The business case for leading on Purpose

The Purpose Imperative

Canadians are feeling overwhelmed by social and economic pressures and recurring devastation from floods, fires and extreme storms.

On top of constantly managing risks, liability and costs due to these conditions, the insurance industry, like all others, is facing tremendous change and challenges with respect to consumer expectations and buying habits, brand reputation and attraction and retention of talent.

Gore Mutual was created more than 150 years ago by people who came together to look after one another in times of adversity. Today, as a modern mutual, that sense of Purpose lives on, and is needed more than ever.

In this spirit, Gore Mutual and RKI Insights completed three waves of research with Canadian insurance brokers, insurance professionals and consumers to investigate whether Purpose is valued by the industry and consumers and the impact our shared investment in Purpose might have on these issues.

There is a clear and powerful case for investing in purpose.

Right now, the insurance industry is ranked 8^th on the list of most respected sectors based on benefit to society, and yet only 13% of respondents to our survey said they believe the industry is doing good in the world. We can change this perception by investing in Purpose.

A solid foundation to build upon

• 95% of insurance professionals and 84% of consumers believe Purpose is important.
• 98% of insurance professionals already have pride in the industry.
• 93% of consumers can cite at least one positive impact the insurance industry delivers.
• 75% of consumers say they’re more likely to trust socially and/or environmentally responsible brokerages.

Our research shows that 99% of respondents recognize the business threats of ignoring purpose, including falling behind competitors and reputational risk, and 93% see that discussing Purpose with clients results in deeper relationships and enhanced loyalty.

Future proof your business

Consumers expect the insurance industry to respond to the changes and challenges they are facing. Over 90% of brokers and nearly 80% of insurance professionals report that clients are asking questions about Purpose and nearly 70% of consumers indicate they would select an insurance company based on Purpose-driven initiatives. Brokers and insurance professionals say the top three reasons for investing in purpose are: positive work culture (44%); client retention (41%); and understanding those we serve better (36%).

Consumers choose Purpose

Over 80% of consumers can cite at least one reason they would be inspired to work with a Purpose-driven insurer, and 80% believe that any Purpose-driven effort enhances reputation. Approximately 75% of Gen Z and Millennial consumers actively seek out brands based on values.

More than 90% of consumers say, with price and quality being equal, they would switch brokerages if the second supports a community or charity they care about.

Let’s lead change together

Gore Mutual is committed to sharing research and knowledge with the entire industry to spur the change we feel needs to happen.

Over 850 Canadian insurance professionals, including more than 350 brokers and just over 3200 consumers participated. The research, conducted in support of the Purpose Partnership, included three online surveys conducted in August 2022, December 2022, and May 2023.

We hope you will use this information to build the business case for Purpose in your organization.

To learn more, visit goremutual.ca/purpose. For information about this research, please contact us at purpose@goremutual.ca.