Why does the average consumer think life insurance isn’t all that important? It’s not necessarily that they dislike life insurance; however, they have a limited view on its importance and how it “stacks up” with other financial obligations that life presents. Let’s see what really matters most when identifying financial objectives*:
• The two largest financial concerns are retirement funding and paying monthly bills (not investing in life insurance). Insurance tends to fall off the radar when a family needs to pay rent and put food on the table.
• Life insurance is 7th in financial priority, with less than 4 in 10 Americans even having a concern about it. Most consumers don’t take the time to review and research life insurance compared to other financial needs.
• More than 2/3 of Americans are more worried about saving for retirement than dying prematurely and creating a financial strain. Most consumers have concerns about the state of the economy, preparing for their retirement needs and not maximizing future insurance needs.
• As household income increases, worry about life insurance decreases. This shows a direct relationship to how much a household brings in versus how much of a concern life insurance might be.
• As household income increases, worry about retirement increases. Maintaining the retirement lifestyle similar to when they were working is more important than putting money aside for life insurance.
It is important to help your customers identify with how affordable Payment Protection is and how investing in the program will help them continue to plan on “what matters most”.
*2015 Insurance Barometer Study
For Internal Training Use Only