The Hartford has found that American workers are increasingly valuing guaranteed income in retirement with younger workers markedly more attracted to such options than their older counterparts. The results were announced in The Hartford’s Guaranteed Retirement Income study.
In what could be part of the lingering effects of collapse-bred cynicism with regards to capital markets combined with the acknowledgment that the social security system will be a shadow of itself once they are ready to retire, younger workers are expressing a palpable longing for pension-like products.
The Hartford decided to commence the study after the introduction of The Hartford Lifetime Income (HLI), a patented investment option that allows 401(k) participants to use their savings to create pension-like income in retirement.
“Overall, the study confirms our own experience since January in offering Hartford Lifetime Income through employer-sponsored retirement plans across the country. We see broad acceptance of lifetime income among 401(k) participants of all ages, even younger workers who are decades from retiring,” said Patricia Harris, assistant vice president of product management for The Hartford’s Retirement Plans Group.