This International Women's Day, Lincoln Financial Shares Research Highlighting the Financial Challenges Women Face, and Tips for Women to Address These Challenges and Help Secure Their Financial Futures
As International Women's Day approaches on March 8, a recent study from Lincoln Financial Group (NYSE: LNC) reveals that women are facing more challenges than their male counterparts in managing their finances and planning for retirement. Only 18% of working women have more than $250,000 saved for retirement in their workplace retirement plan, compared to 25% of men,1 and more than 56 million women are living with an acknowledged life insurance coverage gap.2 Women are also facing lower confidence in their decision-making regarding retirement ? research shows that 52% of men are extremely or very confident in their retirement planning decisions compared to 35% of women.3
Women may also face difficult financial choices when it comes to serving as caregivers for a family member experiencing a long-term care event. In fact, 43% of women surveyed say being a caregiver has impacted their careers, versus 31% of men who say the same.4 Additionally, 66% of Americans today believe women are better at providing long-term care than men, leading to 77% of women expecting the responsibility of caregiver responsibilities to fall on them, as opposed to 64% of men who feel the same.5
"Financial planning is not one-size-fits-all ? for men or women ? and planning for retirement will be based on the individual," says Ralph Ferraro, senior vice president, president of Retirement Plan Services at Lincoln Financial, "That said, women may face unique challenges when it comes to securing their financial futures. Women who want to take action in saving for retirement have options, including meeting with a financial professional, to discuss their goals and create a personalized plan."
This International Women's Day, Lincoln Financial recommends key steps that women can take to close life or health insurance coverage gaps and plan for a comfortable and confident retirement:
- Create a personalized plan: By meeting with a financial professional, (or a dedicated retirement consultant through a participating plan), women can speak with a knowledgeable industry professional and factor in their personal circumstances, such as childcare costs and long-term financial goals outside of and including retirement.
- Use voluntary benefits offered through their workplace to reduce unexpected healthcare costs that could get in the way of retirement savings: The rising cost of healthcare is a source of stress, with 49% of employees expecting the cost of medical care to get worse6 and 45% saying covering out-of-pocket medical expenses of more than $500 would be a financial hardship.7 Taking advantage of voluntary benefits, such as accident coverage or hospital indemnity, either for themselves or for children, can help with the cost of an unforeseen expense and help women stay on track for their retirement goals.
- Make life insurance a priority: The benefits of life insurance go far beyond paying funeral costs or outstanding debt. Through certain life insurance policies, consumers can have access to a tax-free, lump sum of money to help cover unexpected medical bills, long-term care expenses and education, and even supplement the policyholder's retirement income and 401(k).
As part of Lincoln Financial's purpose to provide financial protection and security to its customers and their families, the company provides financial solutions that may help women and all consumers address financial concerns and coverage caps, such as:
- Enhanced accident insurance coverage that includes family care benefits focusing on dependent children as well as older adults.
- Hospital Indemnity insurance coverage that includes maternity-related and innovative NICU enhancement benefits designed specifically for expectant mothers.
- Critical Illness insurance that includes health assessment and wellness screenings for early detection and prevention.
- A broad annuities portfolio that offers investors various levels of asset protection, growth potential and protected income for life.
- Long-term care planning products and resources that can help women prepare for tough financial decisions they and their loved ones may need to make.
"When we look at expanding or enhancing our product offerings, we consider both the short- and the long-term needs of all potential customers," says Stephen Turer, senior vice president, Head of Insurance Solutions at Lincoln Financial. "Having the right tools to weather uncertainty and prepare for the future with confidence can make all the difference, not just for women, but for everyone, and that means feeling secure that you have the right coverage for today so that you can be prepared for tomorrow."
About Lincoln Financial Group
Lincoln Financial Group helps people to plan, protect and retire with confidence. As of December 31, 2023, approximately 17 million customers trust our guidance and solutions across four core businesses ? annuities, life insurance, group protection, and retirement plan services. As of December 31, 2023, the company had $295 billion in end-of-period account balances, net of reinsurance. Headquartered in Radnor, Pa., Lincoln Financial Group is the marketing name for Lincoln National Corporation (NYSE: LNC) and its affiliates. Learn more at LincolnFinancial.com.
Important information:
Lincoln Financial Group insurance products are issued by The Lincoln National Life Insurance Company, Fort Wayne, IN, and distributed by Lincoln Financial Distributors, Inc., a broker-dealer. The Lincoln National Life Insurance Company does not solicit business in the state of New York, nor is it authorized to do so.
Insurance sold in New York are issued by Lincoln Life & Annuity Company of New York, Syracuse, NY, and distributed by Lincoln Financial Distributors, Inc., a broker-dealer.
All guarantees and benefits of the insurance policy are subject to the claims-paying ability of the issuing insurance company. They are not backed by the broker-dealer and/or insurance agency selling the policy, or any affiliates of those entities other than the issuing company affiliates, and none makes any representations or guarantees regarding the claims-paying ability of the issuer.
Products, riders and features are subject to state availability. Limitations and exclusions may apply.
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1 Lincoln Financial, Wellness@Work: Retirement Study, 2023
2 LIMRA, "Understanding the U.S. Women's Market," factsheet, 2022.
3 Lincoln Financial, Wellness@Work: Retirement Study, 2023
4 Lincoln Consumer Sentiment Tracker, May 2021.
5 Lincoln Financial, Planning for long-term care, 2023
6 Lincoln Financial, Consumer Sentiment Tracker, November 2023
7 Lincoln Financial, Consumer Sentiment Tracker, June 2022.
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