Across the globe, 61% have changed their behavior or reduced
use of digital payment platforms due to cyber scam concerns. 75%
say transaction insurance would boost their trust, increasing
adoption.
NEW
YORK, Sept. 30, 2024 /PRNewswire/ -- Chubb,
a world leader in insurance, today released the results of its new
global survey, "The Impact of Cyber Scams on Trust in Digital
Payments," revealing the growing impact of cyber fraud
on consumers, the misconceptions regarding cyber protections, and
the significant changes in consumer purchasing behavior driven by
escalating worries over cyber breaches.
Digital payments have become part of our daily lives and are
increasingly crucial to fostering financially inclusive economies.
Chubb's survey findings define the pivotal role insurance plays in
building trust and helping to enable the growth of the digital
payments ecosystem.
According to the survey conducted in the U.S., Mexico, Brazil, Indonesia, Singapore, the
Philippines, Thailand, and
Vietnam – nearly half (46%) of
respondents mistakenly believe their payments are protected. This
false sense of security is compounded by the fact that 61% of
participants have changed their behavior or reduced their use of
payment platforms due to fears about cyber scams.
Waning trust threatens exponential growth
All survey respondents have made a digital payment in the last
year, and 63% have been a cyber scam victim or know someone who has
been. The impact of this fraud extends beyond
financial losses, eroding trust in payment platforms, hindering
adoption.
"The future of digital payments is bright, and insurance will
help play a crucial role in shaping its trajectory," said
Sean Ringsted, Chubb's Chief Digital
Business Officer. "At Chubb, we are committed to developing
innovative insurance solutions that address the changing risks
faced by individuals and businesses in the digital era. By
fostering a mindset focused on awareness, vigilance and protection,
we can ensure that the benefits of digital payments are accessible
to all while mitigating the associated risks."
Respondents were asked about nine different types of scams. They
are most troubled by phishing/vishing and impersonation scams, as
well as fake product or service purchases. Some 61% of respondents
have changed their behavior or reduced use of certain digital
payment platforms over concerns.
Key findings from Chubb's Global Payments and Cyber
Scams survey include:
Certain demographic and geographic survey audience segments
report higher rates of being a victim of cyber scams
- Women in Asia (33%).
- Younger people in the US (33%) and Asia (34%).
- At the market level, women in Thailand (39%), Philippines (38%), Indonesia (36%), and Brazil (32%).
Threats of being hacked looms large
- 53% voiced worry about their account being hacked.
- 48% were troubled about a potential data breach.
- 46% cited the possibility of being scammed as a barrier to
trust.
- 37% indicated unease at their ability to recover their money,
if scammed.
Trust levels vary amongst the respondent audience
- 69% of women (vs. 65% of total respondents) completely trust
digital payment technologies.
- 68% of younger users (18-34 years old) do not completely trust
these technologies.
- 96% of those who make international transfers and 94% who make
transfers weekly either somewhat, or completely trust digital
technologies (vs. 91% globally) even though they are more
susceptible to cyber scams.
Payment providers have an opportunity to close a trust
gap
- 32% of respondents don't trust the security of digital payment
technologies.
- 36% don't trust their customer support.
- 29% don't trust platforms to protect their
confidentiality.
Insurance could promote greater trust and adoption of digital
payments
- 75% of respondents say transaction insurance would boost their
trust.
- Impact of insurance is highest among consumers in Latin America – 84% would fully trust or trust
payment technology much more if they had personal cyber-scam
insurance, and 82% for payment protection insurance.
- Many respondents also see AI as a way to enhance security.
Methodology
Findings are based on a survey of 2,600 individuals in the U.S.,
Mexico, Brazil, Thailand, Singapore, Vietnam, Indonesia and the
Philippines that explored the impact of cyberscams on levels
of trust in digital payment technology. The survey was conducted by
Opinium on behalf of Chubb in June
2024. The respondents were adults who had made digital money
transfers through traditional banking apps / Fin Techs / Neo banks,
or digital wire transfers in the last 12 months. The margin of
error for the survey was +/- 2%.
About Chubb
Chubb is a world leader in insurance. With operations in 54
countries and territories, Chubb provides commercial and personal
property and casualty insurance, personal accident and supplemental
health insurance, reinsurance and life insurance to a diverse group
of clients. As an underwriting company, we assess, assume, and
manage risk with insight and discipline. We service and pay our
claims fairly and promptly. The company is also defined by its
extensive product and service offerings, broad distribution
capabilities, exceptional financial strength, and local operations
globally. Parent company Chubb Limited is listed on the New York
Stock Exchange (NYSE: CB) and is a component of the S&P 500
index. Chubb maintains executive offices in Zurich, New
York, London, Paris, and other locations, and employs
approximately 40,000 people worldwide. Additional information can
be found at: www.chubb.com.
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SOURCE Chubb