Consumers fail to take mobile device protection seriously

June 28, 2012 - PRLog -- 28 June 2012: Mobile device owners are failing to take even the most basic precautions to protect their smartphones from fraudulent activity and misuse, according to a recent independent study by Assurant Solutions.

Assurant Solutions’ Mobile Journey* research indicates that device theft, identity theft and violation of personal information rank highly as concerns for mobile owners yet only half of those interviewed protect their mobile with a password and 20 percent take no security measures at all.

Nino Treusch, Head of Mobile Business Development at Assurant Solutions, comments: “According to statistics issued by Ofcom more than 50 percent of people in the UK are now using smartphones to remotely manage their digital lives. The vast amount of personal and sensitive data we all store on our smartphones leaves us open to threats such as hacking and theft by organised crime and opportunists. While insurance protection can offer peace of mind should our privacy be compromised, it’s clear from our research that many mobile owners are failing to take even the most basic measures to protect their devices and the data stored on them.”

The research reveals that this haphazard approach to mobile device protection may be because many people believe that mobile phone theft will never happen to them (32 percent), they are too careful with their phone to worry about the risks (53 percent) or they would simply replace their SIM or handset should it be damaged or lost (36 percent). Thee latter in particular indicates a worrying lack of awareness as to the physical value of the device itself let alone the data it contains, and demonstrates a need to educate consumers about the very real risks they face and the valuable benefits that insurance can deliver.

The research indicates the majority of respondents who purchase insurance (78 percent) do so in person at the time of handset purchase, with 24 percent listing recommendation by sales person as the main reason for their decision to buy. There is a huge opportunity for retailers and mobile operators to undertake the education role which could result in increased sales of insurance protection.

Treusch concludes: “Those of us in the protection industry can clearly see that insurance is becoming more and more important, but this message may not be getting across to consumers, many of whom do not appreciate the value of the phone in their pocket both in terms of the increasing cost of replacement and the critical nature of the data stored on it. We have a collective responsibility to educate the new generation of mobile owners, particularly those who do not traditionally purchase device insurance, as well as providing services that deliver real value at a reasonable cost. Assurant Solutions works in partnership with retailers and mobile operators to provide product knowledge and marketing tools that will assist them in revealing and unlocking mobile protection opportunities for today’s smartphone consumer”.

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*The Mobile Journey: Europe Overview research was conducted by Harris Interactive on behalf of Assurant Solutions in February 2012. 7417 mobile device users both with and without insurance protection were interviewed across Europe. A total of 730 people were interviewed in the UK.

For further information please contact:
Spotlight Communications for Assurant Solutions:
Kelly Prior: Direct: +44 (0)1252 781636
Mobile: +44 (0)7730 572878
Email: kelly@spotlightcomms.co.uk

Assurant Solutions
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 wireless 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.

Assurant
Assurant Solutions is part of Assurant, a premier provider of specialised insurance products and related services in North America and select worldwide markets. Its 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 worldwide. 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 $27 billion in assets and $8 billion in annual revenue. www.assurant.com.