Seven in 10 Indians willing to share personal data with banks, insurers to get discounts: Survey

  • India
  • 04/11/2019
  • Money Control

India and China were among countries were consumers were more willing to share personal data

Seven in 10 consumers in India are willing to share significant personal information with banks and insurers in exchange for lower pricing on products and services. A survey report by Accenture said information such as location data and lifestyle details are readily shared by consumers.

The data is part of Accenture’s global Financial Services Consumer Study, which was based on a survey of 47,000 consumers in 28 markets. These include 2,000 consumers in India. The study found that more than two-thirds of Indian consumers would share that data for benefits including more-rapid loan approvals, discounts on gym memberships and personalised offers based on current location.

At the same time, people believe privacy is paramount, with nearly four out of five consumers (81 percent) saying they are very cautious about the safety of their personal data.

When asked what would lead them to leave their bank/insurer, consumers said proper complaint resolution followed by data security breaches would be the two factors.

“There’s strong evidence that consumers in India are willing to share significant personal data to improve their lives and get very targeted services and offers,” said Piyush Singh, a managing director at Accenture who leads its financial services practice in Asia-Pacific and Africa.

Indian consumers showed strong support for personalised insurance premiums, with 76 percent interested in receiving adjusted car insurance premiums based on safe driving and 69 percent in exchange for life insurance premiums tied to a healthy lifestyle.

The vast majority of consumers (92 percent) would provide personal data, including income, location and lifestyle habits, to their insurer if they believe it would help reduce the possibility of injury or loss.

In banking, 93 percent of consumers would be willing to share income, location and lifestyle habit data for rapid loan approval, and 91 percent would do so to receive personalised offers based on their location, such as discounts from a retailer.

Nearly three-quarters (76 percent) of consumers want their banks to provide updates on how much money they have until their next payday, with the same rate of respondents (76 percent) wanting savings tips based on their spending habits.

Appetite for data sharing differs around the world

Appetite for sharing significant personal data with financial firms was high in China and India, with 67 percent and 69 percent of consumers, respectively willing to share more data for personalised services. That rate was even higher in Southeast Asia, with 81 percent of respondents in Indonesia and 74 percent in Thailand saying the same.

Half (50 percent) of consumers in the US and only 42 percent in Australia said they were willing to share more data for personalised services, and in Europe, where the General Data Protection Regulation took effect in May — consumers were more sceptical.

For instance, only 40 percent of consumers in both the UK and Germany said they would be willing to share more data with banks and insurers in return for personalised services.