"Education is key, but the ‘where’ is just as important to success as the ‘what’. It’s essential that we turn up where renters are, on channels they prefer, with products and experiences designed around them."
- Ed Axon, Chief Growth Officer at LifeSearch
Of those surveyed (1,000), only 14% of renters think they’d manage to continue paying rent for more than three months if they were unable to work. Notably, less than a third (28%) said their finances could cope with being signed off work for a long period.
22% said they could cope with being diagnosed with a serious illness, whilst only 14% said they’d be able to cope financially if a loved one were to become seriously ill. When asked how they’d mitigate the impact of reduced income, 36% said they’d rely on borrowing money from family members, followed by dipping into their savings (35%), and taking money out of their ‘rainy day’ pot (33%). Just under one in five (18%) said they’d liquidise investments.
Worryingly, more renters would opt for borrowing money from a short-term finance provider (6%) than are able to claim on an insurance or protection policy (4%).
“With a broader cross-section of the population renting a property for a home, protecting the rights of renters has received significant attention – especially in recent months as rental prices surge,” explained Ed Axon, Chief Growth Officer at LifeSearch.
He said: “While this is undoubtedly important, the financial knife-edge on which many renters are living has gone under the radar. The security and peace of mind offered by an insurance protection policy can be transformative.
“This is a challenge that must be met head-on. Education is key, but the ‘where’ is just as important to success as the ‘what’. It’s essential that we turn up where renters are, on channels they prefer, with products and experiences designed around them,” Ed concluded.
