NEW YORK – The recession has had a visible impact on retirement expectations, a LIMRA International expert reported at the association’s annual meeting here this week.
Researchers at LIMRA, Windsor, Conn., found that 43% of U.S. adults says they will postpone retirement as a result of the economic downturn, and that, among those over age 45, 57% are planning such postponement, said Robert Baranoff, a senior vice president at LIMRA.
The study found that 12% of have cut their retirement contributions, while 8% have increased contributions.
Life insurance lapse rates have remained low during the current recession, although consumers are still cutting spending in general, Baranoff reported. About 25% of those surveyed reported taking some action on finances in response to the economic crisis, the most common being reallocation of investment assets. About 10% have sought more professional advice, while 8% have been taking less of it, he said.
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Among those who have sought advice about life insurance, 34% have turned to financial advisors, 15% to a life agent or broker, 14% to their employer’s human resources department, and 27% to friends and family.