Zurich UK’s recent ‘Cost of Resilience’ report found many of those who had taken unplanned work before – though ill-health or redundancy – had no financial provision in place to protect them in future.
The survey found that many were in financially precarious situations: 24 per cent of those surveyed said they had no savings, one in six (17 per cent) admitted they had no disposable income, and one in eight (13 per cent) said they would be forced to sell the family home if they lost their income.
The report found that nine out of 10 had no income protection cover. In total more than a third of those surveyed (34 per cent) said they did not feel financially resilient and they would not be able to manage a financial shock or unexpected loss of income on their own.
The report highlights the need for better education of protection product, both to individual and via the workplace.
Rose St Louis, a spokeswoman for Zurich UK says: “It’s concerning that so many people have experienced unexpected time out of work, yet have no safety net in place for this potentially happening again. Even more shocking is the number who would have to resort to selling their home, as this action could have a significant impact on the whole family.
“Lack of savings and planning the family finances is putting millions of adults at risk of not being financially resilient, but not taking action could make the situation far worse. Putting the ‘it won’t happen to me’ view to one side, it’s vital that people review their circumstances, to see what support exists to protect their finances and lifestyle.”
Zurich has launched a new income protection range as well as major improvements to its critical illness and life cover.
Customer benefits include free confidential telephone-based counselling to offer support with everything from family and work-related issues through to financial difficulties, stress and anxiety.
