1 in 5 Young People Want An Advisor

The results of the 2018 Life Insurance Barometer are in and there’s one thing that popped out at researchers.

A surprising percentage of consumers in Generation X and the millennial generation want to buy life insurance from a living, breathing advisor.

LIMRA Life Insurance Conference attendees will receive their first look at the annual barometer today. James Scanlon, LIMRA senior research director, said the willingness of Gen X and millennials to buy insurance from an advisor is one of the surprises revealed in this year’s study.

“About one in five people from those generations is looking for an advisor, so that is a high percentage,” Scanlon said.

But if you’re an advisor who wants to target those age groups, you had better have a strong social media presence, the barometer revealed.

“What else was news to me is how much younger consumers rely on social media platforms for getting information on advisors,” Scanlon said. “And the barometer showed Facebook most important of the social media platforms, at least if you’re targeting millennials.”

In other positive news, the 2018 barometer shows the annual Financial Concern Index, which measures consumers’ level of financial concern, is down for the second consecutive year.

“That’s good news for the financial services industry, that levels of financial pressure are declining,” he said.

Simplified underwriting is one of the hot topics addressed in this year’s barometer.

“I expect simplified underwriting will continue to be even more common,” Scanlon said. “Just over half of consumers who responded to the barometer survey said they are more likely to buy life insurance after a simplified underwriting approach as opposed to a traditional approach.

“The most appealing aspect of simplified underwriting is that it’s fast and easy. But relative to how people buy life insurance normally, the process, the idea that simplified underwriting is easy makes it appealing.”

Social media and its applications for financial advisors is another hot topic addressed in the barometer.

“Interest in that is growing because social media is gaining momentum in the financial services marketing space,” Scanlon said.

The Life Insurance Barometer is a joint project of LIMRA and Life Happens. The consumer insights revealed in the barometer will be explored by demographic group. The information also can help insurers and advisors tailor their communications, improve target marketing and aid in developing products and distribution.

Susan Rupe is managing editor for InsuranceNewsNet. She formerly served as communications director for an insurance agents' association and was an award-winning newspaper reporter and editor. Contact her at [email protected]. Follow her on Twitter @INNsusan.

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