A new report from Chubb posits that younger generations are more enamoured of taking advice from insurance brokers and agents than those preceding them.
According to Chubb, 46% of Gen Z and 43% of Millennials wish for their agent or broker to advise them on insurance-related matters. This is a sharp increase from the older Gen X cohort (21%), Baby Boomers (36%), and the Silent Generation (29%).
Ana Robic, vice president of the Chubb Group, said: “It’s critical in today’s competitive business environment that we understand the dynamics of catering to five different generations with each evaluating and purchasing insurance very differently.”
She added: “We are pleased to offer agents and brokers this research and other resources to help them close generational gaps in sales relationships. We encourage our distribution partners to dive into what we’ve made available – and along with us – harness these insights to meet the unique risk management needs of our mutual clients across generations.”
The report, Selling Across Generations, looks at the differences in how each generation searches for and purchases insurance, what they look for in an insurance carrier, their current coverages, the kinds of media they trust most, and how they currently engage with insurance agents.
Chubb also said that the younger generations are also the most receptive to having their agent or broker educate them on how insurance products and services can match their long-term goals. Majorities of Gen Z and Millennial respondents welcome that education (53% for both) versus about two-in-five for Gen X and Baby Boomers. The study also found that younger generations are more likely to use social media reviews when choosing an agent or broker to advise them. Most Gen Z (94%) and Millennial (89%) respondents rely on social media reviews ahead of choosing an agent, compared to 64% for Gen Xers and 56% for Baby Boomers.
The firm also reported that younger generations tend to have fewer insurance coverages than older generations, and more than one-third of all respondents have an add-on insurance product, such as coverage for liability or valuable articles. Current use of an insurance agent – including both independent and captive – was high across all generations with, perhaps surprisingly, the highest usage among Gen Z (80%) and Millennials (83%).
The study also found that, across all generations, 46% prefer purchasing through an independent agent; two-thirds believe it is very important for an agent or broker to listen to their needs; and just over half (51%) said that industry certifications were important.
