New research* from TSB reveals that only a tenth (11%) of people think having life protection is a top priority when buying a new home.
Whilst purchasing home insurance is a top priority with 81% of people ranking this as one of their top 3 priorities, furnishing the house (78%) and redecorating (76%) are deemed more important than worrying about having life protection in place (33%).
It's interesting to see twice as many people think having protection in place is a top priority when buying a new home (11%) rather than ensuring you have extra TV channels installed (5%), but it is worrying to see that nearly twice as many again would rate furnishing the home as a top priority (20%).
Worryingly, the house buying process prompted just three in ten (29%) consumers to buy life protection: with more men (32%) than women (26%) opting to purchase protection.
According to the research, just over half (53%) of respondents worry about what would happen to their loved ones if they were hit with a critical illness, yet despite this only two fifths (39%) have protection in place. Of those who do not currently have life protection cover, a third (32%) think taking out a policy is too expensive, almost a third (31%) do not think they need life protection yet, however a seventh (15%) do not think life protection is important at all.
TSB's research shows that the younger you are the more likely you are to care about your loved ones with almost three quarters (71%) of 18-24 year olds saying they would be worried about what would happen to their loved ones if they became critically ill. Having life protection in place peaks when Brits hit the 35-44 age bracket with just under half (47%) having the protection in place.
With three fifths of respondents (61%) saying they do not have protection in place, there's potentially a ticking time bomb if mortgage holders were to die or become critically ill.
Given life protection** costs the average 30 year old, non-smoker woman £136.74 a year - the equivalent of £2.63 a week - less than two coffees - it's troubling that people's priorities aren't in check.
Ian Ramsden, TSB's Mortgage and Protection Director, says: "At TSB we understand the devastating effects experiencing a critical illness can have, so we think it is vital that people have the right cover in place to provide comfort and reassurance for their family in difficult times. We want to make sure everyone thinks about their protection needs when they are buying a new home which is why we are proud to be offering protection services through our partner, Legal and General.
"The research shows consumers are not aware of the impacts of being protected. Although its promising to see people think having protection in place is twice as important as having extra TV channels, it's worrying to think it is only half as important to them as furnishing their new home."
Notes to editors
*TSB research is based on a Opinion Matters survey from July 2nd - July 3rd 2014. An online survey was conducted among 2,026 randomly selected British adults age 18+ who are also Springboard UK Community members. The margin of error-which measures sampling variability-is +/- 2.2%, 19 times out of 20. The results have been statistically weighted according to the most current data on age, gender, region, and education from the most recent census data, to ensure the sample is representative of the entire adult population of the UK. Discrepancies in or between totals are due to rounding
** Level Term Assurance for a Female age 31 next birthday, Non-Smoker, Term as detailed with a cover amount of £200,000, 10 year annually is £136.74
TSB Bank plc is a British bank which provides customers with a range of services and products such as current accounts, savings, credit cards, loans, mortgages and insurance.
With a presence on 631 high streets right across Britain, TSB Bank plc has approximately 8500 staff looking after £22 billion on behalf of its 4.5 million customers. Our purpose is to support safe and sustainable economic growth in the surrounding communities, serving only individuals and local business customers.
For further information about TSB Bank plc, please visit our website www.tsb.co.uk.