Women feel far more vulnerable to retirement risks than men, according to LIMRA-SRI. Thirty-one percent of women fear they will outlive their assets. Thirty-five percent expect to face significant health care costs in retirement, and 31% think they will incur long-term care costs. The figures for men, respectively, are 25%, 27% and 28%.
LIMRA-SRI has found that 55% of women are more likely to retire early, compared to 51% of men. Given that fact, combined with the fact that women live, on average, five years longer than men but only earn 80 cents for every dollar that men earn, LIMRA-SRI says it is not surprising that women are worried about retirement.
Working with an adviser to address these and other risks that retirees are likely to face in retirement can lead to greater financial security. However, women are less likely to work with an adviser, and only 15% of them have a formal retirement plan (compared to 22% of men).
LIMRA-SRI says that owning an annuity can increase confidence in retirement. Twenty-five percent of annuity owners are very confident they can achieve their desired lifestyle in retirement, compared to 18% of those who do not own an annuity.
These findings are outlined in a new column posted on LIMRA’s Industry Trends—National Women’s History Month: Women Feel More Vulnerable to Retirement Risks.