Women more likely to give incomplete information
A third of consumers would consider embellishing their responses when completing an insurance application form in order to keep their premiums down, research shows.
A survey by Zurich reveals that the same proportion of people would also be tempted to not disclose information fully on certain questions.
Women were found to be more likely to provide incomplete information, with questions about weight, alcohol consumption, family history and medical health most likely to illicit partial responses.
The research also found that 44% of those asked said price was more important than having the peace of mind that they were covered, while 72% believe there are circumstances where it is acceptable to stretch the truth or tell a white lie.
Phil Brown, head of protection and underwriting at Zurich UK Life, said while it is understandable that consumers are putting cost first in the current economic climate, failing to disclose information could prove an expensive mistake in the long run.
He said: “Failing to disclose all information at the application stage could have disastrous consequences in the long term when a future claim is rendered invalid.”
In addition, the research found that 77% of consumers believe that insurers try to avoid paying insurance claims, and just 19% believe insurers care about their customers.
Statistics published earlier this year showed that most providers paid out more than 90% of critical illness claims last year.