A recent study published by LIMRA found that financial insecurity transcends generations, and is highest among Gen X (49%), followed by Millennials (44%), Gen Z (42%), and Baby Boomers (33%).
Analyzing 8,517 responses, the gender gap also extends to life insurance coverage – for the 6th consecutive year, the study found that the percentage of uninsured women has increased, with just 46% of women report owning life insurance, compared with 53% of men.
According to Chantal Mackenzie, Regional Vice President at Canada Protection Plan, a leading provider of life and critical illness insurance, the reasons provided for not owning life insurance, are equally as concerning as the widening gap itself:
- It’s too expensive (39%)
- They have other financial priorities (37%)
- They’re not sure how much or what type to buy (22%)
Elaborating further, Chantal says that “life insurance may seem expensive, but the cost of doing nothing is potentially far more expensive. Cost is very relative. A true Needs Analysis should be completed to determine the type and amount of insurance need for the client’s specific situation. And while the need for life insurance is debatable for a young, single client, it is practically a requirement for families with children.”
The more proactive a consumer of insurance is, the more benefits they can reap. If you wait to purchase protection, it will only get more expensive. It will also become more difficult to qualify if your health, as well as that of your families, deteriorates over time. Being prepared is a lesson Canadian’s harshly absorbed over the last 2 years. Canada Protection Plan wants to help Canadians understand how insurance provides the foundation of financial security.