A report found more consumers are looking to protect their families through a term life insurance policy.
Eastbrige Consulting Group released its annual U.S. Worksite Sales Report, finding 25 percent of voluntary insurance sales in 2010 came on life insurance. Life insurance sales totaled $1.331 billion last year, an increase of 1.5 percent from the previous year. Term life insurance, in particular, was in strong appeal, generating $930 million in sales last year alone. Universal and whole life sales increased roughly 8 percent from the previous year, said the report.
Consumers also targeted other types of insurance, including disability coverage, long-term care insurance and supplemental health coverage. However, the report showed most buyers appeared to put an emphasis on protecting their family's assets through a life insurance policy, helping to push overall insurance sales to $5.243 billion.
Life insurance remains an important safety net for families looking to protect their assets in the face of deadly catastrophes that threaten to take a bite out of their income. Dr. Erwann Michel-Kerjan, managing director of the Wharton Risk Management and Decision Processes Center in Pennsylvania, recently told the Insurance Journal those crises are changing the way the insurance industry looks at risk.