“The Retirement Index shows us that Filipinos need to see retirement in a new light. It’s not just a financial milestone. It’s an emotional, social, and even cultural journey. If we only focus on money, we miss out on the other pillars that make retirement truly secure and meaningful. These data clearly indicate that retirement readiness requires conversation. Families, communities, and institutions must normalize talking about retirement. At InLife, that is what we are doing because we want our fellow Filipinos to be aware, more confident, and prepared so they can retire without worries. InLife, at 115 years old, continues to find solutions to Filipinos’ most pressing concerns. We are committed to empowering our fellowmen across generations so they can enjoy A Lifetime for Good.” ~Gae L. Martinez, InLife Chief Marketing Officer
This is far from ideal because retirement is about more than just having enough money to sustain one's senior years. The six interrelated elements that comprise an individual's retirement preparation are life stage, personal finances, health, pension plan participation, retirement sentiment, and social support.
This was the primary conclusion of the first-ever Retirement Index, developed by InLife, the largest life insurance in the Philippines, as a thorough indicator of retirement preparation. To create the Index, InLife used a multi-method research methodology that included survey data from a quantitative online poll of 1,000 respondents aged 18 to 59, expert interviews with economists and psychologists, and integrated research. Scores were calibrated on a scale of 0 to 100 for convenience of understanding.
Among the key findings from the InLife Retirement Index survey are:
- Generation X scored the highest at 54, owing to their life stage. At this time, they are more mature, have more stable income, and are breadwinners, or married with dependents, which naturally require increased knowledge of financial planning. Younger, single, or childless individuals show significantly lower retirement preparedness with Gen Z scoring the lowest at 36. However, Gen Z, together with young millennials reported having clear plans about their future though they have yet to translate these into concrete retirement plans.
- Insurance, investment ownership, and emergency preparedness boost retirement readiness. InLife policyholders scored significantly higher at 62 compared to non-policyholders who scored 42. Investment-oriented segments such as millennials, married individuals, and those with small families showed greater retirement preparedness as they built passive income streams, demonstrating long-term financial planning. In contrast, younger generations and single individuals who also support other family members face greater financial strain, and as a result, lower retirement preparedness.
- Filipinos who are retirement ready are also more prepared for health emergencies. With chronic health conditions becoming rampant as one ages, it is important to have a separate fund for health concerns.
- Pension program coverage is concentrated among married individuals and parents, leaving informal workers and singles vulnerable. With more Filipinos in the informal work sector, such as independent contractors, participation in state-sponsored pension plans such as SSS and GSIS is lower. Therefore, they are exposed to retirement and health risks in the future.
- Filipinos who scored high on the retirement index had strong social support underscoring the emotional and social dimensions that drive engagement in retirement planning.
- Women averaged 45 compared to men’s 49, highlighting gender disparity when it comes to retirement, with more men having full-time formal employment and investments.
To help Filipinos save for retirement, InLife offers Retire Assure, the country's first actual retirement insurance product. Retire Assure provides a guaranteed monthly income from age 60 or 65 to age 100. One may choose to pay it off over a period of five, 10, or even sixty-nine or sixty-four years. It is further enhanced by cash dividends, which may increase over time to keep up with growing living expenses.
Retire Assure 2, its 2-pay counterpart, is recommended for professionals entering senior roles in their careers who value long-term stability over market-driven uncertainty. It is meant for those between the ages of 48 and 73 and is paid in two annual installments. The insured will receive a monthly income until they turn 100 when the second premium is paid. Upon the insured's death, the beneficiaries receive the guaranteed cash value or 110% of the premiums paid (less any prior payouts), whichever is greater.
Earlier this year, InLife also released a study on retirement called "Retire Without Worries: Your Roadmap to Living Life to the Fullest." The study stressed the importance of retirement planning because of rising healthcare costs, longer life expectancies, and changing family dynamics that increase the risk of financial instability for older Filipinos. It emphasized the importance of thorough planning and adequate support systems given the potential to outlive one's savings.
Be more retirement-ready. Try InLife’s Retirement Index
Calculator at https://www.inlife.com.ph/retire-assure/retirement-readiness-index.
To know more about InLife Retire Assure, visit https://www.inlife.com.ph/retire-assure.
To read InLife’s Retirement white paper, visit https://bit.ly/RetireWithoutWorries.
About InLife
InLife is the first, largest and only mutual Filipino life insurance company in the country with over 115 years of uninterrupted service. We apply over a hundred years of experience in financial protection, risk management, savings, and investment to help you make confident decisions for you and your loved ones.
Our policyholders can be assured of being protected by a company that has an asset base of over P158.9 billion and net worth of P44.3 billion. We have a nationwide presence through our 56 offices all over the country, and an expanded digital footprint to serve our customers, wherever and whenever they want. Our success is anchored on the well-being and security of our policyholders and beneficiaries, employees and financial advisors, partner companies and institutions, and host communities as we exist to offer A Lifetime for Good for everyone. For more information, visit https://www.inlife.com.ph/.
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