Fifty-two per cent of Canadians do not have a financial plan, found a recent Sun Life survey. Even among those closest to retirement, those aged 55 and older, 47% have not yet created a plan.
The research also found that of those who do have a plan, 33% do not have life or critical illness insurance. Insurance protection is even lower among those aged 55 and up with 44% stating they do not have insurance. This is followed by those aged 35-54 (27%) and those 18-34 years of age (21%).
When asked why they do not have insurance in their financial plan, 29% responded that they did not need insurance. Men were significantly more likely to say they do not need insurance coverage than women (41% versus 19%).
"Insurance is an important part of a financial plan that will support you and your loved ones for years to come," said Vineet Kochhar, Senior-Vice President, Insurance Solutions, Sun Life Canada in a Sept. 27 statement. "Life can be unpredictable – many of us may face challenges that leave us unprepared. Whether you're married with kids or have a partner or relatives that depend on you financially, life insurance ensures they are supported."
When asked about their greatest financial concern, cost of living was the top concern at 36%. This was followed by having enough money saved for the future and/or retirement (23%), paying off debt (17%) and affording a house (13%), says Sun Life.