Assurant Solutions Mobile study reveals reliance on mobiles for data services is increasing
UK consumers are fully embracing the smartphone and all of its multimedia features, according to the latest study released by Assurant Solutions, a leading provider of mobile protection programmes. Now, one in five (16 percent) consumers no longer use their mobile primarily for phone calls or text messaging (18 percent), instead they are relying on their device for data services.
The Assurant Solutions 2013 Mobile Journey** study reveals an increase in the number of UK consumers owning a smartphone since 2011 (64 percent versus 2011*) and a corresponding increase in the use of mobile data services. Six in ten (61 percent) consumers now use their mobiles for emails, the same amount (61 percent) for browsing, almost half (48 percent) regularly use their phones for downloads and a third (32 percent) use their smartphones for shopping.
Andy Morris, chief marketing officer for Assurant Solutions in Europe, comments: “The findings from our annual report demonstrate just how integral mobile phones have become to our lives. Phones are getting more sophisticated and expensive. Therefore, it’s not just loss, theft and damage that consumers have to take into consideration when protecting their phone. Increasingly, the data accessed through the device also needs protection. More consumers than ever are using mobiles to bank, send and read emails and download music, so the risk of data loss continues to increase. Fortunately, there are insurance solutions that can notify consumers of unauthorised data access, and data back-up services that can help recover lost data. The more data that is stored on a mobile device, the higher the risk if it falls into the wrongs hands. Payment card information, payment platforms and social media are all easily accessible on a mobile, leaving devices vulnerable to unauthorised use”
The study also questioned consumers about the mobile wallet and found that although eight in ten (79 percent) of consumers were aware of the concept, there were still a number of users that expressed discomfort in using their mobile device to pay for goods. Only a third (36 percent) of people said they were likely to use their mobile to make payments. In addition, four in ten (41 percent) people acknowledged that they were unlikely to use a mobile wallet.
Security concerns are a barrier to the increased use of the mobile wallet. Of those consumers who were unlikely to use their phone as a mobile wallet, almost a quarter (23 percent), responded by simply saying they would not use their phone to make any type of financial transaction, with 16 percent specifically worrying about security.
Morris continues: “Companies from mobile phone operators to banks are developing apps designed to encourage consumers to use their mobiles as a payment device. While this has helped increase awareness of the idea, security concerns continue to affect the take-up. As we encourage consumers to use their phones to make financial transactions, we need to help consumers take the necessary precautions to protect their mobile device and the data accessed through it.
“As mobile providers and retailers develop their products and services to keep current with evolving technology, it’s just as important that insurance offerings are updated as well. Today, consumers need a plan that includes web detection and alerts if their personal or financial data is being shared online and protection from malware and spyware attacks.”
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*Comscore data December 2011 to December 2012.
**The 2013 Mobile Journey study was conducted online via the Harris Interactive access panel, HPOL among 729 UK mobile phone users from 18th March to 3rd April 2013.
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Assurant Solutions businesses develop, underwrite, market and administer specialty insurance including mobile device protection, extended service contracts and other risk management solutions through collaborative relationships with mobile carriers, electronic goods and household appliance manufacturers, retailers, leading financial institutions, automobile dealers, funeral homes and other entities. Assurant Solutions serves customers and clients in Europe, North America, the Caribbean, Latin America and Asia. With operations in 25 locations worldwide, the Assurant Solutions executive offices are based in Atlanta, in the United States.
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Assurant is a premier provider of specialized insurance products and related services in North America, Latin America, Europe and other select worldwide markets. The four key businesses -- Assurant Solutions, Assurant Specialty Property, Assurant Health and Assurant Employee Benefits -- partner with clients who are leaders in their industries and build leadership positions in a number of specialty insurance market segments.
Assurant, a Fortune 500 company and a member of the S&P 500, is traded on the New York Stock Exchange under the symbol AIZ. Assurant has approximately $30 billion in assets and $9 billion in annual revenue. Assurant has approximately 16,600 employees worldwide and is headquartered in New York's financial district. www.assurant.com