Lack of Life Insurance in American Household: Ownership Statistics 2022

As a Survey; More Than Half of U.S. Households Lack Life Insurance

Life insurance ownership statistics 2022: According to a survey of LIMRA, U.S household has the lowest level of life insurance coverage in the past 50 years. Only 44% of the household has their own life insurance policy that gives cash benefit after the policy holder’s death. Many people hold off life insurance buying as they delay creating a will. This is because either they are too busy or they don’t want to face the issue of dying.

LIMRA is engaged with various services like Research, Consulting, Assessment, Development, Compliance, and Regulatory Services to create a new market, and new product, increase distribution services, assess, train and manage product sales forces and distribution networks. It has more than 850 service companies in more than 70 countries that are its members.

Many consumers think that life insurance is solely intended for the main breadwinners in a family but it is not true at all. For example, household mothers or fathers should have life insurance in order to replace the value of about $60,000 in annual services they bring to the family.

According to the financial planner of Edelman Financial Services in Fairfax, about 17 various duties are carried out by mothers, from child-rearing to managing household finances, and resolving family emotional problems and these occupational services make more value of $508,700 in wages.

For household stayed parents, term life insurance is the most affordable compared to permanent life insurance because the premiums are fixed in term life insurance. Most single people, who do not have children, do not prefer life insurance. But in practice, there is also available a basic life insurance policy that only covers their funeral costs so that their family members wouldn’t bear the funeral cost. The average funeral cost without cemetery expense for an adult funeral is $7,775 and including the cemetery, it brings the cost to $9000.

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To know how much life insurance is provided and other details, contact an insurance agent from the nearest center. Online preliminary work is also available and calculations for needed life insurance or appropriate life insurance can be done for the particular situation.

Moreover, a final expense insurance policy is also available for older people. With the help of this policy, even if you are healthy or have had serious medical problems, you will get the insurance because this policy does not contain the usual medical exams to secure the insurance. A policyholder also does not require undergoing an underwriting agreement.

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