{"id":432,"date":"2022-03-24T13:04:39","date_gmt":"2022-03-24T14:04:39","guid":{"rendered":"https:\/\/diymakerhub.com\/?p=432"},"modified":"2024-05-31T21:14:10","modified_gmt":"2024-05-31T21:14:10","slug":"women-have-come-a-long-way-to-take-hold-of-their-finances-how-can-the-insurance-industry-further-their-progress","status":"publish","type":"post","link":"https:\/\/diymakerhub.com\/index.php\/2022\/03\/24\/women-have-come-a-long-way-to-take-hold-of-their-finances-how-can-the-insurance-industry-further-their-progress\/","title":{"rendered":"Women have come a long way to take hold of their finances. How can the insurance industry further their progress?"},"content":{"rendered":"
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By Tasha Williams, Senior Research Writer and Max Dorfman, Research Writer<\/strong><\/p>\n

Women contribute\u202fmore earnings<\/a>\u202fto their households and feel\u202fmore confident<\/a>\u202fabout personal finance than prior generations. However, they still face hurdles to taking charge of planning for their financial future and legacy.\u00a0\u00a0<\/p>\n

Findings from a\u202fnew report<\/a>,\u202fLack of Knowledge and Confidence Deter Women from Purchasing Life Insurance<\/em>, produced by insurance nonprofits LIMRA and Life Happens, indicate a substantial disparity in life insurance purchasing between women and men and perceptions surrounding these products.\u00a0<\/p>\n

Society historically shut women out of their financial affairs.<\/strong>\u00a0<\/p>\n

Women did not have the right to\u202fopen a bank account<\/a>\u202fin their name before the 1960s. Before the Equal Opportunity Credit Act of 1974, banks refused women credit simply for being unmarried. In cases where women were married, banks required the co-signature of the husband. Until the SCOTUS Kirchberg vs. Feenstra decision in 1981, state laws gave men unfettered control over their wives\u2019 assets\u2013even if these were obtained without combined marital resources.\u00a0<\/p>\n

Women remain underserved by the life insurance industry<\/strong>.\u00a0<\/p>\n

Over the past five years, the life insurance ownership rate for U.S. women declined 10 points to 47 percent, despite women voicing a greater concern regarding the \u201cfinancial, physical and mental impact of COVID-19 on them and their families,\u201d according to the report. Indeed, 31 percent of women said they would obtain life insurance coverage in 2021, with 42 percent of men saying they would do the same.\u202f\u00a0<\/p>\n

Some women in the survey said they had anxiety about being dealt with differently by insurance companies and financial professionals and were uneasy about sharing personal information with an agent or company.\u202f\u00a0<\/p>\n

Women still face hurdles to financial planning on equal terms.<\/strong>\u00a0<\/p>\n

The LIMRA study posits that only 22 percent of women \u201cfeel very knowledgeable about life insurance,\u201d compared to 39 percent of men, with 80 percent of women misjudging the cost of life insurance. Researchers found this \u201cundermines women\u2019s confidence in shopping for and purchasing coverage and leads to fear of being taken advantage of, creating a barrier to entry.\u201d\u00a0<\/p>\n

Data can play a crucial role in understanding how people make decisions, but it needs context. Other research, for example, indicates that\u202fsocietal norms<\/a>\u202fand biases can affect women\u2019s confidence and their propensity to engage in subjects from which they have been historically excluded.\u202fVestiges of the past continue to sustain inequalities:\u00a0<\/p>\n