Renters who make less than $30,000 annually buy renters insurance only 25% of the time
(PRWEB) April 15, 2015
Renters who make less than $30,000 annually buy renters insurance only 25 percent of the time, while those making over $75,000 annually have coverage 69 percent of the time. This is according to a study commissioned by Effective Coverage and performed by ORC International.
The study also found that only 31 percent of renters living in subsidized housing buy renters insurance, while renters living in market rate housing buy renters insurance 47 percent of the time.
According to the Department Of Justice, low income renters are also more likely to experience a crime and are unable to recoup their losses as a result of not having renters insurance.
An earlier study showed encouraging results, noting that 44 percent of renters in all demographics buy renters insurance. That study was groundbreaking in the industry because it showed that more renters than ever before have renters insurance. It is important, however, to examine exactly who has coverage. In so doing, that data may be utilized to focus our educational resources where they're most needed.
Renters insurance study by income results:
- Less than $30,000 annual income, 25 percent have coverage
- $30,000 - $49,999 annual income, 44 percent have coverage
- $50,000 - $74,999 annual income, 58 percent have coverage
- $75,000 and above annual income, 69 percent have coverage
Not only is income a significant predictor of the likelihood of having renters insurance, but it is also inversely correlated to the likelihood of an individual needing to make a renters insurance claim.
There will always be some people who have less than others, but Effective Coverage believes that there is a social mandate for insurance providers to make sure renters are educated and ensure coverage is available to those who can least afford a loss without it. In that spirit, Effective Coverage is launching a nationwide renters insurance campaign in partnership with state and city public housing authorities. The campaign will target renters who either have a lower income than the national average or live in a subsidized rental unit and will focus on the importance of renters insurance.
About Effective Coverage: Effective Coverage (http://www.EffectiveCoverage.com) is a national insurance provider delivering affordable insurance solutions to renters. Effective Coverage helps renters easily find the best rates and then purchase a policy within minutes. The Effective Coverage platform is supported by top insurance carriers including Travelers, Progressive, Stillwater, American Strategic, as well as many others. A graduate of the NYU Varick Street Incubator, Effective Coverage’s investors include senior insurance executives from the nation’s top firms.
Methodology: This ORC International study presents the findings of a survey conducted among a sample of 2,024 adults comprising 1,008 men and 1,016 women 18 years of age and older. The online omnibus study is conducted twice a week among a demographically representative U.S. sample of 1,000 adults 18 years of age and older. This survey was live on March 2-4 & 9-11, 2015.