Will Millennials Change How Life Insurance is Bought?

Print this Article | Send to Colleague

Will Millennials Change How Life Insurance is Bought?

A new survey reveals that 70 percent of millennials will seek to buy life insurance online

CHRISTINE CUSATIS

In a recent survey conducted by Life Ant, a company that specializes in providing life insurance quotes, nearly 70 percent of participants between 18 and 39 said that they would look for life insurance policies online before they consulted a financial advisor. Sixty percent of participants who were 40 and older stated that they were more likely to visit a financial advisor to purchase a policy instead of using an online source. This is because the current generation is getting older, becoming more established, making more money and starting their families—but still retaining their need to be more efficient in their everyday lives.

"As this happens, the supply of clients for life insurance agents will dwindle, and the supply of clients looking to buy life insurance online will increase significantly," stated Life Ant. "This could mean that the future of life insurance agents is not bright unless they adapt. The younger millennial generation has much more trust in current online resources."

Based on the survey results, Life Ant concluded that the life insurance industry needed to prepare itself for some drastic changes, including steep declines in business. Life insurance agents may need to change the way that they operate, especially because the old models will not last as technology advances. To provide better online life insurance services, Life Ant recommends that companies offer extensive educational material, high-quality needs calculators and other informative resources.

To read the full study, please visit http://www.lifeant.com/millennials-will-change-life-insurance-bought.

Christine Cusatis is managing editor of Advisor Today.