A social financial study has shown that 17.7% of people over the age of 18 are unable to access general insurance due to affordability.

The Financial Exclusion Indicator study conducted by the National Australia Bank in conjunction with the University of NSW’s Centre for Social Impact examines financial exclusion in Australia and the relationship between social and economic disadvantage.

It says one in seven Australian adults are either fully or severely excluded from accessing basic financial services such as general insurance, small personal loans or credit cards.

The report calculates that basic general insurance costs consumers an average $855 a year, including cover for home, contents and car – a figure that is often out of the reach of about 17.7% of the population.

Research shows that 82.3% of people have access to these products, with the lowest income-earners ($15,000 per year) at the highest risk of not taking out insurance. They have a 68.5% accessibility rate, while the majority of those with income of $50,000 or more have a 93.7% chance of taking out insurance products.

Baby Boomers are also more likely to take out cover while not surprisingly the 18-24 age group are the least likely with only a 48.1% accessibility rate compared to 90.9% for those 65 years and older.