Singaporean Millennials: Wants An Insurance Policy — But Most Of Them Has No Idea

Many of the millennials in Singapore want to try investing and buying insurance policies, but most of them do not consider themselves knowledgeable in these areas, a study has found.

The findings of Frank by OCBC’s first-ever Frankly Asked Questions survey were officially announced at the Frank store in the National University of Singapore (NUS) on Wednesday (April 3).

The study is based on data from 866 students and young working adults aged 16 to 29 in Singapore. It found that 71 percent of respondents want to start investing, but only 38 percent consider themselves knowledgeable about investing.

Similarly, 69 percent of respondents want to start buying insurance policies, but only 44 percent think that they are knowledgeable about insurance.

This pattern also applies when it comes to savings. The study found that while 74 percent of respondents save up and 71 percent set aside money for savings, 41 percent still struggle to stick to their saving plans.

The study also found that three-quarters of Singapore millennials are aware of their spending and 67 percent have an expense budget, while 66 percent stick closely to that budget.

Securing a job with regular income is a life goal for most respondents

A whopping 83 percent of respondents indicated that their life goal is to secure a job with regular income.

When asked what their ideal job is, the top three answers are, in order, one that comes with work-life balance, a good working culture, and work which they are passionate about doing.

Furthermore, 79 percent believe that employers should adapt more to the needs of young employees.

Apart from securing a job with regular income, 69 percent of respondents said that their life goal is to invest their money, and the same proportion said that it is to get sufficient insurance coverage.

Interestingly, only 46 percent said that their life goal is to start a family, while 37 percent said that it is to start a business.

The study also found that seven in 10 Singapore millennials will only consider marriage when their career is stable, and 77 percent of them prefer to have smaller, more intimate weddings.

The four millennial personas

From data collected during this survey, Frank by OCBC concluded that there are four types of millennials in Singapore.

Security Seekers: They make up 23 percent of respondents, and they are defined as private individuals who seek financial security and need the most help — compared with the other three personas — in basic financial planning.

Social Givers: 22 percent of respondents fall under this category, meaning that they value helping others and social causes. However, they need help in maximizing their current savings and insurance portfolio.

The Nonchalant: This persona, which makes up two in 10 of all respondents, is quite the opposite of Social Givers. These millennials prioritize themselves before others, are more inward-looking, and need to be more interested in managing their personal finances.

Strivers: The majority of respondents fall under this category (35 percent), defined as individuals who value power, control, and advancement. These individuals need help in global investments and using financial digital tools.

More women fall under the Security Seekers, The Nonchalant and Social Givers categories, while Strivers is the only male-dominated one.

But this finding could have been affected by the demographics of the survey, which show that 56 percent of respondents are female, while 44 percent are male.