Consumers See Life Insurance as a Way to Help Offset the Value of Assets Lost Due to Financial Volatility

The study found two-thirds of consumers believe market conditions reinforce the need to have adequate life insurance coverage. In spite of this, just 24% have reviewed their coverage and even fewer have made changes, according to Prudential's research.

"The market collapse last year led all of us to reassess our needs, and cut down on spending," said Mark Hug, chief marketing officer of Prudential's Individual Life Insurance business. "People know life insurance can fill needs broader than just providing a death benefit."

Additional findings show:

-- Americans consider traditional life insurance protection as an essential safety net, with two-thirds saying they view it as one of the safer financial products available today*;

-- Compared with 18 months ago, about half of those interviewed feel less confident financial vehicles such as stocks and bonds or the home equity they may have built up will meet retirement goals, outpace inflation or provide a comfortable nest egg; and

-- Confidence in life insurance has remained relatively unscathed, with 78% equally or more confident their life insurance death benefit will be there to protect their loved ones.

"Unemployment concerns are also having an impact," Hug noted. Two-thirds of those surveyed realized they need individual coverage in addition to that provided by an employer. Yet 55% have twice their annual income or less aside from coverage they get at work, the survey showed.

Prudential's Renewed Relevancy of Life Insurance in Stormy Economic Times is part of the Taking a Pulse of American's Changing Life Insurance Needs that was fielded via the Internet between June 24 and July 1, 2009. The survey was conducted for Prudential by MRops, a Pennsylvania based, independent, market research firm. For more information, download a copy of Renewed Relevancy of Life Insurance in Stormy Economic Times.

Prudential Financial, Inc. (NYSE: PRU), a financial services leader with approximately $580 billion of assets under management as of June 30, 2009, has operations in the United States, Asia, Europe, and Latin America. Leveraging its heritage of life insurance and asset management expertise, Prudential is focused on helping approximately 50 million individual and institutional customers grow and protect their wealth. The company's well-known Rock symbol is an icon of strength, stability, expertise and innovation that has stood the test of time. Prudential's businesses offer a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds, investment management, and real estate services. For more information, please visit http://www.news.prudential.com/.

*Any guarantees are based on the claims paying ability of the issuer.

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SOURCE: Prudential Financial, Inc.

Prudential Financial, Inc. 
Janet Gillespie, 973-802-8012 
janet.gillespie@prudential.com