One in three Canadians weighing insurance cuts amid cost squeeze
The survey found that 84% of Canadians do not fully understand what their insurance does and does not cover, while 62% are not confident their coverage would fully protect them in an unexpected situation.
Despite this, 85% acknowledge that insurance is an important financial safeguard, a contradiction that illustrates how cost pressure is pushing decisions without sufficient information.
“With the cost of everyday essentials continuing to rise, it’s understandable that Canadians are taking a closer look at their household expenses,” said Kristen Gill, Vice President, General Insurance, TD Insurance.
“When budgets are stretched, it’s natural to look for places to save, but before reducing insurance coverage, it’s important to understand what’s protected, and what isn’t to avoid surprises later.”
Younger Canadians face the widest protection gap
The generational breakdown warrants particular attention. Among Gen Z respondents, 55% said they would consider reducing coverage under budget pressure, the highest of any generation surveyed. Some 58% said they had been putting off reviewing their insurance, and 44% described it as confusing.
