Black-White Differences in Life Insurance Ownership Among Middle-Income Couples

Posted: 23 Sep 2017

See all articles by Miranda Reiter

Miranda Reiter

Kansas State University - Institute of Personal Financial Planning, Students

Stuart Heckman

Kansas State University

Date Written: September 22, 2017

Abstract

It is well-documented that Blacks have a significantly lower amount of wealth than Whites, which carries a variety of implications. Although there are many historical reasons for the wealth gap that are not easily solved, positive financial behaviors can help Blacks strengthen their financial position, grow their wealth, pass along assets to the next generation, and assist in mitigating financial risk, particularly owning life insurance. Examining life insurance will provide insight into racial ownership differences and will show the extent to which Whites and Blacks are protecting their income. In addition, it will shed light on Blacks’ risk as it relates to life insurance. Two research questions are addressed: (1) Are there racial differences in life insurance ownership? (2) Are there racial differences in the proportion of human capital insured?

Keywords: Life insurance, race, disparities, human life value, Survey of Consumer Finances, human capital

JEL Classification: D14, G22, J15

Suggested Citation

Reiter, Miranda and Heckman, Stuart, Black-White Differences in Life Insurance Ownership Among Middle-Income Couples (September 22, 2017). 2018 Academic Research Colloquium for Financial Planning and Related Disciplines. Available at SSRN: https://ssrn.com/abstract=3041716 or http://dx.doi.org/10.2139/ssrn.3041716

Miranda Reiter (Contact Author)

Kansas State University - Institute of Personal Financial Planning, Students ( email )

307 Justin Hall
Manhattan, KS 66506-1403
United States

Stuart Heckman

Kansas State University ( email )

319 Justin Hall
Manhattan, KS 66506-4001
United States

Register to save articles to
your library

Register

Paper statistics

Abstract Views
82
PlumX Metrics