Unveiling the Over 50s Life Insurance Gap: Insights and Solutions from OneFamily
Over 20 million individuals aged 50 and above are currently without over 50s life insurance, a substantial 72% of this demographic. Recent insights from OneFamily, a financial services organisation, highlight that nearly half of those who do possess this insurance, 44% acquired it primarily for covering funeral expenses.
What's concerning is that only 19% of those over 50 with life insurance believe it could cover some or all of their funeral costs. Equally worrying is the fact that a significant portion, around eight million, haven't allocated any funds specifically for their final rites. Among them, 13% are unsure how these costs will be handled, 14% expect their family to use the proceeds from asset sales, and 3% are relying on their loved ones to foot the bill. The growing expenses related to funerals might explain why one in ten individuals (9%) are opting out of having a funeral altogether.
For those who do possess over 50s insurance, some prioritised convenience over health evaluations, with 12% stating that a medical review wasn’t a primary consideration when selecting a provider. However, cost weighed significantly in the decisions of almost a third (28%) of policyholders.
Jackie Davies, Head of Customer Service and Direct Sales at OneFamily, acknowledges the financial concerns people face and their hesitation in securing over 50s life cover. She emphasised that avoiding thoughts about aging and future funeral arrangements might alleviate immediate worries but could burden loved ones later.
OneFamily's approach includes starting premiums as low as £10 per month, requiring no medical assessment. Their offering ensures that the payout can be directed straight to the chosen funeral provider, providing families with relief from this concern and the reassurance that their dear one's final rites are taken care of.
The OneFamily Over 50s policy not only includes a comprehensive benefits package but also automatically incorporates funeral funding. Moreover, it offers terminal illness benefits as a standard feature and guarantees acceptance without any medical requirements, with premiums starting at £10 per month.