FWD Survey: Over 70% of Asia's Middle Class Experience Financial Anxiety, Hindering Long-Term Planning

A new consumer outlook survey from FWD Group Holdings Limited reveals that over 70 percent of Asia's middle class feels anxious about their financial wellbeing, with immediate cost pressures preventing longer-term planning. The findings, based on responses from over 9,000 consumers across ten markets, highlight how rising living expenses, healthcare costs, and income uncertainty are reshaping financial priorities. Nearly three quarters (71 percent) of respondents cited anxiety about their overall financial wellbeing, with the top concerns being the rising cost of everyday living (71 percent), high cost of healthcare (43 percent), and unexpected job loss or income reduction (37 percent). This anxiety has led to a focus on short-term financial goals, with almost half (44 percent) aiming to build a basic safety net for their families and one-third (37 percent) hoping to achieve financial independence, typically within a two-to-three-year timeframe.

The survey, conducted with Ipsos, uncovered distinct generational pressures. Generation X faces the toughest balancing act, funding education, paying mortgages, and preparing for retirement. Among this segment, 62 percent worry their savings won't keep pace with inflation, and 52 percent rank guaranteed lifelong income as their top retirement need. Generation Y juggles multiple responsibilities, with 49 percent worrying about saving for their own retirement while 85 percent support their parents in addition to caring for their children. Although almost half (47 percent) seek a single, efficient solution to cover multiple family members, most (61 percent) have never heard of family insurance plans. Generation Z faces growing financial pressure, with 53 percent expecting difficulties in the next five to ten years due to rising daily expenses and 46 percent saying insurance products feel too expensive.

Lee Yen Ho, Group Chief Distribution and Proposition Officer at FWD Group, stated that the findings reveal a shared sense of financial vulnerability across generations. He emphasized that as people live longer and family structures evolve, building financial resilience to protect loved ones and turn savings into sustainable lifetime income is becoming increasingly essential. Changing perceptions about insurance could play an important role, as it provides protection in difficult times while also helping to build resilience, secure retirement income, and give people confidence. The survey covered markets including Cambodia, Hong Kong SAR, Indonesia, Japan, Macau SAR, Malaysia, the Philippines, Singapore, Thailand, and Vietnam.

FWD Group offers various products across its markets aimed at strengthening protection, resilience, and long-term financial security. For example, in Hong Kong, the One&All medical insurance plan provides flexible family-focused coverage. In Japan, a single-yen premium annuity product was introduced to meet growing demand for savings and retirement planning. In Thailand and Singapore, the FWD Sure pension plan and FWD Invest Flexi Elite plan help customers prepare for retirement through structured income and sustainable wealth-building options. In Indonesia, the FWD Critical First protection plan delivers affordable, inflation-conscious coverage to help families safeguard their financial wellbeing amid rising costs.