Nearly three in five women aged 25 and older have no life insurance at all, worrying research from Aegon has indicated. The What Really Matters Report from Aegon UK revealed how women aged 25 and over, and mothers of under 18 year olds in particular, do not have protection cover.
Over 70% of mothers questioned stated that their children’s financial security was one of their main priorities in life. However, the results of the survey suggested that 30% of mothers with young children had no savings.
Many women unprepared
This is increasingly significant as nearly three quarters of women with dependent children work outside the home, and could be seriously underestimating their importance to the financial stability of their families.
Almost 50% of women questioned had not even got as far as talking about plans for the event of their death with their partner or next of kin. In the event of a serious illness or accident rendering them unable to work for 6 months, over a quarter of the women surveyed would have to rely on state benefits and support.
Planning for the family’s future
Dougy Grant, who is protection director at Aegon UK, commented that: "Whether it's a reluctance to discuss the unimaginable, a feeling that protection isn't affordable, or simply a lack of awareness about the services on offer, there are plenty of reasons why women aren't insuring themselves for the benefit of their family.”
Advisers have a crucial role to play in addressing this, he continued. “The adviser is pivotal in addressing this disconnect and helping translate these priorities into the most appropriate actions for the customer. Key life stages such as marriage, having children, buying a house, getting divorced are all trigger points for a review of protection needs with any customer."
Grant concluded that “Being prepared for retirement is about more than saving - it's also about protecting what you have and planning for all eventualities."
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