Most people purchasing critical illness insurance protection do so before their mid-50s, according to the first national study of buyers conducted by the American Association for Critical Illness Insurance (AACII).
Nearly half of individuals purchasing critical illness insurance protection are under age 45, while 34 percent are between the ages of 45 and 54. The majority (87 percent) bought $50,000 or less in benefits.
Research conducted by the AACII examined sales data for more than 130,000 individual and voluntary worksite policies and certificates issued.
"Critical illness insurance is growing in acceptance as consumers understand the risk and financial exposure that is the result of cancer, heart attack or stroke," explains Jesse Slome, the organization's executive director.
Nearly a quarter (24 percent) of individual buyers opted for coverage of less than $20,000, according to the study's findings. For those purchasing in the worksite setting, some 65 percent chose benefits of $20,000 or less.
Individual buyers tended to be male (52 percent versus 48 percent female) while those purchasing in the workplace were more likely to be female (59 percent versus 41 percent male).
"We anticipate the market for critical illness insurance products will increase in the years ahead," predicts Slome.
Findings: 2009 Critical Illness Insurance Buyer Study
| Sales by Issue Age (Individual Critical Illness Insurance) | |
| Under 35 | 20% |
| 35-44 | 27% |
| 45-54 | 34% |
| 55-64 | 15.5% |
| 65 or older | 3.5% |
| Sales by Issue Age (Worksite/Voluntary Critical Illness Insurance | |
| Under 35 | 22% |
| 35-44 | 28% |
| 45-54 | 32% |
| 55-64 | 17.5% |
| 65 or older | 0.5% |
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