All people can benefit from having life and disability insurance, but a recent survey by a major insurer indicates that single employees are far less likely to have the coverage.
Single employees may present an untapped market. Nearly 40 percent of those who are unmarried have life insurance, compared to just over 60 percent of those who are married. However, almost three-quarters of single respondents said life insurance would be important to them within the next five years.
It's important for single consumers to remember that they too can benefit from having life insurance. While most are familiar with the death benefit policies offer, some may be surprised that there are plans that offer income later in life. Such funds can be particularly useful when paying for medical care.
A quarter of single respondents indicated that they have disability insurance. While someone who isn't married and doesn't have kids may not have others directly relying on them for income, coverage is still extremely important. Should an accident occur that prevents a person from working, there isn't another person to fall back on for financial support, notes a representative from the insurance company.
"And single employees place themselves at considerable financial risk if they're not insuring their income with disability insurance. If an illness or injury caused them to be unable to work, they couldn't pay their everyday living expenses for long and don't have a spouse to rely on for help," the representative said.
Some employers offer life and disability insurance as part of an employee's overall benefits package. However, the coverage being offered may not be enough to meet a person's individual needs. Under such circumstances, consumers can purchase supplemental life insurance to ensure they have the right amount.
Also, just because a person is married doesn't mean he or she is necessarily going to have life insurance. Over this past summer, LIMRA released study results indicating that ownership of life insurance had dipped to a 50-year low. Under such circumstances, a large number of people and their dependents are at risk of not being able to get by financially should a family provider pass away.
Now could be a good time to purchase life insurance. While the economy has many people feeling a financial pinch, going without coverage can leave one left holding the bag.