Three-fifths (62%) of UK parents reported anxiety about the financial impact on themselves and their family if they were injured or experienced a major illness and could not work, according to research by investment, protection and retirement firm LV=.
Its third LV= Reaching resilience report, which surveyed 2,720 UK workers, found that the average UK worker supports three people with their income, including children, older parents or extended family.
Two-thirds (67%) of respondents said they are worried about their children being diagnosed with a critical illness, a 2% increase from 2023.
Almost a third (31%) said they are not confident they could cope financially if they were diagnosed with a critical illness. Working parents were significantly more likely to say that if they were to experience major health problems or serious injury, it would have a large impact on their family’s financial security, at 34%, compared to workers without children (26%).
Two-thirds of single parents said they worry about the financial impact on their loved ones if they were to become seriously ill or pass away. Additionally, 43% said they do not feel financially resilient, compared to 26% of households with both parents. If absent from work for two months or more due to illness or injury, only 8% would use self-funded insurance to cover outgoings.
Gary Beyer, protection proposition director at LV =, said: “Our latest findings reveal that many parents are feeling increasingly worried about their children’s physical and mental wellbeing, as well as the impact on their families and finances should they themselves be unable to work.
“With two in three parents citing the prospect of their child being diagnosed with a serious illness as a major concern, protection products such as critical illness cover and income protection can provide parents with peace of mind. Income protection with family-focused benefits also offers invaluable reassurance to policyholders and their families.”
