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Life insurance is an important part of a sound financial plan and maintaining your financial security. 

For many people, financial security seems distant or unattainable. This can be especially true in the LGBTQ+ adult community. As we celebrate Pride Month, let’s take a closer look at why this is and how members of the LGBTQ+ community can attain their financial needs.

According to the 2024 Insurance Barometer Study, conducted by LIMRA and Life Happens, LGBTQ+ consumers are more likely than the general population to express financial concerns about immediate issues such as maintaining their jobs, paying monthly bills and mortgages, and future risks such as becoming disabled, saving for retirement, or having an emergency fund. 

They also are less likely than the general population to feel financially secure. According to the research, almost 6 in 10 insured LGBTQ+ adults (56%) feel financially secure, compared with just 41% of uninsured LGBTQ+ adults. 

Owning life insurance can help alleviate this. Unfortunately, the research shows that LGBTQ+ consumers are less likely to own life insurance, with just 40% saying they own life insurance compared to 51% overall. Even those who have life insurance coverage may not have enough. LIMRA research shows 46% of LGBTQ+ consumers — representing 8 million adults — say they need (or need more) life insurance.  

So, what are some of the barriers to owning life insurance in the LGBTQ+ community and how can the industry overcome them?

Cost and financial priorities

Research shows that LGBTQ+ adults trail in both income and assets, which limits the funds available for financial priorities. Four in 10 LGBTQ+ individuals say they haven’t purchased coverage because they have other financial priorities. 

LGBTQ+ consumers are also more concerned than the general population about numerous financial needs. Over half are very or extremely concerned about having enough money for retirement. Other top concerns include being able to support themselves if they become disabled and having an emergency fund.

Almost half of LGBTQ+ consumers (49%) say they haven’t purchased policies because they think it is too expensive. Yet nearly three-quarters of LGBTQ+ adults (74%) overestimate the cost of life insurance. However, life insurance is generally more accessible and affordable than people think.

The trust factor

LIMRA research shows that, while the majority of LGBTQ+ individuals trust life insurance companies, the level of distrust is higher than with other consumer groups. However, it is illegal for life insurance companies to discriminate against someone because of their sexual orientation. 

When purchasing life insurance, the application process is the same across the board, regardless of gender or sexual orientation. 

Although, there may be some specific considerations for transgender, non-binary, or genderqueer individuals. For example, applicants choose a gender on the application form, and they might be required to apply based on the gender assigned at birth, not their actual gender. However, some carriers honor an individual’s actual gender if not prohibited by state regulations, and applicants can shop around to find an insurer that does. There also may be some delays in getting coverage if individuals are going through gender affirmation surgery.

Get the coverage you need by working with a financial professional

Less than a third (31%) of LGBTQ+ adults say they are currently working with a financial professional, while more than a third (34%) say they are looking for a financial advisor to work with.

Life insurance can be complicated, and having a financial advisor to turn to can make getting coverage easier to navigate. Finding an advisor who understands the unique challenges faced by LGBTQ+ adults is even more important. To get started, consumers can search for companies that directly address allyship on their website. Some sites, such as “Lets Make a Plan” allow you to search for a certified financial professional and offer the ability to filter based on client focus. A recommendation from a friend or relative that has worked with a professional in this market can be a great resource as well.

Financial professionals should note that according to LIMRA research, the top factors LGBTQ+ consumers consider when choosing an advisor are trustworthiness, experience, and communication skills. People who are LGBTQ+ have often faced discrimination and it is critical that carriers and financial professionals create a welcoming and inclusive environment to overcome any existing barriers and establish trust.

Life insurance is an important piece of a good financial plan. It has also never been as affordable or accessible as it is today. As we mark Pride Month, a month dedicated to celebrating and honoring lesbian, gay, bisexual, and transgender pride, we should work together to ensure each individual has financial security. 


Federal Reserve Bank of St. Louis. “New Analysis Finds LGBTQ+ Households Trail in Income and Wealth.” Accessed June 2024. 

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Karen Terry


Karen Terry leads the Individual Product Research team, developing and implementing LIMRA's research program for individual life, disability, long-term care and critical illness insurance products in the U.S. and Canada.


The opinions expressed by outside experts in’s “Expert Opinion & Commentary” section reflect those of the author and do not necessarily reflect the views of, its parent company QuinStreet Inc. or any of its affiliates and employees. Our editors review these articles and monitor them for accuracy after they've been posted, but the insurance industry sees constant rate changes, regulatory shifts, and other changes. Readers should always check an insurance company's website or contact.