About 14% of people consider life insurance unnecessary because they think their super funds will cover their families’ possible needs, according to a new survey.

Some 8% do not understand how life cover works so have not bothered to take it out, the Budget Direct study of 1072 Australians shows.

About 35% of respondents consider life insurance to be “just another product” businesses are trying to sell them.

Almost half say life cover is a necessity, but one in five cannot currently afford it, with 32% of that group being parents.

The survey also reveals a lack of knowledge about debt levels.

About 17% of respondents do not know how much debt they have and 43% are unsure what level of cover their super provides.