Post-pandemic, the Philippine Stock Exchange index declined by 0.36 percent on Monday as geopolitical tensions, such as the Russia-Ukraine war, the Philippine-China conflict over the West Philippine Sea, and threats of Trump’s tariffs, continued.

Meanwhile, the Bangko Sentral ng Pilipinas reduced its policy rate by a total of 100 basis points to 5.5 percent after its monetary policy meeting in August 2024.

Lack of money

Lack of money emerged as the respondents’ number one barrier to obtaining insurance, as 67 percent of respondents echoed this.

Only 4.8 percent of the respondents said they did not acquire insurance because “investment products would give better returns.”