Millennials, who are between the age of 24 and 40, are at a time in their lives when they need life insurance. The majority of millennials are married, have dependent children, own homes, and have more than $100,000 in household income. Yet more than half (55%) of millennials have no life insurance coverage at all, putting their loved ones at risk of financial hardship should they die unexpectedly.
Misconceptions about life insurance often deter millennials from purchasing the coverage they say they need. The 2022 Insurance Barometer Study finds 35% of millennials say they don’t own life insurance because it is too expensive yet 8 in 10 millennials overestimate the cost of life insurance. Forty-five percent of those who don’t believe they have enough life insurance think they would not qualify for coverage. But generally young, healthy adults are most likely to not only qualify for coverage but also to be able to secure the most affordable rates.
Millennials represent the largest market opportunity for our industry — nearly half (47%) of millennials (34 million adults) say they need (or need more) life insurance. Educating millennials about how affordable and accessible life insurance is and how it can help young families protect their future financial security.
As part of our Help Protect Our Families campaign, LIMRA and the American Council of Life Insurers – ACLI are co-hosting a Twitter chat to discuss how our industry can better engage and educate more Millennials about the value of life insurance and its role in financial protection.
Date: Wednesday, July 20, 2022, from 2:00 to 3:00 p.m. EDT
Where: Join us @LIMRA and @ACLINews on Twitter using your personal handle or your company’s handle.
Hashtag: Use the hashtag #GettingMillennialsInsured during the above timeframe to join the conversation.
Together, LIMRA and ACLI will moderate the discussion and drive the conversation on Twitter using the questions and statistics below. Remember to use the #GettingMillennialsInsured hashtag in each tweet.
Question 1: COVID-19 had a significant impact on Millennials’ perceptions about life insurance. In 2022, 44% of Millennials said they were more likely to purchase coverage within the next year because of COVID. As the pandemic fades from prominence, how does the industry maintain that heightened awareness about the value of life insurance?
Question 2: Millennials are at the prime life stage for life insurance coverage – the majority are married/partnered, own homes, and financially support children under 18. Yet just 45% have any life insurance coverage. How does the industry effectively communicate to Millennials the important role life insurance plays in protecting loved ones’ financial future and encourage them to take the steps to get the coverage they need?
Question 3: One of the top reasons Millennials say they haven’t purchased life insurance coverage is ‘it’s too expensive’ but 8 in 10 overestimate the cost of life insurance. What can the industry do to help educate consumers — particularly Millennials — that life insurance is more affordable and accessible than ever?
Question 4: Life insurers paid more than $90 billion to beneficiaries of life insurance policies in 2020 — the highest ever in any single year in more than a century, demonstrating that we deliver on promises. How can we make sure we're increasing access to these essential products for groups like millennials?
Question 5: One-third of Millennials say they don’t have life insurance because they don’t think they would qualify or they haven’t been approached. Tell us how your company is overcoming these kinds of misconceptions about life insurance and engaging young adults?