Two-thirds of people are 'risking' their retirement plans as they have no means of securing income should they be unable to work, new research has revealed.
Aegon's UK Retirement Readiness survey said a loss of income through being unable to work can be especially damaging close to retirement, with less time in which to bridge any extra shortfall created.
Only 13.2% of respondents said they had a full contingency plan, a figure that falls to 9.9% of women.
Half of those aged 55 and over have no safety net while just under a third (30%) said they have some form of plan to provide an income. Just 18% claimed to have a full back-up plan in place.
These findings support the outcome of the global retirement readiness survey released by the Aegon Group earlier this year. This found 70% of global respondents (90% of which were employees) have no back-up plan to provide themselves with an income in the event they are unable to continue working before reaching retirement.
Duncan Jarrett, managing director retail and at retirement at Aegon UK said: "Even the most robust of retirement plans can be undermined by the absence of a financial safety net should there be a loss of employment income.
"Plugging that gap can be achieved with the help of rainy day savings, income protection insurance, critical illness cover and various other strategies.
"Being prepared for retirement is about more than saving - it's also about protecting what you have and planning for all eventualities. As it stands a majority of people risk seeing their plans blown off course should they be unable to work before they retire."
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