Page 25 - Insurance Times September 2019
P. 25
WHY LIFE
INSURANCE IS
IMPORTANT TO
MILLENNIALS?
T he generation commonly known as millennials, the job market and record levels of debt from student
loans.
or Generation Y, is coming of age in almost all
the countries, potentially creating new
challenges and opportunities for the insurance
industry globally. Millennials are generally 20 to 35 years One of the many reasons why millennials don't buy life
insurance is because they think they are young, healthy and
old and make up nearly 40 percent of the world's don't have kids and assume that they will remain ever
population. youthful. But, if anybody is avoiding a life insurance plan
because of these reasons, it is high time that they change
In contrast, their parents (the baby boomers) currently the way they look at life.
constitute roughly one-third of the population. Unlike their
parents, millennials have typically elected a lifestyle that Availing a life insurance plan is no longer an indulgence or
includes postponing many significant life decisions, such as a luxury, it is a necessity. The younger the prospects are,
marriage, having children, and purchasing a home. They're lesser are the premiums. This is because they are healthy
generally characterized as being highly educated compared at this age and will be a low-risk prospect for a life insurer.
with other generations, tech savvy, enjoy alternative This makes it easy for them to get life cover at an affordable
methods of travel, and are moving to urban areas in record price.
numbers. They also typically face significant challenges in
Who are the Millennials?
About the author Millennials, also known as Generation Y or the Net
Paramesh Kumar S Generation, are the demographic cohort that directly
Asst. Professor - Life Insurance follows Generation X. The term Millennials is usually
MABFSI, Manipal Global Education considered to apply to individuals who reached adulthood
Services Pvt Ltd, Bangalore around the turn of the 21st century. The precise delineation
The Insurance Times, September 2019 25
