A new national survey commissioned by Allstate Insurance reveals college-aged adults are acquiring things at a prodigious pace. However, protecting those things is of little concern - to themselves or the parents who support them.

In the study, almost half of respondents (48 percent) reported belongings worth more than $10,000 and 87 percent reported they could only afford to replace, at best, some of their things. Despite this, nearly two-thirds (63 percent) had no insurance protection and 64 percent said it wasn't likely they would purchase renters insurance anytime soon.

In perhaps the best illustration of misplaced priorities, almost one third of respondents (29 percent) reported spending $100-250 on clothes during any given month, which is roughly what insurance costs for an entire year.

"The data suggests to me that people aren't thinking past the purchase," said Julie Parsons, vice president of Emerging Businesses and Consumer Household, Allstate Insurance Company. "It's a shame because renters insurance is one of the smartest investments people in this situation can make and so few take advantage of it."

A Bureau of Justice Statistics survey of households shows renters are 50 percent more likely to be burglarized than homeowners. This is yet another sobering reminder of how precarious the situation is for so many Americans opting to go without renters coverage.

The need for education is clear: almost one third of respondents (32 percent) believed renters insurance to be as much as 15 times higher than the actual national average of $16 per month. Overall, 78 percent of respondents had misperceptions about the true cost of renters insurance.

To underscore how education helps to address this current trend, eight out of 10 of those surveyed without renters insurance at the outset, expressed interest in buying insurance once they learned basic information about the coverage.

About the Survey

The national survey is comprised of 1078 weighted interviews and a 201 student oversample. Interviews were collected between July 25 and August 6, 2009 using internet and cell phone samples. All participants are young adults who rent their home or apartment and are between the ages of 18 and 30. Student oversamples were collected in California, Florida, New York, Pennsylvania, and Texas. All surveys were conducted by Squier Knapp Dunn and Beck Research for Allstate.

About Allstate

The Allstate Corporation (NYSE: ALL) is the nation's largest publicly held personal lines insurer. Widely known through the "You're In Good Hands With Allstate(R)" slogan, Allstate is reinventing protection and retirement to help more than 17 million households insure what they have today and better prepare for tomorrow. Consumers access Allstate insurance products and services through Allstate agencies, independent agencies, and Allstate exclusive financial representatives in the U.S. and Canada, as well as via www.allstate.com and 1-800 Allstate(R).

 

SOURCE Allstate