New research from Vitality has revealed that the current cost of living crisis is having a significant impact on the finances of families across the country, leaving them feeling less financially resilient and unprotected should they find they find themselves unable to work due to ill health.
Of those with children under the age of 18, three-quarters (74%) said they are worried about money and a third (35%) said they don’t feel financially resilient compared to two-thirds (67%) of those without children who said they are worried about money. The situation is more difficult for single parents, with nearly half (46%) admitting they don’t feel financially resilient.
The research also found that two-thirds (66%) of those with children under 18 are concerned about a loss of income due to personal illness. However, only one in seven (15%) have Income Protection or some form of Critical Illness or Serious Illness Cover in place, which would pay out in the event they were diagnosed with a serious illness. When asked why they didn’t have these policies in place, a third (34%) of those without Income Protection and nearly half (45%) of those without Critical Illness or Serious Illness Cover said it’s too expensive. What’s more, three in five (57%) of those with children under the age of 18 said they were worried about affording their current insurance policies.
Andy Philo, Strategic Partnerships Director at Vitality, said: “Our research has shown we are at a critical point where families are feeling the pinch of the current economic crisis and are concerned that they would be unprotected should they fall ill and be unable to work. With the majority of people saying they don’t have protection in place to protect them and their families in such an eventuality, this is a significant concern. It’s more important than ever that they are shown the value of protection policies and the security it provides.
“There is a role for the industry to advocate the importance of taking out protection and the value it can provide – both at the point of claim and throughout the life of the policy.”
Vitality members can access a range of discounts and rewards in return for making positive health and wellbeing decisions, and members who keep active and have optimiser on their policy can receive up to 40% off their premiums.