59% of Baby Boomers Forgoing Life Insurance Coverage

Every day, thousands of baby boomers across the country are reaching their golden years. But a recent Mutual of Omaha survey* reveals many are doing it without the financial safety net life insurance can provide for their family. More alarming, the survey revealed 59% of those without insurance say they have no intention of ever purchasing any.

From not wanting to think about it to a lack of understanding of the products, people use many excuses for putting off purchasing life insurance or opting to never buy a policy. A common refrain among older adults is it’s just too expensive.

While it’s an unfortunate fact that life insurance premiums increase as you age, the financial impact of leaving loved ones without a source of income to cover final expenses and other bills could be devastating to them.

“It comes down to understanding your family’s needs and how they will meet those needs after your gone,” said Estelle Nichols, Mutual of Omaha manager of segment marketing insight and strategy. “You can’t put a price on the peace of mind that comes from knowing your loved ones will be taken care of.”

When it comes to life insurance, it really does pay to do your homework. Many people over 65 who evaluate three key factors about life insurance benefits — duration of the policy and benefits, peace of mind vs. cost and additional coverage needs — are often surprised to learn how affordable coverage can be. Add to that the fact that some policies may help grow and stabilize a financial portfolio by increasing in value regardless of market fluctuations, and price becomes even less of a factor.

*Findings are from a September 2023 Mutual Insights survey of 400 U.S. consumers ages 18-77.