Life Insurance of the Elderly: Adequacy and Determinants
Despite a general reduction in poverty among the aged, roughly one third of elderly nonmarried women are officially poor. Many of these women are widows.The fact that poverty rates are significantly larger for widows than for married women suggests that many households may fail to buy sufficient life insurance.This paper considers the adequacy and determinants of life insurance among the elderly. Its principal conclusions are:(1) Combined private and public life insurance is inadequate for a significant minority of elderly households;(2) Of those elderly households in which the husband's future income representsa significant fraction of total household resources, roughly half are inadequately insured;(3) Households do not significantly offset Social Security's provision of survivor insurance by reducing their private purchase of life insurance; and(4) The actual determinants of the purchase of life insurance appear to differ greatly from those predicted by economic theory.
|Date of creation:||Oct 1985|
|Date of revision:|
|Publication status:||published as Auerbach, Alan and Laurence Kotlikoff. "Life Insurance of the Elderly: Adequacy and Determinants,"Work, Health and Income Among the Elderly, G. Burtlss, ed. Washington: Brookings, 1987. pp. 29-67.|
|Contact details of provider:|| Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.|
Web page: http://www.nber.org
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Laurence J. Kotlikoff & Avia Spivak, 1979.
"The Family as an Incomplete Annuities Market,"
UCLA Economics Working Papers
151, UCLA Department of Economics.
- Ernst R. Berndt & Bronwyn H. Hall & Robert E. Hall & Jerry A. Hausman, 1974. "Estimation and Inference in Nonlinear Structural Models," NBER Chapters, in: Annals of Economic and Social Measurement, Volume 3, number 4, pages 653-665 National Bureau of Economic Research, Inc.
- Kotlikoff, Laurence J & Spivak, Avia & Summers, Lawrence H, 1982.
"The Adequacy of Savings,"
American Economic Review,
American Economic Association, vol. 72(5), pages 1056-69, December.
- Laurence J. Kotlikoff & Lawrence H. Summers, 1981. "The Adequacy of Savings," NBER Working Papers 0627, National Bureau of Economic Research, Inc.
- Lawrence Kotlikoff & Avia Spivak & Lawrence H. Summers, 1980. "The Adequacy of Savings," Cowles Foundation Discussion Papers 569, Cowles Foundation for Research in Economics, Yale University.
- B. Douglas Bernheim, 1984. "Life Cycle Annuity Valuation," NBER Working Papers 1511, National Bureau of Economic Research, Inc.
- B. Douglas Bernheim, 1987.
"Dissaving after Retirement: Testing the Pure Life Cycle Hypothesis,"
in: Issues in Pension Economics, pages 237-280
National Bureau of Economic Research, Inc.
- B. Douglas Bernheim, 1984. "Dissaving After Retirement: Testing the Pure Life Cycle Hypothesis," NBER Working Papers 1409, National Bureau of Economic Research, Inc.
When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:1737. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.