Two new consumer research reports have further highlighted the value of insurance, and the role advisers can play in helping allay consumers’ financial fears.
Asteron Life’s Cash vs Love report has revealed that of the top 20 things that keep Australians awake at night, one third could be addressed through financial advice or income protection insurance.
In particular, four of the top five worries identified by consumers participating in the survey could all be alleviated by a visit to an adviser. The top five things keeping Australians up at night are a fear of:
- Losing their job
- Not being financially secure
- Getting a life threatening illness
- Stress from work overload
- Not being able to pay the bills
“It’s not worth Australians lying in bed awake at night worrying whether their family could survive financially if they got a life threatening illness or were unable to work due to an accident when these can be protected with financial advice and insurance,” said Asteron Life’s Jordan Hawke.
“Financial advice and insurance makes a real difference to people’s lives and this research demonstrates how important advice and insurance is to enabling people to live with confidence.”
…this research demonstrates how important advice and insurance is to enabling people to live with confidence
A second research report investigating consumer confidence, produced by MLC, has revealed that just only one in ten Australians has a plan for retirement that takes into account financial setbacks such as unemployment or ill health.
The MLC Quarterly Australian Wealth Sentiment Survey asked consumers about the degree to which they had considered the impact of a major financial setback on their retirement plans. 72.1% said they had given the issue low or very low consideration.
The top two barriers to sufficient retirement savings, identified by respondents, were unemployment and major health issues. Divorce and financial responsibility for elderly parents were ranked as the least significant barriers.
MLC General Manager, Lara Bourguignon, said: “Many people don’t start thinking about superannuation until their 50s but these survey results indicate there may be a step change in the age people starting planning retirement.
“Most Australians are inadequately prepared for retirement, which is why we recently launched the Let’s Save Retirement campaign to educate and encourage Australians to take control of their financial futures,” she added.
