Majority of people share critical data with banks, insurers for lower pricing

The lure of lower pricing makes a majority of the people seeking financial services share their personal data with banks and insurers, says a survey. The findings of the survey, which says seven out of 10 people share critical data for lower pricing, come amid widespread concerns on data privacy. The "significant personal information" that people are willing to share includes income, location data and lifestyle information, the survey by IT firm Accenture said.

Benefits for which the personal data are traded include quicker loan approvals, discounts on gym memberships and personalised offers based on location, said the survey which had 2,000 respondents from the country. Interestingly, 81 percent of those polled also call out privacy as being "paramount" and are "very cautious" about their personal data. The large number of people willing to share personal data for more efficient services at better prices "underscore the role of digital technologies in the distribution of financial services in the country", says the survey.

Elaborating on the data sharing aspect in the insurance industry, the survey reveals that three-fourths of those polled are keen on reducing their car insurance premium by trading safe driving data and 69 percent for life insurance, where the premia are tied to a healthy lifestyle. In banking, as much as 93 percent of consumers are willing to share the details of their income, location and lifestyle habits for rapid loan approvals, while 91 percent do so to receive personalised offers based on their location, such as discounts from a retailer, it says. At the global level, Chinese and Indians lead on willingness race to share personal data front, at 67 percent and 69 percent, respectively, while Europeans are the most sceptical.

(With inputs from agencies.)