The most significant difference is in the currency of investment and universal life insurance contracts. Women prefer insurance products in national currencies mostly, which share is 95% of all policies issued by the fair sex. Men are 2 times more likely to conclude agreements in foreign currency - US dollars and euros than women.
According to the International Labor Organization, women in the world earn about 18% less than men. The difference is more significant (30%) in the post-Soviet countries. It is reflected in the size of contributions to saving and investment insurance products. By investing smaller amount, women also think less about diversifying their investments, while men tend to lay out money in different “baskets” of currencies, leveling the risks. Besides, male clients use financial analytics when deciding on investments more often than women.
By concluding investment-universal life insurance policies, almost 100% of female clients indicate a specific beneficiary for the life insurance policy that gets savings in case of an adverse event. The beneficiaries in policies signed by male are designated only in 71% of cases. Should the adverse event occur, policy savings without specific beneficiaries will be transferred to the rightful heirs.
According to insurers, this is due to the fact that women save for a specific financial goal for loved ones - usually children more often than men. Men usually save up for a financial purpose for themselves, but it is rather not a big ego sign, but the role of the family head. The man wants to control finances and, if necessary, determine the amount necessary, let us say, for a child’s higher education independently.
In other aspects, the characteristics of consumer behavior in women and men are similar. As for duration of the insurance period, the difference is insignificant: the average insurance term for women is 9 years, for men - 10 years. The average age of customers is 50 and 48 years, respectively.
As for the life insurance benefits, it allows to remain confident that a sudden health impairment due to serious illness or the consequences of an accident will not result in a financial collapse for the insured and his family. The insurer will promptly make the insurance payment specified in the insurance contract. This can help the client to receive quality and timely medical care, compensate for the lack of income and maintain an accustomed standard of living.
Life insurance policy allows to get a guaranteed payment at the end of the contract, as well as additional investment income, which the company accrues based on the outcome of its performance. The capital for additional pension payments during the planned period is formed using the pension insurance program. The insured determines the size of his future pension at the contract conclusion moment.
Being several times higher than premium the insurance payment will solve the health problems, provide the necessary funds for recovery and rehabilitation, and also help compensate for the loss of habitual income during the period of disability.
Source: https://forinsurer.com/news/19/08/21/37087
Photos are from open sources.
