Life insurance companies need to target younger customers
According to latest reports from comperemedia.com, a website that tracks and analyzes marketing data for both the US and Canada, many North Americans under the age of 45 don’t have enough life insurance.
Gary Wooley, Director of Insurance Consulting at comperemedia.com, thinks it is partially a function of marketing activities. “When carriers market life insurance directly to consumers, they overwhelmingly continue to target those over the age of 45—effectively alienating other potentially lucrative demographics.”
A breakdown of the numbers from the first six months of 2011:
- 46 and older age bracket: 85% of the direct mail volume (up from 81% from 2010)
- 18-45 bracket: 15% of the direct mail volume (down from 19% from 2010)
- 65 and up age bracket: 28% share of direct marketing mail volume (unchanged from the same period in 2010)
- 31-45 age bracket: 13% share of direct marking mail volume (down from a 16% share in 2010)
Wooley feels that the 31-45 age group is the one that should be marketed to directly in terms of life insurance. “Broadly speaking, the 31-45 age group consists of the folks most in need of life insurance, and carriers are missing an opportunity by not marketing to them directly,” adds Gary Wooley. “They are interested, but they need more information and a call to action.”
