Insuring the Catalyst-Customer
Generation Y and the Insurance Industry
Boasting an annual income of up to $200 billion and an expected inheritance of more than $17.8 trillion, Generation (Gen) Y is projected to become the wealthiest generation ever. As Gen Y-ers come of age and experience new life events, the timing is ripe for insurers to reach out to the group. As Gen Y-ers face life events such as getting married, purchasing a first home and having a first child — which typically trigger financial decisions — they tend to view insurance as a mere requirement that is confusing, expensive and unnecessary. Many of them do not even know they need insurance or why it may benefit them. Therefore, insurers have an immediate opportunity, in some cases, to educate and help Gen Y understand risk and the value of financial protection, and to sell products that meet its evolving needs.
So, who is Gen Y, and what do insurers need to know to better position themselves to capture the enormous opportunity it presents? “Insuring the Catalyst-Customer” outlines the distinguishing characteristics of Gen Y consumers, their potential impact on the insurance industry and how companies can align their customer-experience strategies with changing consumer preferences and expectations by:
- Focusing on new and existing products that meet a need in the broader context of a relationship
- Developing and effectively spreading marketing messages that are personally relevant and:
- Leverage word-of-mouth marketing techniques
- Adopt an educational approach
- Build and manage the brand
- Appeal to diversity and individuality
- Combining seamlessly integrated channels built on best-in-class technological capabilities that enable flexibility throughout the customer life cycle
To learn more, download the PDF attached below.