You have heard it said, “If only women ran the world, it would run more efficiently and peacefully?”
Could it be that WOMEN have more common sense, which unfortunately, is not as “common” as we would like to think it is?
Well, the fact is that 7 of 10 women agree that life insurance is a necessity, while only 62% of men believe this to be true. So, it must be true then—at least, for Life Insurance.
SO? Is it logical, a no-brainer, to assume that more women than men would be insured, especially given that 4 in 10 households with minor children include a mother who is either the sole or primary earner for her family.
But if you bet that this is the case—you would lose. While 61% of men have some sort of life insurance; the percentage of women is around 57%. And these numbers are declining for older women (over 55). The good news is that younger women are now as likely as the men to have coverage, albeit for smaller amounts. But the news isn’t really that good. More women are depending, solely and unwisely, on group insurance for their only life coverage.
Fortunately, a majority of single mothers, 2 out of 3 of working single mothers DO own life insurance. Not surprising, since women are more risk averse and mothers see protecting their offspring as their ultimate responsibility. BUT, of these women, only half or less are protected by individual policies. AND, sadly only a third has policies that will cover the family expenses for a significant time period.
We have with women a definite case of the “spirit being willing, but…” But what? But budget constraints winning over common sense.
“So what!” you say. Life insurance is for the benefit of others. There is no benefit to the insured. After all, doesn’t the person have to die for someone else to get the money?
Add to this misperception that everyday expenses; e.g., food, housing, transportation, and the preoccupation on accumulating “money for a comfortable retirement,” outweigh worries about (1) premature death; (2) funeral expenses; and the third traditional reason, the desire to leave an inheritance. All these elements taken together result in dismal U.S. statistics: 30% of households have $0 life insurance; only 44% have individual life insurance.
“With disposable income at an all-time low, American families have to make difficult decisions on what financial priorities take precedence. And unfortunately, life insurance is not at the top of the list.” 1 Also, 86 % of consumers who believe in the need for life insurance are paralyzed by YET ANOTHER misperception, that life insurance is too expensive.
- Life insurance only benefits those we leave behind; it does not benefit the insured;
- Life insurance is too expensive
Find out about the various LIFE INSURANCE options available where the insured can utilize the face value of life insurance policies for his/her own use while alive.
- LIMRA Facts about Life 2013