Most people are likely to be under protected in terms of their life insurance in relation to their mortgage debt, according to Aegon UK.
Figures from the Money Charity suggested the average outstanding mortgage debt is £119,937, while the average life insurance claim paid out in 2016 was just £75,000.
“This implies that people could be underprotecting themselves based on their mortgage debt alone by around £44,937,” said Stephen Crosbie, protection director of Aegon.
“This life protection shortfall could leave loved ones facing a debt that may no longer be manageable on a single or not income.”
Many people take out life insurance when they buy their first home, but Mr Crosbie said the level of insurance needs to be reviewed regularly “to reflect any changes to levels of personal debt, including mortgages, and also to acknowledge any other key life events like marriage, new jobs, children or divorce”.
“No matter the place or time, life insurance never makes for good conversation.
"No one wants to talk about dying. But we need to turn our perception of life insurance on its head as it is not all about death, it is also about providing financial security and peace of mind for those left behind.
"And it doesn’t have to be an expensive conversation. Life insurance can cost less than a bottle of wine a month."
Kim Barrett, adviser from Barretts Financial Solutions in Bishops Stortford, said the gap in life insurance in the UK is down to an “’enjoy now, pay later’ culture in society”.
“You could run adverts from midnight til midnight and it wouldn’t stop the younger generation spending money on their mobile phone rather than their life insurance,” he said.
Philippa Gee, director of Philippa Gee Wealth Management, said: "Protection should no longer be a policy you put in place for 25 years and forget about. It should be reviewed almost every year and particularly with any change in circumstances, whether taking on more debt or your family situation changing.
"With increasing benefits of technology, it should be easy to do."
rosie.murray-west@ft.com
