The top reason people give for not purchasing coverage is that it is too expensive. Yet more than half of Americans overestimate the cost of life insurance three-fold.
More than a third of those without life insurance (36%) say they haven’t purchased it because they are unsure how much they need or what type to buy.
About 23% of consumers view life insurance only for burial and final expenses. This perception could result in not purchasing enough coverage to provide income replacement or enable wealth transfer — two key ways life insurance can benefit loved ones after a wage earner dies.
Limra (2023, October 18). 2023 Life Insurance Fact Sheet. LIMRA. https://www.limra.com/en/SysSiteAssets/newsroom/liam/2023/0859-2023-liam-fact-sheet-2023_final.pdf