8 in 10 Asians cite healthcare costs as top concern

Yet, 39% said they prioritise physical well-being more than finances.

Rising healthcare costs are a major concern in the region, yet consumers prioritise physical well-being (39%) over financial (32%) and mental well-being (29%). 

“Findings of this year’s Asia Care Survey show that as people across Asia are expected to live longer, they want a healthy retirement, but are worried about the rising future healthcare cost as a factor undermining their overall well-being,” Phil Witherington, President and Chief Executive Officer, Manulife Asia, said in a media release. 

This sentiment is consistent across all surveyed markets and underscores the need for insurers to innovate in health and wellness offerings, revealed Manulife's Asia Care Survey 2024. 

Financial well-being is higher among married couples with children (71%) compared to singles (57%). Moreover, financial literacy on investment products is lower among singles (47%) than married individuals (70%). 

Only 39% of singles have a financial planner, compared to 65% of married respondents.

The findings further revealed that 75% of respondents cite rising healthcare costs as their main financial concern, more than overall inflation (74%). 

Over the past year, consumers perceived healthcare cost inflation at 23%, more than twice the actual rate. 

The highest perceived cost increases were in medication prescriptions (52%), preventive healthcare (37%), outpatient care (36%), and hospitalisation (35%).

Respondents' top financial goals include saving for a rainy day (39%), achieving financial freedom in retirement (32%), and having funds for healthcare needs (30%). 

Most rely on cash savings or bank deposits (68%) to achieve these goals, significantly more than investment products (39%). This reliance is highest in the Philippines (71%) and lowest in Hong Kong (63%).

There is also potential for increased health insurance take-up, with only 18% having critical illness coverage, compared to accident (32%), inpatient (32%), and outpatient (26%) insurance. Main health concerns include heart disease (35%), cancer (34%), diabetes (32%), and stroke (31%).

Overall, 80% of respondents have insurance, particularly personal (74%) and life (39%) insurance. Singles have fewer savings products, less insurance coverage, and use fewer investment products than married individuals. 

There is a widespread expectation (76%) that topping up retirement and pension benefits from employers will be necessary, especially in Indonesia and Vietnam (both 85%), and mainland China (81%).

The survey, which included 8,400 respondents from eight Asian markets, introduced Manulife’s MyFuture Readiness Index. This index measures consumers' views on their current and future physical, mental, and financial well-being. 

On a scale of 1 to 100, respondents' desired readiness level was 86, but their expected level was only 72, indicating a lack of confidence in achieving their desired well-being.

The Manulife survey, in its fifth year, was conducted via online questionnaires in January and February 2024. 

The survey included participants aged 25 to 60 from mainland China, Hong Kong, Indonesia, Japan, Malaysia, the Philippines, Singapore, and Vietnam, all of whom own or intend to buy insurance.