Gen Z in developing Asian countries, including the Philippines, are as confident in their financial expertise as Millennials and Gen X, showing greater ambition and a strong desire to climb the socioeconomic ladder, a new survey revealed.

“Zoomers [Gen Z] are equally likely to consider themselves very knowledgeable or experts in finance, similar to the older and more experienced Gen Y,” according to Peak Re’s 2024 Emerging Asia Middle Class Consumer Survey.

This generation has a strong drive to ascend from its current position, as many are in the lower middle-class segment.

While they appear to be on par with older generations in terms of financial confidence, Peak Re Chief Economist Clarence Wong reported that “Gen Z consumers are generally less informed about the different types of insurance products, both life and health, and property and casualty.”

However, Zoomers' digital fluency appears to give them an advantage when it comes to cybersecurity insurance, as they showed higher awareness compared to Millennials and Gen X.

Like Millennials and Gen X, they are also worried about diseases such as cancer, diabetes, and cardiovascular diseases. However, mental health disorders, such as depression and anxiety, are more prominent among this generation's concerns.

"This could be the reason why there is such an emphasis on mental health care in insurance products tailored for Gen Z," Wong said, adding that this is consistent with previous studies showing that “Gen Z is more open about discussing mental health issues and more likely to seek help and use mental health services.”

Likewise, Gen Z has a strong inclination to purchase wellness products and services, likely driven by their digital access and reduced stigma around self-diagnosis.

The survey included 7,080 consumers across six key emerging Asian markets. Despite Millennials making up 72 percent of the survey respondents, Wong noted the rapidly increasing population of Gen Z, emphasizing the importance of focusing on this cohort.

“By 2025, Gen Z is expected to constitute at least a quarter of the population in the Asia-Pacific region,” Wong said, citing China’s burgeoning Gen Z population at 233 million, making up 13 percent of household expenditure.

The survey highlighted the need for insurance practitioners to understand Gen Z’s ambition, health concerns, and digital awareness to tailor products that meet their needs and build lasting customer relationships.