Metlife Australia says it has experienced a marked increase in enquiries for life insurance and income protection policies since the outbreak of COVID-19, reflecting widespread concern during such an uncertain time.

MetLife research shows 28% of Australians have taken some form of action on life insurance since the coronavirus emerged, rising to 40% for younger people aged 18-34.

Researching insurance online and speaking about it to family and friends was the dominant action taken so far, it says.

“This is good news for the industry, as consumer engagement has been a barrier to ensuring people have the right products to meet their needs,” Metlife says.

Just over half were keen to receive information regarding life insurance inside their superannuation, the research showed.

MetLife Insurance Head of Group Insurance at MetLife Australia James Carey says it is encouraging to see so many young Australians in particular taking active steps to understand their financial situation, though false expectations that income protection would protect against redundancy has exposed poor knowledge regarding insurance.

“The increase in and types of enquiries we’ve experienced over the past few months suggests many consumers don’t fully understand what is and isn’t covered by different insurance products,” Mr Carey said.

The current crisis is an important opportunity for financial providers to educate consumers to ensure they have the right protection for their situation, he says.