U.S. life insurance application activity was down 3% year-over-year in April, according to the MIB Life Index -- the second consecutive month of decline.
On a monthly basis, April is showing diminished activity from historical April volumes due to COVID-19, MIB said. Application activity in April was off -5.5% from that of March.
Year-to-date, the MIB Life Index remains above par at 0.6%, but is well off its year-to-date peak of 4% at the close of February 2020.
April’s Life Index age groups patterned much as they did in March with younger buyers, ages 0-44 off -0.7%; ages 45-59 showed improvement from March, off -2.4%; and ages 60+ showed further declines, off -9.7% year-over-year.
April’s age groups distinctly display pandemic purchasing preferences with younger ages showing a greater comfort with online life insurance purchases, MIB said. There was a sharp dip in older buyers (60+), showing the impact of COVID-19 on face-to-face sales and product changes at carriers.
Ages 60+ led all other age groups in YOY application activity in 2019. Year-to-date, ages 0-44 are up 2.4%, ages 45-59 are off -1.1% and ages 60+ are off -1.7%.