Consumers Hope Life Insurance Can Offset Effects of Financial Crisis

Posted in Life Insurance

October 27th, 2009

A new report shows that Americans believe they will benefit from using their life insurance policies as a way to offset the financial problems that could trickle down to their family members due to portfolio losses. According to the Renewed Relevancy Life Insurance in Stormy Economic Times report issued by Prudential Financial Inc., nearly two-thirds of those polled believe that market conditions reinforce their need for adequate life insurance.

Life Insurance: A Safe Way to Protect the Family

With the financial market being more unpredictable than ever, consumers have been looking for safer ways to provide long-term financial security to their families and they believe life insurance is a good route to take. According to the report, here are some of the consumers’ thoughts on life insurance and other investments:

• Life insurance is safer: Two-thirds of consumers believe that life insurance is one of the safer financial products available today.
• Other financial products are risky: About half of those consumers interviewed feel less confident about putting their money in stocks and bonds than they did 18 months ago.
• Families are protected with life insurance: Roughly 78 percent of consumers believe life insurance death benefits will protect their families.

Have You Reviewed Your Life Insurance Coverage?

The report showed that while consumers have high confidence in life insurance, only 24 percent have actually reviewed their coverage. Even fewer have made changes. Knowing what’s in your life insurance policy is important if you want to make sure your family will be financially secure upon your death. So now’s the time to review your coverage to make sure you have the right life insurance coverage for your family.

Do you think life insurance is more reliable than stocks and bonds?