Life insurance – time to redress the gender gap
| Women are less likely than men to hold life insurance or understand its benefits | Many women have not been educated about life insurance and believe they can’t afford it | Life insurance provides financial support to loved ones if the policyholder dies during its term |
Women are falling through the cracks when it comes to life insurance. According to a new report, a third of women do not have a life insurance policy compared with 16% of men1. So, women are twice as likely not to have a life insurance than men – that’s a huge variation.
The report also revealed that 29% of women have never been educated about life insurance, versus 18% of men. This lack of education might explain why double the number of women believe they can’t afford life insurance compared with men.
For those women who do have life insurance, 29% are unsure how their policy would benefit loved ones in the event of their death.
Financial support in time of need
Life insurance can provide partners and families with vital financial support in the form of a lump sum or regular payments if the policyholder dies during its term with premium payments up to date. Life insurance claimants received a total of £4bn in payouts last year2.
The amount of money paid out depends on the level of cover that you purchase. This needs to be aligned with your personal requirements, it’s not a ‘one size fits all’ approach. Other protection policies which provide financial support if you are unable to work due to a critical illness or injury are also worth considering. People often take out a life insurance policy at the same time as a mortgage, with some providers making it a condition of the loan.
Don’t risk being uninsured or under-insured. It’s a small price to pay for the peace of mind you’ll benefit from.
1Life Insurance Index, 2025, 2Association of British Insurers and Group Risk Development
Financial protection policies typically have no cash in value at any time and cover will cease at the end of the term. If premiums stop, then cover will lapse.