Top Concerns for High-Net-Worth Individuals

A recent survey conducted by Chubb revealed that high-net-worth (HNW) individuals in the US and Canada are facing various challenges related to economic instability, climate-related property damage, and potential lawsuits. The survey, which involved 800 wealthy Americans and Canadians, highlighted how 66% of respondents believe that building and protecting wealth is increasingly difficult. Despite these challenges, 83% of those surveyed are still actively employed, with many expressing a desire to never retire.

One major concern identified in the survey was the impact of climate change on homes. The majority of respondents expressed worries about exposure to extreme weather events like hurricanes, floods, and wildfires, leading to water-related damage. To safeguard their homes, many HNW individuals have taken preemptive measures such as installing generators, sensors for detecting water leaks, smoke detectors, and wildfire mitigation strategies.

Additionally, the survey found that a significant percentage of respondents consider themselves collectors of valuable items such as fine art, jewelry, cars, and wines. Concerns about art fraud and damage during transportation or travel were also highlighted. Liability risks were another pressing issue for HNW individuals, with fears about potential verdicts in lawsuits and vulnerability to legal action due to their wealth.

Surprisingly, only 36% of respondents had excess liability coverage, indicating an area where improvement is needed. Auto liability risks, including concerns about accidental harm to pedestrians or liability issues in automobile accidents causing bodily injury, were also top of mind for respondents. In conclusion, the Wealth Report by Chubb provides valuable insights into the challenges faced by affluent individuals and how they are adapting to safeguard their wealth.