All news
Just one in three parents have life cover
January 31, 2012
Research by LV= shows that many families do not have life cover or income protection in place.
A worrying proportion of British families do not have protection in place to safeguard their household finances in the event of death or loss of income, new figures show.
The latest annual 'Cost of a Child Report', produced by protection specialist LV=, indicates that just 32 per cent of parents have life cover.
Half of parents have neither life cover nor income protection, which means their families could be left with severe financial problems in the event of their death or unemployment.
The research, which was conducted by Opinium Research among 2,119 adults, also revealed that 22 per cent of parents have cancelled or reviewed their insurance policies in recent times in a bid to save money.
Mark Jones, head of protection at LV=, said: "When considering ways to ease the family budget it is important that we keep in mind the long-term picture.
"Cancelling life cover or income protection, for instance, as a short-term measure to save money can have catastrophic implications if either parent were unable to work or weren't around in the future."
Mr Jones also warned that the cost of raising a child has risen steadily since 2003 - now exceeding £218,000 from birth to 21 years of age - and is likely to continue rising in the future.
Liverpool Victoria Life Insurance
