Life Insurance Awareness Month, sponsored each September by the Life Happens organization, puts an appropriate focus on this essential financial product. LIMRA research shows 80 percent of adults believe most people need life insurance, yet only 1 in 5 are likely to recommend it.
A 2014 study by LIMRA revealed that 44 percent of middle market consumers say they want professional advice when reevaluating life insurance needs and coverage. Life Insurance Awareness Month can serve as an effective catalyst to start a conversation about life insurance.
State Farm Insurance recently surveyed Americans on their thoughts about life insurance and found that important conversations are taking place within families. Among adults with living parents, 42 percent have talked with them about their life insurance policy and estate planning. Another 14 percent are planning on initiating that discussion. One third say they would talk candidly with their children under age 18 about life insurance.
The State Farm survey also revealed positive attitudes on owing life insurance. Three- fourths (76 percent) said with life insurance their family would be financially protected if the unexpected were to happen to them. When asked how they felt about their purchase of life insurance, the top responses were "protected," "confident" and "relieved."
Consumers are willing to talk, but not just with anybody. Middle market consumers told LIMRA the most important attributes they want in a financial advisor are the ability to educate, listen and develop trust.
Let's hope that advisors use Life Insurance Awareness Month to start those essential conversations.