This is according to the fact that most people within this age group seem to lack the financial insight that is well pronounced within the older generation (baby boomers).When it comes to comparing both generations, baby boomers and the younger generation, the second seems to display some laxity in preparing for future financial goals. And because of this very reason “the younger generation is more likely to feel the consequences of losing income more severely than baby boomers” noted the senior research director, Nilufer Ahmed.
The same observation was made in case of a sudden demise of the primary wage earner in the family, where most families within the younger generation admitted that their households would be paralyzed financially in the occurrence of such an event. This response came from survey carried out which indicated that six thousand people aged between twenty five and sixty four earned a salary of $25,000-$149,000 and were the financial planners in their households. It was specifically noted by the research that few young adults in America own life insurance and only about a third of this generation bother getting any type of insurance as compared to the older generation which is more keen in getting insurance covers. Aside from this, fewer younger generation consumers were reported to purchase individual life insurances than older generation. The percentages deduced from this observation of owning individual life insurances between both generations were thirty four and forty five percent respectively. However more than 50% of the generation of baby boomers have individual insurance covers.
More old generation consumers were however open to the idea of purchasing individual life insurances within the next one year, as compared to the boomers. The most remarkable thing is that the younger generation is more receptive to accepting financial advice, and concur that the need for financial advice has become more prevalent over the years. More young adults indicated interest in receiving advice that could help them have a better perspective on securing future financial goals. This approach could benefit the younger generation, as most of them do not seem to have defined future financial plans.
