Life Insurance Search

Yorkshire Building Society’s study into the levels of savings held by households in the UK has unearthed some worrying realities. Foremost among these is the fact that although few people have sufficient savings to cover outgoing expenses in the event of prolonged sickness, very few have decreasing term life insurance to cover this eventuality.

And with average monthly expenses of £1,445 and savings of less than £500, 36% of households would run out of money in around 11 days if illness or accident prevented them from working.

Strangely, 19% of people said they thought they would be able to survive on state benefits, despite the fact that state benefits are worth less than £75 a week, a considerable shortfall on the average weekly expense of £334.

The study shows it is unlikely that most people would be able to fall back on decreasing term life insurance policies, with only one in ten having this kind of cover.

Although nearly half of the study’s participants have life insurance cover, the fact that so few have decreasing term life insurance indicates they would struggle to meet ends meet in the event of serious or long-term sickness.