Comparison site Comparethemarket saw life insurance sales increase 18% in the year to March 2021, compared to the same period the previous year – in contrast with a 3% decline between 2018 and 2019.
The site said this was as a result of greater interest from young adults, but when asked by Health & Protection what proportion of life insurance sales were from young adults compared to the year previously, it said this information was commercially sensitive and could not be released.
The firm also did not release any figures on the number of sales it completed when requested.
It pointed to a separate survey of 2,000 people which it commissioned that suggested young adults aged between 18 and 34 may be behind the increase as a result of the pandemic.
It found 40% of young adults with life insurance decided to take out a policy after March 2020 – the highest proportion of any age group – compared with only 17% across all age groups.
More than two-fifths (44%) of 18-34 year olds also agreed the pandemic had caused them to reflect more about their future health – compared to 22% across all age groups.
When asked whether their families would find it financially challenging if they were unable to work for a prolonged period due to ill health, almost two fifths (38%) of young people said their families would struggle, and 13% said their families would be unable to make ends meet.
Across all age groups, among the most common reasons for taking out life insurance were wanting to protect family or children (41%), taking out a mortgage and buying a house (32%), and getting married (12%).
However, the research also showed less than a third (30%) of all respondents having a life insurance policy in place.
Kamran Altaf, head of life insurance at Comparethemarket, said the pandemic had made people reassess and reflect on certain aspects of their lives.
“For young people, our research suggests it has made them think more about their future health,” he said.
“While it can be a difficult topic to discuss, life insurance offers really important protection for you and your loved ones should the worst happen.
“The many reasons given by those who have a policy in place – buying a house, getting married, or having children – shows it’s seen as a key part of their financial wellbeing.
“Life insurance can provide financial support during difficult times, when you least expect it but need it most.”