Research from Sainsbury’s Bank Life Insurance reveals that four in ten parents with children under the age of 18 do not have any life insurance in place. Around two thirds of these parents do not have any critical illness protection.
The findings highlight the life insurance gap for families who may be unable to cope financially and afford the same lifestyle if one parent can no longer provide.
Surprisingly, of those without life insurance, 21% do not believe it is necessary and almost half (49%) say they cannot afford it, with 7% saying they used to have it but the increasing cost of living has made it no longer affordable. One in ten parents (14%) claimed they plan to take out life insurance cover but have not got around to doing it.
The research showed that among those with life insurance, 36% say they have never reviewed their cover and just 10% increased their life insurance cover as they had children.
Scott Gorman, Head of Sainsbury’s Life Insurance said: “Life insurance is an important financial safety net and should not be overlooked. Families should consider life insurance with critical illness protection as early as possible to cover their mortgage, any borrowing and other day-to-day commitments to ensure financial stability, if the worst happens.”
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