The COVID-19 pandemic has served as a wake-up call to Americans about their vulnerability to unforeseen illness and mortality, and has already inspired three out of four adults to make changes in their plans for the future, according to a survey recently conducted by Genworth Financial.
The COVID-19 Consumer Sentiment Survey of 1,000 U.S. adults, conducted by Genworth in collaboration with J&K Solutions, LLC in May 2020, was designed to gauge the impact of pandemic on Americans’ lives and their thoughts about long-term care and financial security.
With unemployment at historic highs and retirement savings subject to fluctuations in the stock market, 24% of survey respondents said they are less confident in their financial futures.
As a result of the crisis, 73% said it has changed their attitude about planning for the future. Planning better financially was cited by 34% as a change they resolved to make. In fact, 39% said they were more willing to prioritize saving for the future than they were pre-pandemic.
“Respondents’ reactions to the pandemic are not surprising considering the pandemic has had a tangible impact on just about every aspect of people’s lives,” said Christine Jensen, Ph.D., director of Health Services Research at the Riverside Center for Excellence in Aging and Lifelong Health, based in Williamsburg, Va. “It has opened their eyes to the importance of lifelong health and being more proactive about planning for how we, as well as our older family members, want to age.”
The survey, being from a leading provider of long-term care insurance, has a significant focus on long-term care issues rather than retirement planning, but also delves into the pandemic mindset of Americans. Other insights include:
- The pandemic is taking an emotional toll on Americans, with respondents most often reporting anxiety (49%) and stress (53%) as a result of the abrupt disruptions in their lives and plans for the future.
- A majority of Americans said the pandemic has forced them to confront their own (53%) as well as their loved ones’ (65%) vulnerability to unforeseen illness.
- 26% resolve to carve out more time for their families.
- 23% resolve to live more in the moment and not worry as much about the future.
“For many Americans, the pandemic represents the first time they’ve become acutely aware of their own mortality as well as that of their loved ones,” said Janice Luvera, vice president of Marketing at Genworth. “They are asking themselves, ‘What if I or my loved ones got sick and needed long term care? Where would I want to receive that care and how would I pay for it?’”