New research from confused.com suggests that less than half the adult population have life insurance cover, and that even fewer have ever switched their life insurance provider, meaning that as a nation we are under-insured and could well be over-paying for inadequate cover.
Findings from the comparison site show:
60% do not have a life insurance policy
Of those without life insurance, 69% are married or in a relationship and 35% have children
Only 30% have ever switched life insurance providers
Men are more likely to switch provider than women - 35% of men had switched provider compared to 29% of women
Matthew Lloyd of Confused.com says, "It is worrying that so few people have a life insurance policy, and equally worrying that so few have switched provider. Any change in life circumstances, like getting married, buying a new house, starting a family or even getting divorced should be a trigger for reviewing your life cover and ensuring you have the right level for your needs. The fact that so few people with life insurance have ever switched provider suggests that they may not be reviewing it either, making regularly monthly payments and forgetting about it. Having the wrong level of cover could make a huge difference in the event that something happens. The mortgage might not be fully paid, income needed to support children as well as a spouse may no longer be at a sufficient level or a new partner might have been overlooked."
Life insurance: News update: 29 July 2010