Editor’s note: This post was originally published on 9/8/16 and has been updated for accuracy and comprehension.
5 reasons a career in life insurance is a good choice
- More people are recommending life insurance.
- Millennials are on board.
- Consumers are ready to build relationships.
- Consumers have convincing motivating factors
- You can fill the gaps between knowing they need it and actually purchasing it.
It used to be that consumers viewed insurance as a necessary evil.
They didn’t want to think about it, talk about it.
They avoided it like the plague.
But now, things are looking up!
Now that you are committed to a career in the insurance business, are you wondering if you made the right choice, or need encouragement that things are turning around? You should be excited by the future!If you’re considering a career in insurance, are wondering if you made the right choice, or need encouragement that things are turning around, you should be excited by the future.
A recent study conducted by LIMRA and Life Happens shows that consumers are recommending life insurance to their family and friends – a good sign that the life insurance climate is taking a positive turn.
Here are some of the notable findings that will help you feel more secure in your career in insurance.
1. Recommending life insurance
- 66% of the study’s respondents reported they were “somewhat likely” to recommend to others that they should own life insurance. Previously, only 55% of respondents were somewhat likely to recommend it.
- 86% of consumers (or 9 out of 10) believe that they need life insurance.
This signals that Americans, in general, are understanding why life insurance is needed and they’re increasingly open to the idea of buying it.
That’s good news for people already in or considering a career in insurance.
2. Targeting millennials
If we dig even further into the study’s data, the demographics show that millennials are an important group of prospects for insurance producers, as more of them are open to life insurance.
- 77% of millennials were likely to recommend policy ownership.
- More than three-quarters of people who owned any type of life insurance were also open to recommending it.
- Two out of five millennials wish their spouse or partner would purchase more life insurance.
3. Building relationships
Millennials and other Americans are very open to wearing activity trackers and using smart scales – and sharing the results with life insurance carriers in exchange for financial rewards for engaging in healthy behaviors.
They’re also motivated to share activity-tracker data with an insurance company in the hopes of generating a favorable, long-term relationship.
4. Motivating factors
Other motivating factors that drive consumers to a life insurance purchase include:
- Financial concerns.
- Paying for long-term care.
- Paying for medical expenses.
The latest study shows that the Financial Concern Index (FCI) has dropped nine points since 2017.
This is good news for insurance producers because it means consumers have a more positive financial outlook for the future.
5. Filling the gaps
However, while two out of three consumers agree that long-term care insurance is a product most people need, very few actually buy a policy (less than one in five).
There is a gap here that people in insurance can fill, helping consumers move from understanding the need for it to actually owning the product.
And there’s even more good news. The majority of Americans still prefer to meet in person with an insurance advisor. They want to be able to ask questions and get quick answers.
Your career in life insurance is on solid footing
So take your insurance business to the streets.
Talk to prospects about life insurance and use digital tools to create relationships, grow awareness about the product, and walk people through the process of buying life insurance.
And watch your career in life insurance continue to grow.
