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Could Life Insurance be the Best Valentine's Day Gift?

Written by NAIFA | 2/11/15 8:05 PM

Roses, chocolate and jewelry immediately come to mind when thinking about gifts on Valentine's Day, but if the point is to show affection for loved ones, why wouldn’t life insurance be considered the best Valentine’s Day gift one could give?

According to the National Retail Federation, Valentine's Day shoppers in 2015 will show their love by spending an average of $142.31 on gifts for the special people in their lives.

We know from LIMRA research that 3 in 10 consumers believe their spouse or partner should have more life insurance, and 80 percent of consumers believe most people need it. Yet, despite consistent positive attitudes about the importance of life insurance, 63 percent say they are not buying life insurance because they mistakenly believe it is too expensive.

A recent LIMRA consumer survey found consumers overestimate the cost of life insurance.  Consumers were asked to estimate the annual cost of a $250,000 term life insurance policy. Across all consumer segments, the average estimate was $400.  Consumers under age 25, who would likely pay less for coverage, thought the cost would top $1,000.  The actual cost of the policy used in the example was $150 a year.  (See Chart)

As the annual cost of a life insurance policy nearly equals the average amount spent on Valentine's Day, it presents a conversation starter for advisors with their clients.

In recognition of the LIFE Foundation's "Insure Your Love" campaign, LIMRA has just released the 2015 Insure Your Love fact sheet to provide more conversation starters on the importance of life insurance.

By LIMRA