LifeCare Poll Finds Majority of Workers Do Not or Cannot Keep Cash Reserves for Emergencies

SHELTON, CT, June 25, 2009

More than half of American workers either can’t or don’t keep cash reserves on hand for emergencies, according to a poll by LifeCare^®, Inc., a leading provider of health and productivity solutions to employers nationwide. However, 32 percent keep less than $500 in cash at home.

Here are the full results of the poll, which was conducted during the month of May on LifeCare’s private web site:

Do you keep reserve cash at home for emergency/contingency purposes?

• No — 53%
• Yes, I keep less than $500 in cash at home — 32%
• Yes, I keep $500 to $1,000 in cash at home — 9%
• Yes, I keep $1,000 to $5,000 in cash at home — 4%
• Yes, I keep more than $5,000 in cash at home — 1%

“As you might expect, many people who responded ‘no’ to this poll said that they’d like to keep cash reserves on hand but can’t because of their financial situations,” said LifeCare CEO, Peter G. Burki. “Unfortunately, as people continue to struggle with their finances, they have to forego keeping cash reserves to address more immediate needs.”

LifeCare helps its clients address their financial challenges through a wide range of resources including access to financial and legal counselors, an online library of educational materials, and an enhanced bundle of financial and legal services that provide more in-depth consultation and educational materials.

Burki notes that the poll’s findings are in keeping with general personal finance trends that LifeCare has tracked during the past two years. In a press release issued in May of 2009, LifeCare reported that its Call Center is now answering a record number of calls about financial issues—so many, in fact, that the company’s financial call volume has eclipsed its child care call volume. In a three-month period at the beginning of 2009, LifeCare answered about 1,500 financial calls—or nearly one call every hour-and-a-half, 24 hours a day, seven days a week.

Comparing the first six weeks of 2009 to the same period in 2008, LifeCare saw a 70% increase in the number of requests for counseling about credit and debt issues and a 35% increase in requests for information about state programs and/or grants for rent, food and utility assistance. Most of LifeCare’s finance-related calls are about financial counseling (guidance on credit and debt issues) or financial assistance (information about government programs for child care subsidies, utility and rental assistance, etc.).

Notes to Editors

LifeCare's CEO, Peter G. Burki, is available for interview.

About LifeCare^®, Inc.
LifeCare is a leading provider of health and productivity solutions for employers nationwide, offering cost-saving benefits that help clients reduce their most pervasive absenteeism and productivity drains, including child and elder care, caregiving support, health and wellness issues, and more. For more than two decades, LifeCare has led the work/life industry in the creation of high-quality, results-oriented programs designed to improve clients’ bottom lines. LifeCare serves 1,500 client companies with 4.5 million individuals within corporations, health plans, government agencies and unions. For more information, visit www.lifecare.com.

Media contact: Michael Civiello
mikciv@gmail.com
203-556-8827