“We know from our polling that some people will not let their insurance drop for their car or even their phone, but when people are not having life insurance due to home budget pressure or because of a lack of understanding then we know the life industry has a responsibility to help educate people on the risks they face and benefits of life protection.
“The great irony is that times of reduced confidence in job and financial security are the times when people need life insurance protection the most.”
Minto concluded that the results revealed just how much more the industry needs to do to educate people on the unique benefits of life insurance and how it differs from other forms of insurance and social supports.
“It isn’t just for people with dependents or those who think that, because they have assets such as a home, that their family will not need financial assistance should they be no longer able to work through illness or death. Men also need to think more about the financial risks to their families and dependents from them being unwell. It is not enough just to think it will never happen.”
Women appeared more knowledgeable in the poll, with only 6% believing that their plans for a long and healthy life reduced the need for life insurance (15% for men). Men were also more likely than women to think that their health insurance would give them the same benefits as a life policy (19% vs. 14%).
“Perhaps surprisingly, younger generations seem to understand the role of life cover more than older people, but those without cover display a greater misunderstanding about the need for personal insurance than their older generations,” Minto said.