Single parents increasingly taking out life insurance

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Life insurance take-up has increased among single-parent families over the past year, according to research.

Aviva's latest Family Finances Report analysed the most common types of modern families and found take-up of products varied widely among different family structures.

Aviva said "it is encouraging" that despite being the least likely to have life insurance, single parents have noticeably increased their uptake to over a fifth (21%) this year from 17% in August 2012.

However, the report said couples with two or more children "continue to lead the way" when it comes to taking out life insurance policies. Almost half (45%) of such families have one in place, compared to an overall average of just over a third (36%).

The research also highlighted couples who plan to have children as the most likely to have private health insurance (16%.)

Meanwhile, couples with two or more children are the most likely to have critical illness cover (13%) and couples with one child more likely to have income protection (11%.)

Louise Colley, protection distribution director at Aviva said: "Our latest report has revealed some positive signs, particularly when it comes to those who are arguably the most vulnerable families. The number of single parents who have taken out life insurance appears to be creeping upwards which is fantastic news, given that these families are highly likely to be relying on a single income.

"While these parents have some way to go to match the 45% of couples with two children who have life insurance, it's great to see more families taking the step to safeguard their loved ones' futures."

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