Women still lagging behind men in life insurance

International Women’s Day

Although Australian women have more employment opportunities and are more educated than ever before,¹ they are still less likely to hold life insurance than men, according to research by Australia’s largest life insurer, TAL, released ahead of International Women’s Day on 8 March.

The research found that 47% of women hold some form of financial protection, compared to 57% of men. Women significantly lag behind men in each of the four forms of life insurance, life, disability, income insurance and critical illness cover².

At the same time, 37% of women have spoken specifically about life insurance with a professional advisor, compared to 40% of men²

TAL Group CEO Jim Minto said: “On the one hand these results highlight that women are willing to seek professional advice about their finances and life cover needs – a good start in bridging the life insurance gender gap.

“However, despite the take-up of advice and some recent improvements in the gender pay gap in Australia³, these cover levels are way too low. Life and related insurance is essential for protecting hard earned assets and safeguarding future lifestyle and family commitments – for women every bit as much as men.

“On International Women’s Day, we are celebrating the empowerment of women – be it at home or in the workplace. That makes this the ideal time for all of us to acknowledge women’s economic and social achievements and to ensure they are safeguarded with the right financial protection.”

Recent studies show that 69% of Australian women singularly control their household finances ⁴ and, where men and women share financial decision making, women commonly manage the regular budget and put spare funds into savings. In other words, women take the lion’s share of responsibility for day-to-day financial management.⁵

“Women are key decision makers and as such are well placed to assess expenses and commitments and work out what is needed to protect their most important assets,” Mr Minto said. “They themselves need protection even if they are not the primary breadwinner.

“Having the right protection in place for each partner in a household recognises that each member of a household plays an important role in supporting both essential daily needs and longer term aspirations. It’s time for us as a society and as individuals to place appropriate value on the contribution women make, whether at work, at home or both – and protect it accordingly.”

TAL, for its part, is a committed advocate for women and was recognised with citations as an Employer of Choice for Gender Equality Citation and the Employer of the Year in the 2014 Money Management Women in Financial Services Awards.

Facts and figures:

Table 1: Type of insurance held (by gender)

Table 2: Amount of people that have spoken with a professional advisor specifically about life insurance (by gender)

Further information:

Stuart Snell 02 9448 9879/0417 921 235 stuart.snell@tal.com.au 

About TAL: The specialist voice of life insurance in Australia

TAL is Australia’s largest life insurance company with leading competitive offerings in each of its core distribution channels: direct to customers; through financial advisers; and via group and workplace superannuation schemes. With in-force premiums of $2.2b, TAL provides more life insurance solutions to Australians than any other insurer. TAL is owned by The Dai-ichi Life Insurance Company, Limited, one of the world’s largest life insurers.

1. http://www.abs.gov.au/AUSSTATS/abs@.nsf/Lookup/4102.0Main+Features30Dec+2012

2. TAL Galaxy Poll

3. Raising the bar for gender pay equality

4. Marketing Mag, 2014, Women control household finances but aren’t feeling love from the big banks: https://www.marketingmag.com.au/news-c/women-control-household-finances-but-arent-feeling-love-from-the-big-banks/

5. http://www.macquarie.com.au/mgl/au/about-macquarie-group/news/2011/20111206