In the past year, 39% of Americans reduced or eliminated the insurance they carry, according to an online survey of more a thousand respondents by ValuePenguin. That number jumps to 65% of those laid off or furloughed due to the COVID-19 pandemic.
Consumers who cut their insurance most commonly reduced or eliminated their health insurance, followed by auto and dental coverage.
The largest percentage of these consumers, 45%, wanted to save money, and 29% simply couldn’t afford the cost of coverage. However, 63% regret cutting back or eliminating their coverage, and 52% plan on restoring the cuts they made. Also:
• 75% cut expenses in other areas before they reduced their insurance.
• 42% of women who eliminated or decreased their coverage said they couldn’t afford it, compared with 23% of men.
• 27% of those who eliminated or decreased their insurance are putting that money toward groceries, 23% toward savings, 21% toward debt payments, and 15% toward housing costs.
• About one in five respondents said they spend $500 or more on monthly premiums.
• 58% of respondents don’t have dental insurance.
• 35% completely eliminated at least one policy.
• 31% reduced coverage.
• 15% of those whose jobs were unaffected by the pandemic cut a form of insurance coverage.
• 59% of those who lost their jobs or were furloughed completely eliminated at least one type of coverage.
• 56% reduced coverage after losing a job because of the pandemic.
• 13% of those whose employment was unaffected decreased their insurance.
Whether a policyholder did reduce or eliminate their insurance policy, ValuePenguin said, most would prefer not to. When asked which policy they would eliminate if they needed to cut costs, 26% said they wouldn’t eliminate any policy under any circumstance.
Beyond that, 15% were receptive to eliminating their dental insurance, 14% would get rid of their health insurance, and 12% were open to cutting their car insurance. Also, 46% said health insurance was the last thing they would cancel if they needed to cut costs.
Related Articles
Tacos and Toothbrushes Provide Oral Healthcare to the Underserved
Minnesota Dentists to Provide Free Dental Care to Kids in February
The Pandemic Will Continue to Affect Dental Practices in 2021
