With 90% of respondents citing climate change as a leading
concern, 92% fearing liability lawsuits, 81% of collectors worrying
about theft, and a substantial insurance protection gap across
critical areas, Chubb's new report reveals the top risks facing
today's wealthy
NEW
YORK, Dec. 3, 2024 /PRNewswire/ -- Today's
wealthy households face a complex array of emerging risks that
threaten their ability to build and maintain wealth, according to
Chubb's new 2024 Wealth Report: Cultivating Resilience in a
Changing Landscape. In this survey of affluent North Americans,
the majority with assets exceeding $5
million, Chubb found that climate change, cyber threats and
valuables collection security have emerged as the top concerns
shaping how the wealthy manage and protect their assets.
While high net worth individuals are concerned with emerging
risks, the survey finds that 63% of respondents say there are more
opportunities for building wealth now than ever before, reflecting
more optimism than last year, when 66% said that building wealth
was more challenging. However, more than half (61%) do not consider
themselves wealthy, including many with investable assets of more
than $10 million.
"We're seeing a shift in how the wealthy perceive and prepare
for risk as they recognize the far-reaching impacts of climate,
cybersecurity, and the safeguarding of high value collectibles,"
said Ana Robic, Division President,
Chubb North America Personal Risk Services. "Chubb's 2024 Wealth
Report highlights how addressing these concerns requires a more
tailored approach that goes beyond standard asset protection,
ensuring that affluent individuals can preserve their family's
legacy with resilience."
Other Key Findings
- Climate change has become the leading risk for affluent
households, with 90% of respondents listing it as a concern—up
nearly 20% from last year's report. Among these, 53% report being
considerably or greatly concerned.
- Many wealthy families (86%) say they will be spending more on
their homes over the next 12 months. 80% of respondents who are
concerned about climate change see home renovations as the best
time to add sustainable features.
"The scale of recent climate events is driving wealthy families
to rethink their approach to property protection," said
Jennifer Naughton, Executive Vice
President and Risk Consulting Officer, Chubb Personal Risk
Services. "Our findings reveal a greater demand for guidance on
mitigating climate impacts—from property resilience planning to
sustainable renovations."
- The digital lives of affluent families create distinct
vulnerabilities, placing cybersecurity among the top risks in this
year's report. Identity theft (56%) and cyberbullying (55%)
are the top two concerns, with phishing, malware and ransomware
attacks cited as additional concerns.
- The report additionally finds that the more assets a family
has, the more likely they are to be targeted
by cybercriminals. One in six households with assets exceeding
$25 million reported that a family
member has been victimized by a cyber-related attack.
- Collections of high-value items are a key part of wealth
expression among today's affluent, with nearly half planning to
acquire fine art, jewelry, cars, wine and other valuables over the
next 12 months.
- Protecting these collections is cited as a major priority. 81%
of collectors worry most about theft, and 67% believe that damage
to their collections during travel is their biggest risk.
Nonetheless, nearly a third of affluent collectors report plans to
self-insure their new acquisitions, an approach that leaves
significant value unprotected.
"High-value collections are a unique and irreplaceable part of
many families' legacies," said Laura
Doyle, Senior Vice President, Fine Art and Valuable
Collections Product Leader, Chubb Personal Risk Services.
"Protecting these assets requires specialized expertise and
coverage, as they are more than just investments—they're often
deeply personal items that families want to preserve for future
generations."
- Approximately three quarters of survey respondents with
substantial collections say they have already decided who will
inherit them—but only 64% have taken the legal steps towards
bequeathal.
- Wealthy individuals increasingly express anxiety over
liability-related risks. Chubb's report reveals that 92% of
respondents are concerned about the potential financial impact of a
liability lawsuit, yet only 28% carry sufficient excess liability
coverage.
The complete 2024 Chubb Wealth Report findings can be
found here.
Methodology
The 2024 Chubb Wealth Report is based on
research conducted by Beresford Research. Data was gathered from
800 respondents across North
America between July and August
2024, with participants representing a range of demographics
and age groups. All respondents possess investable assets of at
least $500,000, with the majority
having assets exceeding $5 million.
The margin of error is +/- 3.46%.
About Chubb
Chubb is a world leader in insurance. With
operations in 54 countries and territories, Chubb provides
commercial and personal property and casualty insurance, personal
accident and supplemental health insurance, reinsurance and life
insurance to a diverse group of clients. The company is defined by
its extensive product and service offerings, broad distribution
capabilities, exceptional financial strength and local operations
globally. Parent company Chubb Limited is listed on the New York
Stock Exchange (NYSE: CB) and is a component of the S&P 500
index. Chubb employs approximately 40,000 people worldwide.
Additional information can be found at: www.chubb.com.
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SOURCE Chubb Limited