TY  - UNPD
A1  - Mitchell, Olivia S.
A1  - Sade, Orly
A1  - Hurwitz, Abigail
T1  - Testing methods to enhance longevity awareness
T2  - SAFE working paper ; No. 375
N2  - Many people do not understand the concepts of life expectancy and longevity risk, potentially leading them to under-save for retirement or to not purchase longevity insurance, which in turn could reduce wellbeing at older ages. We investigate alternative ways to increase the salience of both concepts, allowing us to assess whether these change peoples’ perceptions and financial decision making. Using randomly-assigned vignettes providing subjects with information about either life expectancy or longevity, we show that merely prompting people to think about financial decisions changes their perceptions regarding subjective survival probabilities. Moreover, this information also boosts respondents’ interest in saving and demand for longevity insurance. In particular, longevity information influences both subjective survival probabilities and financial decisions, while life expectancy information influences only annuity choices. We provide some evidence that many people are simply unaware of longevity risk.
T3  - SAFE working paper - 375 
KW  - retirement expectations
KW  - annuity
KW  - longevity
KW  - life expectancy
Y1  - 2022
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/70120
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-701207
UR  - https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4308658
N1  - JEL-Klassifikation:	
G5 Household Finance / G52 Insurance
IS  - December 2022
PB  - SAFE
CY  - Frankfurt am Main
ER  -