Young adults are working hard to step onto the property ladder – but many are doing so without the protection in place to keep their homes and lifestyles secure if life takes an unexpected turn. New research from LifeSearch and HomeOwners Alliance reveals a worrying gap between the risks younger homeowners face and their understanding of how to financially protect themselves.
● Young mortgage holders most vulnerable to income loss – 14% would struggle to pay their mortgage immediately after income loss
● 30% of young mortgage holders have no protection cover at all, while just 15% say they “know a lot” about their income protection options
● 12% said they would consider a bank loan and 29% would take on additional work to keep up with mortgage payments if faced with income loss
The research, which surveys over 1200 homeowners, including 500 mortgage holders in the UK, reveals that among mortgage holders aged 18–34, just 15% say they “know a lot” about income protection. Despite being at a life stage where job changes, unexpected illness, and financial shocks are more likely, many young homeowners remain under-protected.
While 54% of the 18–34 year-old mortgage holders surveyed report having life insurance, it may present a more positive picture than the reality as LifeSearch’s experience suggests actual take-up may be significantly lower. Notably, nearly a third (30%) of young mortgage holders report having no protection cover at all - including Life Insurance or Critical Illness Cover which would pay out a lump sum to loved ones in the event of death or serious illness, or Income protection which would replace one’s income if illness or injury left them unable to work.
This lack of awareness and cover could leave thousands exposed to financial difficulties if left unaddressed. The data also shows that 14% of mortgage holders aged 18–34 would immediately struggle to meet their mortgage payments if they lost their income due to sickness or injury, more than any other age group. Over half (57%) said they would be in difficulty within six months.
When asked how they would cope with a sudden loss of income, many younger mortgage holders listed short-term stopgaps:
● 29% said they would try to take on extra work
● 23% would cut savings or pension contributions – jeopardising long-term financial health
● 21% would turn to government support such as Universal Credit
● 12% said they would consider a bank loan
These coping mechanisms may help in the short term, but could increase financial vulnerability down the line – particularly for a generation already facing stretched budgets and uncertain job prospects.
Debbie Kennedy, CEO at LifeSearch, said: “This is a generation full of ambition – but without the guidance and support to match. Many under-35s are navigating some of life’s biggest financial commitments without knowing what protection is available to them, let alone having it in place.
“Income protection isn’t just for older workers or high earners – it’s for anyone who depends on a regular income to cover essential costs. Without it, the impact of a sudden illness or accident could be significantly more concerning.
“There’s an urgent need to close this awareness gap. That means clearer advice, better signposting, and conversations about protection starting earlier – so that young homeowners aren’t left exposed.”
Paula Higgins, CEO at HomeOwners Alliance, added: “Buying a home is a proud moment – but it comes with risks. For young homeowners, the stakes are high: many have stretched to afford their property, and their financial resilience is often still being built.
We need to do more to support young people in staying financially secure, especially as they take on the long-term responsibility of a mortgage. Ensuring they have the tools, knowledge, and support to weather life’s ups and downs is essential to helping them hold onto their homes and build a stable future.”
ENDS
Methodology
Research was conducted by Opinium on behalf of HomeOwners Alliance and LifeSearch, surveying 2,000 UK adults aged 18+ between 1–5 April 2025. For the purposes of this press release, findings are based on responses from 1,269 homeowners — including 511 who currently own their home with a mortgage.
Media contacts
Millie Dunn, edunn@teamspirit.co.uk/ Henry Clatworthy, hclatworthy@teamspirit.co.uk
About LifeSearch
LifeSearch is a leading provider of tailored life insurance solutions, driven by a clear purpose: to protect people properly. With over 25 years of experience, LifeSearch partners with reputable financial institutions and consumer champions to deliver accessible, affordable, and relevant protection to individuals, families, and businesses across the UK.
Dedicated to ensuring financial security for all, LifeSearch offers the right protection when it matters most, regardless of life stage or circumstance. Having protected over two million lives to date, its commitment to exceptional service is reflected in an ‘Excellent’ Trustpilot score, highlighting the trust and satisfaction of its customers.
About HomeOwners Alliance
HomeOwners Alliance is an organisation focused on supporting current and prospective homeowners with unbiased advice, resources, and services to help them navigate the housing market. Founded to provide advocacy for homeowners and buyers, HOA champions consumer rights in the property market by providing transparent advice, tools, and access to services such as mortgage comparisons and conveyancing support.