The Importance Of Life Insurance
What is the purpose of Life Insurance Awareness Month? It’s a month dedicated to education and awareness on the importance of life insurance, the true cost & value of having it. It’s designed to make you question whether or not you are truly prepared if something should happen to your spouse, partner or loved one. Will you be able to sustain your current lifestyle – mortgage, college tuition, and other large expenses?
To us, this isn’t something we recognize just one month of the year. As a whole, the insurance industry has devoted years conveying this important message. It’s become their passion to create awareness and educate those who need it. What’s the driving force behind all of this? They’ve seen the devastating effects of not being prepared.
I’m sure at some point you’ve either purchased or considered life insurance. I’m also certain that it’s raised several questions. Will I be able to afford it? Do I really need it? Do I have enough coverage? You’re not alone; these are common & valid questions. I thought sharing what the perceptions & realities are of life insurance would be a great way to do my part of educating our communities:
Cost:
2 in 3 adults think life insurance is too expensive, but they overestimate its true cost by more than 2x.
8 in 10 Americans overestimate the cost of life insurance
People with no life insurance overestimate the cost by more than 3x and those with coverage by more than 2x.
Those under 25 think the cost of life insurance is almost 4x its true cost.
Need:
29% say they would fee the financial impact from the death of the primary wage earner in 1 month.
64% of adults agree they personally need life insurance, and 30% say they need more than they have.
More than a third of adults are concerned with leaving others to pay for their funeral expenses.
Almost half of adults age 25-44 are concerned with leaving dependents in a difficult financial situation should they die prematurely.
1 in 5 wish their spouse or partner had life insurance – or more of it.
1 in 3 women believe they don’t have enough life insurance coverage.
People cite “replacing income” as a top reason for owning life insurance.
(The source of All the following statistics is from “2015 Insurance Barometer Study, Life Happens and LIMRA”)
With this list of statistics, I hope to show the importance of owning life insurance, giving you a better understanding, and prompting you to take a more proactive approach in protecting your families & loved ones.
