“A significant change in public policy like Social Security and Medicare benefits could be disastrous for many retirees – particularly those with lower income and asset levels,” noted Rice. “For future retirees who will likely not have a pension plan to rely on, it will be important that they increase their current savings patterns and think about retirement income solutions including guarantee investments that will adjust for inflation. Our industry is uniquely qualified to provide solutions to protect retirees and help them achieve their financial goals.”

The study also found that less than half of retirees worked with a paid professional advisor to make investment decisions and only 22 percent had a formal written plan [See related: Retirement advisors ignoring middle-income Americans]. Prior LIMRA research has discovered that retirees who have a formal written plan are far more confident in their financial well being than those who don’t.

“Our industry has tools and guidance available to those who seek it,” continued Rice. “Especially during Financial Literacy Month, it is important we, as an industry, redouble our efforts to engage and educate Americans about the importance of adequate savings behaviors and sound retirement planning and the repercussions to those who fail to do so.”