The Next Generations and Insurance: Understanding Millennial and Gen Z Buying Preferences
27% or 2 billion people
What percentage of the global population do Gen Z represent?
What is the combined estimated purchasing power of millennials and Gen Z ?
Types of Insurance Held by Young Adults
Meet the needs of the changing consumer to grow a more profitable business. Younger millennial and Gen Z adults between the ages of 18 and 38 are becoming more relevant to the insurance industry in terms of size and spending power.
United States
Canada
UK
Insuring the Digital Generation: Fast Facts
The digital generations don’t necessarily prefer staying online for all their insurance needs. While they grew up digitally connected, they are still social beings who seek trusted advice face-to-face.
Connecting with Millennial and Gen Z Consumers
Once they have insurance, these younger adults prefer communicating with an actual person, either by phone or in person to discuss their insurance. Research shows more than half of Gen Z (51%) and millennials (52%) prefer face-to-face meetings as their preferred form of communication.
Human Connection
Instant Gratification
Younger adults are more trusting of user-generated content than of brands themselves. Search engine optimization (SEO) and review sites are important channels for insurance providers to pursue. 85% of consumers trust online reviews as much as personal recommendations.
Search and Reviews
During what years were millennials born?
1965 - 1980
1946 - 1964
1981 - 1996
1997 - Present
Test Your Knowledge
Baby boomers are passing the torch as the largest generation. With 80% of young adults purchasing insurance, offering convenient, omnichannel service will be key in attracting and retaining
their business.
Reach the next generations of consumers today.
Download the Understanding Millennial & Gen Z Insurance Buying Behaviors Report
Auto
Homeowners
35%
35%
33%
31%
74%
64%
53%
58%
The Next Generations and Insurance: Understanding Millennial and Gen Z Buying Preferences
What percentage
of the global population do millennials represent?
Trillions of dollars annually
24% or 1.83 billion people
Ireland
Renters
None of these
24%
17%
22%
21%
18%
31%
25%
19%
Digital/Traditional Hybrid
Younger adults most commonly hold auto insurance above all other types of insurance. Gen Z are more likely to purchase auto insurance in person, whereas millennials tend to purchase it online.
Auto Insurance
Family and friend referrals have the greatest influence on how millennials and Gen Z find an insurance provider. Word-of-mouth referrals are most influential to younger adults shopping for insurance, though online search and review sites are increasingly being used.
Purchasing Preference Varies
Influencers
In Canada, younger adults prefer an in-person interaction to purchase insurance. In the UK and Ireland, the same group prefers purchasing insurance online. Millennials and Gen Z in the United States split their purchasing preference: they choose online for auto and renters, and in person for purchasing homeowners insurance.
1981 - 1996
Say Hello to the New Largest Group of Insurance Consumers
Millennials and Gen Z are less trusting of brands.
Millennial and Gen Z consumers expect 24/7 customer service.
Approach millennial and Gen Z consumers from all angles with omnichannel service.
The new battleground in acquiring and retaining millennials and Gen Z consumers revolves around providing the best real-time customer experience. Companies today are striving to meet the instant gratification needs of younger adults. These generations won’t wait three days for a quote. 74% of young adults surveyed state mobile app access to insurance is important.
Baby Boomers
Gen Z
Millennials
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