Date : October 9, 2025
On October 9, 2025, CAFII hosted a webinar titled CAFII Webinar on Pollara Segmentation Study Findings: Credit Protection Consumer Profiles – an Exclusive Presentation by Pollara with Lesli Martin, Senior Vice President of Pollara’s Strategic Insights. CAFII’s Executive Director, Keith Martin, opened the webinar by thanking all attendees and introducing CAFII’s Research Analyst, Robyn Jenning. He explained that, at the beginning of 2025, CAFII commissioned Pollara to conduct a survey of CPI owners and the general populace’s sentiment towards this product; the webinar highlighted the key findings. R. Jennings then introduced Lesli Martin, the lead for Pollara’s consumer insights and financial services divisions, as well as the health affairs and reputation specialty practices. Prior to joining Pollara, L. Martin was a senior researcher and account lead at Leger and comScore, and led research departments at Sears, Cossette, and Great Gulf Homes. She has authored research-based articles in peer-reviewed medical journals such as Healthcare Quarterly, and her research has been featured in most Canadian newspapers as well as Marketing Magazine. L. Martin holds a BA in Business Communication from Brock University.
Before beginning the presentation portion of the webinar, R. Jennings extended a special welcome to several VIP guest attendees, including CAFII’s 14 member companies, 12 Associates, allied industry Associations such as the Canadian Life and Health Insurance Association, or CLHIA; the Travel and Health Insurance Association of Canada, or THIA; from insurance research firm LIMRA; and, as well, from many insurance and financial services regulator and policy-making authorities, including the following:
- The Insurance Council of BC;
- The BC Ministry of Finance;
- The Insurance Council of Manitoba;
- The Financial Services Regulatory Authority of Ontario, or FSRA;
- Quebec’s Authorité des marchés financiers, or the AMF;
- The Government of Nova Scotia;
- The Financial Consumer Agency of Canada, or FCAC and,
- The federal Department of Finance, Government of Canada.
R. Jennings then asked L. Martin to speak about the research. L. Martin explained the study’s methodology, which involved surveying 3,521 Canadians who have a mortgage or HELOC. This included both CPI and non-CPI holders. The goal of the survey was to achieve a deeper understanding of Canadian homeowners and their feelings towards CPI and life insurance in general.
Pollara’s segmentation study identified six distinct groups among Canadian mortgage and HELOC holders, with the first four being of particular interest:
- The Confident Planner : Makes up a larger portion of the market and is likely to renew/purchase CPI.
- The Anxious Realist : Makes up a larger proportion of the market and could stand to benefit from CPI.
- The Stretched Investor : Has CPI, feels positively about it, and makes up a substantial portion of the CPI customer base.
- The Steady Planner : Some have CPI while others don’t. Those who have CPI are likely to renew.
- The Settled Saver : Does not have a perceived need for SPI and is unlikely to purchase it.
- The Comfortable Traditionalist : May consider CPI for convenience, but the likelihood of purchase is low.
The Confident Planner and Anxious Realist make up about half of the population (a total of 51% of the Canadian mortgage/HELOC holders combined). The Stretched Investor and Steady Builder make up a total of 13% of the population. Because both the Settled Saver and the Comfortable Traditionalist are unlikely to purchase CPI, the webinar focused on the other four groups, as they are the people who might need and benefit from credit protection.
Delving deeper into the four groups, L. Martin personified the findings.
Meet Kai; he is a Confident Planner. He is in his early 30s, married, and has a family (dependents). He has high financial literacy and knows how to manage his household’s finances. He is already saving for retirement. Kai is keeping up with his bills and managing mortgages for multiple properties; the Confident Planner is more likely to have multiple properties. Kai has a larger-than-average investment portfolio. The Confident Planner understands that things can change rapidly, which is why they own CPI. This group tends to be anxious about job loss, keeping up with bills, and economic uncertainty. Although Kai feels confident, but he remains concerned about his employment and worried about the economy. Kai accounts for 30% of the current customer base, with a 28% likelihood of renewal from this group.
Meet Krystal; she is an Anxious Realist. She is the opposite of Kai. She is in her mid-40s, married, has teenage dependents, and is navigating ongoing financial stress. Her anxieties include household bills, credit card debt, job losses, and lack of confidence in her financial literacy. She is living paycheck to paycheck; therefore, she is not saving for the future. Due to her limited financial knowledge, Krystal lacks confidence in her ability to plan or invest effectively. When it comes to CPI, she wants it to be simple and built into her mortgage. While Krystal does not want another bill, she understands that CPI offers protection for her and her family in the event of a significant financial crisis. The Anxious Realist represents the struggle between the protection that is needed and the protection that can be afforded. Krystal accounts for 19% of the customer base, with a likelihood of 15% retention. This means that some loss may occur due to affordability and lifestyle considerations.
Meet Michael; he is a Stretched Investor. He is balancing his many demands – kids, mortgage, HELOC, and credit card debt. Money does feel stretched for Michael, but, unlike Krystal, he can still consider long-term goals. Financial security is a priority. Michael is future-oriented. He manages his finances with confidence, indicating that he possesses some financial literacy. Pollara found that 100% of this segment already owns CPI. Michael accounts for 22% of the customer base, with a 6% likelihood of coverage retention. The potential to cancel was only 4%. What is stopping the Stretched Investor from purchasing or repurchasing comes down to affordability and value for money. Pollara found that this group does have financial advisors, but rarely uses them to discuss insurance. Michael, and the Stretched Investor group, need to understand that CPI offers good value for money and that this product is right for him and his family.
Meet Diljeet; he is a Steady Builder. He is the youngest of the segments. He is married, has young children, and is balancing homeownership, debt management, and future planning. Although he is younger, he is still planning for his retirement. Diljeet is confident in his financial knowledge, but he is pragmatic in his decision-making; he wants to be informed before making any major financial decisions. The Steady Builder differs from the other groups in that half own CPI and half do not. While Diljeet does not own CPI, his peers do. He is beginning to research and understand the product, but he feels he needs more information before making a purchase. Where Krystal wanted as few details as possible, Diljeet wants all the details so he can make an informed decision. The Steady Builder accounts for 12% of the customer base, with an 11% retention rate.
Meet Arthur; he is a Settled Saver. This segment is unlikely to consider CPI. Arthur is older, nearing his 60s. He has been married for over 20 years, and all his children now live independently. He is planning for retirement. Arthur has investments totalling nearly half a million dollars; this affords him a comfortable lifestyle. His biggest concerns are retirement adequacy and long-term care costs. He is also concerned about economic uncertainty and the stability of his investments. This group is unlikely to think CPI is beneficial; 56% said they were unlikely to obtain or renew CPI. Arthur makes up 5% of the customer base, with a 3% retention. There is some room for growth with this group, but it is minimal.
Meet Susan; she is a Comfortable Traditionalist. This group is unlikely to consider CPI. Susan is in her early fifties. Her children are living independently. She owns her home and is beginning to think about retirement. She is balancing work, saving, and bills. Susan is relatively confident in her financial management, having some financial literacy. She remains cautious about the economy, particularly in terms of job loss and market volatility. Susan is unlikely to purchase CPI, but she remains open to the product if she feels it is practical and helpful. To put it another way, unlike Arthur, Susan is not adamantly opposed to purchasing CPI. The Comfortable Traditionalist makes up 13% of the customer base, with a 9% retention rate.
L. Martin proceeded to the next portion of the presentation, which included the survey’s findings.
Financial vulnerability is widespread and growing. Canadian mortgage and HELOC holders are facing significant financial stress, with half unable to manage even six months without income, and most believing the country’s economic situation is worsening their financial standing.
- Only 30% of Canadian mortgage/HELOC holders feel confident in their current financial situation.
- 44% report that the current economic situation is negatively impacting personal finances.
- 50% could only maintain their lifestyle for less than six months without their primary income.
- 50% would have serious problems paying bills if the primary earner were unable to work.
The Stretched Investor and Anxious Realist are particularly vulnerable, struggling with affordability while facing the highest exposure to financial shock.
Job loss is a serious concern that Canadians are unprepared for. While Canadians worry about losing their jobs, they lack plans to handle potential economic challenges. The Confident Planner, the Anxious Realist, the Stretched Investor, and the Steady Builder are all concerned that losing their jobs could lead them into financial peril.
- 58% fear that someone in their household may lose their job in the next year.
- 74% say that they couldn’t last more than one year if they lost their income, and 50% doubt they could even last 6 months.
- 50% would have serious problems paying at least some of their bills, with 28% saying they would have serious issues paying all of them.
- 37% feel knowledgeable when it comes to financially planning for the future.
- 33% regularly put money into savings.
Canadians lack confidence in their existing financial safety nets; only 38% are confident they could pay their mortgage if the primary earner lost their income. Despite having insurance coverage, Canadians exhibit a deep uncertainty about whether their protection is adequate, highlighting a critical gap between having insurance and understanding it. 41% don’t know how long their insurance will last, while 44% believe it will last for less than 7 years. With 73% saying they feel they have sufficient life insurance, Canadians’ financial confidence appears to be emotional rather than informed. In fact, only 35% know how long a life insurance policy should last if needed. This uncertainty is particularly acute for the Stretched Investor and the Anxious Realist.
Even middle-range income households are feeling this financial anxiety. While lower-income households face the most significant challenge, even those earning $120,000-$250,000 often share similar financial anxieties, lacking a safety net to fall back on. A higher income doesn’t guarantee financial security or better insurance coverage.
Affordability and trust are the two main barriers to CPI adoption. While CPI holders view all aspects of the product positively, their confidence in its affordability and trustworthiness is weaker than their confidence in its convenience and efficacy. For non-holders, cost remains the primary barrier, highlighting a broader credibility gap that extends beyond pricing alone. Non-holders are less sure that CPI provides value for money. This coincides with non-holders who are less positive about their current financial situation and less confident in their ability to manage their finances; this group is less sure of CPI’s value.
What are the life changes and/or economic triggers driving the purchase of CPI? This includes changes to the financial situation that make paying bills more challenging or managing debt more difficult. This also includes economic uncertainty or turmoil, the rising cost of living, and major life events such as marriage or having children. CPI’s features that resonate most are family protection, stress reduction, and protection against unforeseen events. These triggers resonate across all the segments but are particularly relevant for the Anxious Realist, the Stretched Investor, and the Confident Planner.
Limited awareness and understanding hinder the broader adoption of CPI; 61% of non-holders do not recall being offered or informed about CPI, while only 39% recall being told about it as an option. Additionally, 40% of non-holders don’t feel they need CPI: 23% did not see the need for it, and 13% cited other coverage. Given concerns about safety, insufficient savings, and increasing financial stress, this is a key finding: Canadians lack adequate coverage and do not see the necessity for it. In fact, only half of the surveyed Canadians believe insurance is very important for protecting their families.
CPI provides the opportunity to enhance the overall protection available to Canadian mortgage and HELOC holders, particularly in the event of job loss.
L. Martin concluded the presentation by explaining that Pollara found that financial institutions are the primary distribution and influence channel when it comes to CPI ownership; 53% of holders purchase CPI from a financial institution, like a bank or credit union.
R. Jennings and K. Martin thanked L. Martin for her time and concluded the webinar.
