In the last edition of "Risky Business", we talked about the perception of risk by individuals and how it doesn't always reflect the reality of a risk. One of the major influences on the perception of risk is the culture around it. You may have seen on social media lately a very touching video of a regular guy walking around his neighborhood feeding a stray dog, helping a street food vendor with her cart, watering plants and giving money to the poor.

The end of the "unsung hero" video reveals that it's a Thai Life Insurance advertisement which simply amazed me. You see, life insurance is a tough sell in Thailand because of the culture; based in Buddhist philosophy, Thai culture is collectivist, as opposed to the more individualist culture of, say, North America. It's important for Thai people to take care of every member of the family, and it is the duty of younger family members to give thanks to their elders and take care of them in their old age. Thus, advertisements for end-of-life planning, such as nursing homes, retirement funds and life insurance, in Thailand are often unsuccessful.

The idea behind insurance is to help individuals get back on their feet after some sort of tragedy. But, watching American insurance commercials, it seems like they really want to downplay the tragic side of risk and rely on comedy. However, the

Thai Life Insurance commercials take a stab right at the heart; no matter where you are from, you feel it. The sorrowful videos have managed to go viral, which is remarkable, considering there are no celebrity actors or funny punch lines. Ironically, the sad message has had a positive impact on the brand. Interestingly, the stories in the ads came from Thai Life's own consumers. The insurance company wanted to promote sincerity, and the best way to do so is through a true story.

Thai Life Insurance's brand positioning is "Caring for Thais" and the promise of "value added for life". The brand cleverly uses Thai culture to promote the idea that the most caring thing of all is to have life insurance for your family, even though the culture has traditionally been averse to the idea of life insurance.

In other cultures, such those found in Ghana, there is a perception among some that planning ahead for a disaster is like inviting the misfortune to happen. Individuals of low income levels prefer to rely on God's protection to prevent calamity. Likewise, in Nigeria, many individuals have a fatalistic view which dissuades them from seeking insurance services. Nonetheless, the vast majority of even the most collectivist societies still believe that insurance services are a necessary and beneficial part of their personal and business financial strategy.

In more individualistic societies, such as the U.S., insurance services are embraced as a part of life. However, according to a 2008 ING study, 40 percent of Americans find life insurance plans more difficult to decipher than their cell phone contracts. All in all, decision-making in an uncertain situation is affected by individuals' attitudes toward risk, which is partially shaped by their culture.

To quote Paul Coleho, author of "The Alchemist": "Culture makes people understand each other better. And if they understand each other better in their souls, it is easier to overcome the economic and political barriers. But first they have to understand that their neighbor is, in the end, just like them, with the same problems, the same questions."

o Stephanie Cleare is a fully licensed and qualified account executive at Tavares & Higgs Insurance with 12 years experience in the Bahamian insurance industry. Email her at scleare@tavareshiggs.com.

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