Male   Female
  • Women financially struggle more when losing a spouse
  • June 8, 2015
  • Report shows women struggle more financially when losing a spouseBy Emily Miller

    The financial burden of losing a spouse weighs more heavily on women than it does men, and many women say they wish they had “some or more” life insurance at the time of their spouse’s death, according to new survey by New York Life.

    In the survey, New York Life analyzed the financial and emotional toll of losing a spouse had on the surviving spouse and whether or not they felt financial prepared. The survey discovered that women felt more financially unprepared than men after losing their spouse.

    Following the loss of their spouse, 68 percent of widows reported significant life changes, with financial concerns rising to the top of the list. The burden of these changes amounted to years of undue hardship after the loss.

    “The news is unsettling – women are not prepared for the loss of a spouse and the problems are financial and much more,” Chris Blunt, co-president of the Insurance and Agency Group, New York Life said in a press release.

    The survey examined the repercussions of the loss of a spouse on 897 spouses and widowers who were within 10 years of their loss with the main focus being on how the loss impacted their daily life. While participants were asked about the financial and emotions factors, the survey narrowed in on the aspect of financial security and whether or not they felt prepared.

    Forty-seven percent of widows reported negative lifestyle changes the years following the loss while 42 percent of widowers felt this way. The financial impact was even greater – two thirds of widows experienced a significant financial change compared to half of widowers.

    As financial security was the biggest concern among both parties, the survey also identified five life changes that both felt would change due to the loss of their spouse:

    · Adjusting to a change in income level

    · Budgeting for one income

    · Cutting discretionary spending

    · No longer being able to afford a vacation

    · No longer adequately saving for retirement

    Women ranked higher in all of the above life changes.

    For some widows, the lifestyle changes were even more dire. Two in five widows whose spouses did not have life insurance at the time of loss (39 percent) reported that they were just making ends meet or struggling to meet basic needs within the first year of loss.

    While having a life insurance policy is always in your beneficiary’s best interest, it is also important to have the adequate amount of coverage to support the daily life of your beneficiary.

    The majority of women reported feeling secure about their financial situation before the loss – yet after the loss, 59 percent reported they did not have enough life insurance in place to feel financially secure. Approximately half of the women (47 percent) reported that they wish they had some or more life insurance to help cushion the financial impact of their loss.

    “These widows learned too late they were underinsured,” Blunt said. “The message is clear – life insurance proceeds are important, but the need for that financial security blanket is much greater than what exists in many financial plans.”

  • Category: Articles Library, Life Insurance

Leave a Reply

Archives

About

Consumer Insurance Guide SM provides a wide selection of originally-authored articles and expert advice targeted to the self-directed insurance shopper. Our mission is to provide consumers with useful, money-saving information on all things having to do with making sound insurance purchase decisions.

Consumer Insurance Guide SM is owned by Life Quotes, Inc. 8205 South Cass Avenue, Darien, IL. For editorial, content feeds, advertising and lead purchase opportunities, contact Robert Bland at bob@lifequotes.com.

Originally founded in 1984 as Quotesmith Corporation, Life Quotes, Inc. owns and operates www.consumerinsuranceguide.com and www.lifequotes.com, two online consumer insurance information services that cater to the needs of self-directed personal and corporate insurance shoppers.

About Us  |   Contact Us  |   Press Releases  |   The Best Privacy Policy  |   Life Insurance  |   Careers
For Agents & Brokers  |   Site Map  |  


Copyright ©1984-2015 Life Quotes, Inc., 8205 South Cass Avenue, Suite 102, Darien, Illinois. Life Quotes, Inc. and certain of its personnel are licensed as insurance agents, brokers or producers in all states. CA agent #0A13858, LA agent #200696, MA agent #333509159. dba Life Quotes Insurance Services in CA under agent #0827712, in LA under agent #205078. dba Life Quotes Insurance Services, Inc. in UT under agent #90093. All rights reserved. Telephone (630) 515-0170. Founded 1984.
10.1.1.86