NEW YORK--(BUSINESS WIRE)--New research from Global Atlantic Financial Group found that more than eight out of ten Americans (83%) say making sure their loved ones are financially protected is important to them right now, yet two in five (43%) have no life insurance and only one third (33%) believe they have enough life insurance or other assets to protect their family in the event of their own death.
The “Perceptions of Life Insurance During a Pandemic” study was conducted in August by Artemis Strategy Group on behalf of Global Atlantic, among 1,065 American adults to examine their views on life insurance, estate planning and shifting financial priorities.
Aside from contracting Covid-19 personally or having a family member or close friend contract the virus, the top concern among those surveyed was to ensure their family’s financial wellbeing.
A full two thirds (67%) of Americans say the Covid-19 pandemic has made them think about their own mortality, while seven in ten (69%) have reassessed at least one financial aspect of their life during the pandemic. These areas include their emergency savings situation (54% have reassessed), long-term savings and investments (49%), employment situation (39%), and life insurance (28%).
When asked how many years of income they would replace with life insurance in the event of an early death, nearly six out of ten (57%) said at least two years. More than half of those with $150K or more in household income would replace five or more years of income (54%).
Only one third of Americans had a will in place before the pandemic, but nearly three out of ten either made changes to it during the pandemic, put it in place after the pandemic, or plan to put one in place in the near future.
“The pandemic has forced Americans to confront their own mortality, make difficult financial decisions and reassess the financial aspects of their lives,” said Dave Wilken, President, Life, at Global Atlantic. “The desire to protect the financial future of one’s family is emerging as a dominant motivating force for those considering life insurance for the first time or seeking to increase their coverage, and the need for guidance and advice from a financial planner is more important than ever.”
The survey also revealed that Americans are not familiar with the benefits that life insurance provides. When asked about their familiarity with the benefits of permanent life insurance, 63% said they were unfamiliar (not at all or not very familiar) with the ability to use life insurance to protect a business, 59% said they were unfamiliar with the ability to use life insurance to send their children to college and 55% said they were unfamiliar with the tax advantages.
For more information visit: www.globalatlantic.com.
The Global Atlantic “Perceptions of Life Insurance During a Pandemic” study is a national online study. A total of 1,065 individuals who are between the ages of 25 and 74 and involved in their households’ financial decisions participated.
The survey was conducted by Artemis Strategy Group, a communications strategy research firm specializing in brand positioning and policy issues. The firm, headquartered in Washington D.C., provides communications research and consulting to a range of public and private sector clients.
About Global Atlantic
Global Atlantic Financial Group, through its subsidiaries, offers a broad range of retirement, life and reinsurance products designed to help our customers address financial challenges with confidence. A variety of options help Americans customize a strategy to fulfill their protection, accumulation, income, wealth transfer and end-of-life needs.
Global Atlantic was founded at Goldman Sachs in 2004 and separated as an independent company in 2013. Its success is driven by a unique heritage that combines deep product and distribution knowledge with leading investment and risk management, alongside a strong financial foundation of nearly $90 billion in assets, as of March 31, 2020.
Global Atlantic Financial Group (Global Atlantic) is the marketing name for Global Atlantic Financial Group Limited and its subsidiaries, including Forethought Life Insurance Company and Accordia Life and Annuity Company. Each subsidiary is responsible for its own financial and contractual obligations. These subsidiaries are not authorized to do business in New York.