There is a generational change underway with financial concerns – Life happens

Most people are not immune to wallet worries, whether big or small. From paying monthly bills to paying for long-term care and everything in between, people from Generation Z to Boomers told us what they’re worried about financially.

It turns out that saving for retirement is a key financial concern, with 44% of Americans expressing concern, according to the 2024 Insurance Barometer Study from Life Happens and LIMRA. This has been true every year since the study began in 2011.

It’s the turn of the Millennials

While there hasn’t been a major shift in concerns about retirement, what has changed is who cares more about a variety of financial issues. This year, Millennials expressed the highest level of financial concern on nine of the 15 specific financial issues we asked them about. Just two years ago, Generation X was the most worried in 14 of the 15 countries. It is evident that a generational change is taking place.

If we take a look at the main financial concerns of all generations, we see the gap between these two generations:

Millennials vs Generation X

Having enough money for retirement: 54% vs 48%

saving for an emergency fund: 45% vs 38%

support me if I couldn’t work due to a disabling illness/injury: 45% vs. 39%

pay for long-term care if I couldn’t care for myself: 40% vs. 37%

pay medical expenses in case of illness/injury: 40% vs 34%

And yet, one of the things that can give them financial peace of mind, life insurance, is something that fewer millennials (50%) own than their older Gen X counterparts (55%). So why don’t Millennials have coverage? Well, 42% say it’s too expensive, but 46% overestimate the real cost by 5 times or more. And it’s no surprise they were so far off on price, as nearly half (47%) admit they used a wild guess or gut feeling to estimate the cost.

There is coverage for that.

Additionally, some of your other concerns may be addressed through other types of insurance coverage. For example, there is disability insurance if you can’t work due to a disabling illness or injury (a concern for 45% of Millennials), but only 19% of Millennials say they have it, and only 20 % says he is very/very knowledgeable about.

And this year’s Barometer Study also looked at bundled products, specifically life insurance combined with long-term care. This type of coverage could allay concerns Millennials have about leaving their family in the lurch financially if they die (38%) and paying for long-term care (40%).

A simple solution is to explore information about these products: life insurance, disability insurance, and long-term care, and then speak with an insurance professional who can help you find a solution within your budget. Furthermore, this conversation has no cost or obligation. If you don’t have anyone to work with, you can use our Agent Locator here.