How Insurance Agents Can Connect With Gen Z Clients Effectively

Reh Bhanji (Certified Financial Planner, Chartered Life Underwriter)

Table of Contents

Did you know Gen Z is looking to surpass Baby Boomers, Gen X and Millennials and become the largest generation in the US and Canada in the next few years or so? This tidal wave of young adults behave radically differently than previous youth demographics when it comes to insurance needs and engagement preferences. As a father of two Gen Z kids, I feel their “Giving” vibes everyday!

I recently spoke with Alyssa Anderson on the Discovery Series podcast, an advisor who is a Gen Z herself and specializes in reaching this niche market, who shared eye-opening insights after cornering her local Generation Z niche. She revealed, “The biggest thing is them not wanting to do what their parents did.” This break from outdated financial conventions signals a pivotal paradigm shift every insurance agent must wrap their heads around quickly if they want to capture this lucrative market making up over 20% Americans and Canadians today.

I’ve noticed many insurance agents think of Millennials and Gen Z customers all the same. This cannot be further from the truth! Their money motivations, buying habits and even product appetites are crazy different! If you want to earn their loyalty as an insurance agent, you need Generation Z-specific strategies aligned to how this new generation REALLY operates.

Alyssa opened my eyes huge to what insurance policies these young adults want, how they engage in the digital age, what really earns their trust. We need to meet them where THEY at if we want to win market share of this economic powerhouse.

So leave old biases aside and prepare for a wild wakeup call as we dive into unlocking the secrets to Gen Z clients.

KEY TAKEAWAYS

  • Understand that Gen Z has a different mindset than previous generations when it comes to insurance. They want to avoid repeating financial mistakes made by their parents and are more entrepreneurial.
  • Build trust with Gen Z by meeting them where they are digitally, focusing on education first before pushing products.
  • Market to Gen Z on social media platforms like Instagram, Snapchat, and TikTok. Create engaging, fast-paced video explainers about insurance tailored to their goals.
  • Offer relevant permanent life insurance products with cash value accumulation options. Gen Z understands the long-term flexibility these provide.
  • Provide attentive ongoing support via text. Check in regularly as their needs evolve.
  • Debunk common insurance myths Gen Z may believe from Googling or friends.
  • Explain insurance doesn’t have to be complicated or expensive. Use analogies.
  • Insurance isn’t just for older married people. Break down living benefits like disability or critical illness coverage relevant for Gen Z now.
  • Meet Gen Z’s desire for customization. Tailor options to their side hustles, unconventional incomes and entrepreneurial paths they forge.
  • Blend digital convenience like texts with in-person or video chats. The human touch still matters so they see you as a trusted advisor.
CategoryInsights and tactics for connecting with Gen Z clients as an Insurance Agent
Core Values- Gen Z deeply care about social causes and sustainability
- Value authenticity, direct communication, relevance and transparency
- Very concerned about financial security and stability
- Value having flexibility and balance between their personal and professional lives
- Tend to favor experiences over material possessions
- Comfortable with disruptive technologies
Communication Preferences- Gen Z prefer texting as a primary mode of communication, reflecting their desire for immediacy of information
- They communicate with images and prefer video and images rather than text
- Prefer razor-sharp text over lengthy chunks of words
- Have short attention spans and appreciate concise and visual communication
- Value personal communication
- Social media platforms like YouTube, Instagram, TikTok, and Snapchat are integral to Gen Z communication habits
Building Trust- Gen Z value authenticity and can easily detect insincerity
- Expect easy access to information, be transparent about policy terms, coverage details, and pricing
- Provide information digitally in an easily digestible form
- Use data-driven insights to offer personalized recommendations, content, and offers
- Gen Z support companies committed to sustainability and social responsibility
- Focus on educational content that demystifies insurance terms
- Gen Z often think of insurance as a big decision and worry about buyer's remorse
- Emphasize education over selling
- You need to demonstrate genuine care by asking questions
- Convey shared values upfront
- Allow two-way dialogue, don't dominate discussions
- Share testimonials and reviews from relatable Gen Z clients
Products and Services- Gen Z seek guidance on customizing insurance to fit their needs
- Require online accessibility, user-friendly, and mobile-responsive websites
- Consider cross-selling life insurance to parents and other products like disability or long-term care insurance
- Value-based pricing and transparent policy terms are effective
- Expect a hassle-free digital claims management process
- A seamless mobile experience is crucial
- Corporate social responsibility efforts resonate with Gen Z's values
- Offer usage-based models over traditional policies
- Support month-to-month, flexible, "on-demand" models
- Bundle insurance, financing, loans, and other benefits
Marketing Tactics- Adopt a mobile-first approach to reach Gen Z effectively
- Engage on social media platforms like Instagram, Snapchat, and TikTok
- Be honest, genuine, and transparent to build trust and interest
- Tailor marketing messages to Gen Z's unique needs and preferences
- Use influencer marketing to reach Gen Z and build trust
- Create educational content to demystify insurance terms
- Invest in quality content, SEO, and paid advertising for lead generation
- Create content specific to each marketing channel for resonance
Brand Positioning- Gen Z value clear brand values and missions
- They thoroughly research brands before engaging
- Influencer marketing effectively reaches Gen Z
- Gen Z seek ways to engage and connect with like-minded individuals
- Prefer relatable and approachable brands
- They care about social issues and expect brands to take a stance
Ongoing Service- Educate Gen Z about insurance terms, benefits, and importance
- Use relatable language and communicate in a way they understand
- Gen Z values relationships, and agents who take care of them can earn loyalty
- Ensure mobile accessibility and responsiveness for services
- Be authentic in interactions with Gen Z clients
- Building a digital community can be integral for ongoing service
Custom branding
Showcase your brand.
Video narrations
Easily video-narrate sales presentations or proposals when needed (otherwise video is optional). Redo slide if you made a mistake. Use built-in teleprompter to record longer videos.

Data rooms
Attach any supporting files and links. Make it easy for your prospects and clients to find the right information quickly.

Company profiles
Create company profiles with custom banners and info-packages tailored to different industries.
Contact details
Show your contact info easily accessible by your prospects and clients.
Custom CTAs
Add custom CTAs to drive prospects or clients to your calendar, sign up form, etc.
Engagement analytics
See how prospects and clients interact with your PDFs.

Feedback and Reactions
Collect feedback from prospects and clients. Feedback and reactions are not publicly visible.
Share PDFs
Share any existing PDF presentations and documents.
Live links
Share with a single link. Update files even after sharing your link. Get notified when your PDF is viewed. Turn off access anytime.

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Simplify Complex Topics with Video PDFs

Make complex insurance policies and products easy for clients to understand with Video PDFs. Access engagement analytics. Learn more.

Understanding Gen Z Clients Mindset

Unlike previous generations, Generation Z are true digital natives who have never known a world without the internet, social media, and smartphones. As my colleague David Lee says, “Gen Z are engaged in the digital world of TikTok”.

Insurance agents can no longer lump these young adults into one generic “Millennials and Gen Z” bucket. Today’s rising Generation Z niche, born between 1996 and 2010, has unique views and behaviors we must appreciate to demonstrate relevance amid their insurance buying journeys.

My own kids constantly have their eyes glued to their devices. As much as we like to bug them to put their phones down, you need to remember if you’re looking to work with Gen Z clients you have to meet them where they are and understand Gen Z lingo (listen to this Discovery Series episode on Crafting Your Digital Persona with advisor Jaqueline Soong to understand Gen Z slang)

Many Alyssa’s Generation Z clients message her insurance questions over Snapchat and Instagram. It can become a bit of a headache to keep track of so many communication channels; especially, if you’re used to using a CRM that automatically logs your notes and emails. But hey, it is what it is.

Did you know that, according to The National Association of Personal Financial Advisors (NAPFA), over 56% of Gen Zers turn to TikTok and 63% to YouTube when they need money related advice? How crazy is that! Their friends and connections on social media platforms shape Generation Z financial knowledge and decision making process. Keep that in mind when planning your insurance marketing strategy.

So we have to reshape the traditional insurance agent mindset. Gen Z customers are coming to meetings educated and opinionated, not as blank slates. Based on years of working with Generation Z, Alyssa says the key is helping them elaborate on concepts they want to implement based on what they’ve seen on Instagram or TikTok.

Another important thing to remember, for a lot of Gen Z, a big deal is avoiding doing what their parents did. Unlike previous generations coming of age during prosperous eras, feisty Generation Z watched families and friends struggle through turbulent financial times. Now exceeding 70 million in the US and over 7 million in Canada, this motivated group aims to forge their own paths and avoid mistakes witnessed firsthand while growing up.

That’s why insurance agents like Alyssa see many of their Gen Z clients urgently planning for life insurance, retirement, and other protective products their parents overlooked until much later down the road. Already wise beyond their years thanks to recent economic impacts, Generation Z refuse to follow outdated conventions dictating ideal ages to get insured based on life stages.

Many Gen Z’s don’t worry about fitting into the jobby job corporate box. They hustling every side angle that lights their fire to run their own shows and dictate how paper gets made on their terms. According to a Bank of America survey, a whopping 72% of Generation Z participants revealed they’re juggling a side hustle. Gen Z identify side hustles aligning to personal passions as their preferred career pathway. Sleigh! As my Genz daughter always tells me.

This appetite to control vocational futures and pursue unconventional income streams influences how Generation Z view insurance markedly differently than previous generations. It’s not just about safeguarding a paycheck like it used to be for their folks. So when they look for an insurance agent, cookie cutter don’t cut it for these unconventional go-getters wanting insurance coverage as custom as their visions and versatile as their side hustles.

The bottom line, ask questions and take time to really understand where each Gen Z client is trying to get in life financially. What paths they choose and why. Only then can you advise the right insurance coverage options to support their big economic goals and help avoid roadblocks ahead.

Your role as an insurance agent becomes guiding and advising. And yes, that means putting in the work to understand whatever the latest social media app craze is that they’re using!

Generation Z Statistics - INFOGRAPHIC

Generation Z – The Retirement Outlook. Source: Transamerica Institute

Common Misconceptions and Myths Gen Z Have About Insurance

Alright folks, do you want to connect with Gen Z customers? First, we have to tackle some of the misconceptions and myths they believe thanks to Googling insurance at 3am. Here are big myths you may need to bust:

  • I just don’t need it yet, Buying insurance isn’t urgent: Young folks think they’re invincible. Walk through likelihoods of injuries, accidents and unexpected costs. Get specific on rents, student loan payments and incomes needing protection. Highlight that health changes as we age make buying early critically important for locking in rates.
  • Insurance industry is a scam to steal my money: Some Generation Z think insurance agents are just greedy middlemen trying to con them. Don’t take it personally! Simply explain insurance pools risk to cushion devastating costs no one can afford alone. Give real-life examples of insurance coverage saving other Generation Z clients financially.
  • Insurance companies always find ways to avoid paying out claims: Highlight that with the proper personalized coverage for a given situation, today’s insurance providers reliably pay out legitimate claims quickly. Share personal examples and testimonials of clients having positive insurance experience.
  • It’s confusing so I’ll deal with it later: Insurance seems complicated thanks to legal jargon and fine print. Break down key terminology in simple terms. Explain insurance policies and exactly what they cover / exclude using video PDFs. Leverage intuitive online tools and streamlined applications, the insurance purchasing process now takes minutes, not hours or days. Walk Gen Z clients through just how fast and simple it is firsthand.
  • Insurance is too expensive: Let your Gen Z clients know that insurance doesn’t have to be expensive at all. Show them real pricing examples for entry-level term life insurance policies that fit most budgets. And don’t forget to highlight all the sweet discounts for bundling multiple covers together like the Desjardins Multi-Coverage Discounts. I call this the bundle & save approach.
  • Their employer-provided insurance is enough: Some Generation Z believe the life insurance from their job is sufficient. Walk them through how group life insurance has major gaps when it comes to payout amounts and taking it with you if you switch jobs. Then get them pumped about supplemental disability or critical illness plans to fill those gaps.
  • They don’t need insurance until they are older: Many Gen Zers think they can wait until they are older to get covered. They need to know that buying in while young and healthy scores them cheaper rates for life. As Alyssa noted, starting earlier allows protection benefits AND wealth building benefits to compound. You can frame insurance policies to emphasize this dual upside.
  • Instant quotes they see online are the best rates available: Position yourself as the expert who can get them accurate, customized rates that account for their unique situation.
  • Insurance policies are extremely complex and confusing: Some put off getting insurance coverage because they find the process intimidating and don’t know what to buy. Insurance can be confusing to figure out solo that’s for sure! Explain coverage options, benefits, and insurance concepts in simple, straight-forward terms using relatable real-world examples and analogies.
  • Insurance is only for people with dependents: If your single Gen Z clients think insurance is just for married folk and parents, pump the brakes! Break down all the living benefits and cash value options many insurance policies offer. When they realize insurance coverage can set them up for whatever life may bring, they’ll be sold.
  • Critical illness insurance only covers major conditions like heart attacks: Many Generation Z think CI insurance only pays out for severe illnesses, when in reality minor conditions can also qualify. Walk your Gen Z clients through the range of covered critical illnesses in detail.
  • Insurance only pays out a death benefit: I can understand why some of them may think insurance only pays out when the insurance holder passes away. Explain that there are actually living benefits they can access in certain life events of a critical, chronic or terminal illness diagnosis. Clarify that the cash value component also gives them flexibility to fund business ventures, education, or other major life needs.
  • Once you start a policy, you’re stuck with it forever: Explain that insurance policies and needs naturally evolve over time. As those insurance needs change, reassess and adjust insurance coverage accordingly. Terminating unneeded insurance policies is seamless as well.

So in a nutshell – don’t assume Generation Z isn’t down to talk insurance just because they’re young. They just need some straight talk from insurance agents to debunk the myths!

INSIGHTS FROM THE EXPERTS
Reh Bhanji (Certified Financial Planner, Chartered Life Underwriter)
Reh Bhanji (CFP, CLU)

National Best Practice Leader at Desjardins

PROS and CONS of Targeting Gen Z Clients as an Insurance Agent

PROS of Targeting Gen Z ClientsCONS of Targeting Gen Z Clients
Gen Z's growing buying power: Gen Z is entering the workforce and inheriting wealth, leading to increased buying power. Millennials and Gen Z generations account for over 40% of the U.S. and Canadian population and their buying power is growing substantially as they age into the workforce and inherit generational wealth.Different mindset: Gen Z have different values and expectations compared to older generations. Many are not satisfied with traditional insurance processes, products, and business models, and their loyalty can be fleeting if nothing of value keeps them with a brand or insurance company.
Insurance aligns with Gen Z preferences: Gen Z value flexibility, good pay, rewarding work, and job stability - all things the insurance industry can provide. The insurance industry is known for supporting work / life balance and offers the combination of job satisfaction, stability, and strong compensation that Gen Z seek.Digital natives: Gen Z have grown up in a digital world, which means they are more likely to prefer interacting with insurers directly through digital channels rather than through traditional insurance agents.
Insurance industry digitalization aligns with Gen Z preferences: Insurance is becoming increasingly digitized, which matches Gen Z's comfort with technology. As "digital natives," Gen Z are very comfortable with modern technology.Price sensitivity: Gen Z are more financially aware and concerned about their future financial selves than prior generations. For example: they are likely to switch to a lower-cost auto insurance carrier due to price sensitivity.
Leveraging Gen Z's online research: Gen Z do substantial online research before making purchasing decisions. By maintaining an online presence and sharing easily understandable information, insurance agents can make strong first impressions with this highly-informed generation.Lack of trust: Despite Gen Z's willingness to work with insurance agents, they may not fully trust their insurance agents, which could make it more challenging to build long-lasting relationships with Gen Z clients.
Customer Service Still Valued By Gen Z: Providing exceptional customer service and relationship-building aligns with Gen Z preferences. Despite valuing technology, Gen Z still cares deeply about customer service. Insurance agents who focus on service and relationships can gain loyal Gen Z clients.Independent jobs or multiple jobs: Gen Z workers are more likely to have independent jobs or multiple jobs than other generations, which may make it more difficult for insurance agents to provide tailored coverage options.

Build Trust and Relationships with Gen Z Customers

We can’t just slap an e-brochure about term life insurance in front of Gen Z folks and expect a sale. Even though the Generation Z crowd seems glued to their phones 24/7, you still have to build real trust and relationships to get their business.

While social media platforms drive awareness, the human bond remains vital to Gen Z. So blend your digital presence with real or virtual face-to-face meetings. Seek out shared connections to establish trust quickly. Provide cell phone (for texts) and video chat access for personalized advice on their schedule, not just email.

And yes, be fully transparent about products. Think about it – they’ve grown up able to instantly Google anything. So you can’t just spew facts and policy quotes right out the gate. These younger customers gotta see you get THEM before they’ll buy into you as their insurance agent for the long haul. Take time to ask what makes them tick, what family noise shaped their money mindsets.

If you want to earn their loyalty for life, lead with integrity right from the start. Show you truly care about their whole financial picture and entire well-being. Make them feel like more than just a commission check. That’s when the trust forms. By really caring about their whys first. THEN you get to chat about products to match their goals. Generation Z can sniff out fake caring from a mile away these days, no doubt!

Chill on pushing insurance policies and make them feel heard instead. Even with all the digital noise these youth scroll daily, the human touch still seals the partnership deal. Do that authentically, and you’ll lock in Gen Z clients who not only buy from you but go on to rave about you on social media platforms to all their friends.

Age Planning to Live to by Generations - INFOGRAPHIC

Age Planning to Live to by Generation. Source: Transamerica Institute

How to Market Insurance to Gen Z Clients

We can’t just lump all Gen Z clients into one insurance marketing bucket. The Generation Z mindset is changing rapidly compared to Millennials and previous generations when it comes to attitudes about insurance.

For starters, from what Alyssa noticed, Gen Zers actually want permanent life insurance – not just the term policies insurance agents usually have to convince young clients they need. I was pretty shocked when Alyssa told me some of her Gen Z clients as young as 17 were asking specifically about cash value policies they saw marketed online and on social media platforms! They already understood these products can fund future goals like launching a business one day.

This blew the doors open for me. When I was building my book starting out, I had to patiently explain to clients why life insurance matters when there’s no spouse or kids to protect yet. But Generation Z gets it – they are eager to start planning sooner so they don’t repeat financial mistakes they watched their parents make.

Alyssa says she doesn’t have to work as hard to get her potential customers realize why planning ahead makes sense. Gen Z priorities are different after seeing loved ones struggle by not being prepared for retirement, college costs or unexpected events.

So as advisors, we need to shift how we position insurance products to align with Generation Z goals. Building cash value and securing permanent insurance coverage are key selling points for these digitally-savvy young clients ready to buy, regardless of life stage.

Many insurance agents rely on traditional insurance marketing but that just doesn’t resonate with Gen Z. Digital and social media platforms are how the best performing insurance agents connect with Generation Z clients today. Most of Alyssa’s inbound leads come from Instagram and Facebook. When Gen Z customers feel like they “know” Alyssa, bonds build faster. By meeting folks where they already spend time scrolling and engaging online, she nurtures relationships that convert seamlessly once they meet her in real life too.

So the key is balancing personal branding across social channels while positioning your expertise in the insurance industry. Getting Gen Zers attention as an approachable, trustworthy insurance agent must come first. Then they will seek you out proactively to fulfill the permanent protection and long-range insurance coverage needs they already deem as must-haves thanks to this generation’s unique perspectives.

And you know the exciting part? Generation Z have more appetite and funds to purchase insurance products now! Alyssa confirms many of her clients still living at home have the disposable income to commit to policies. As long as premiums align with budgets they review together, Gen Z is on board to support their ambitious entrepreneurial and financial aspirations.

Homeownership, Renting, or Living With Others by Generation - INFOGRAPHIC

Homeownership, Renting, or Living With Others by Generation. Source: Transamerica Institute

Communicate Value With Gen Z Clients

Look, I get it. Talking insurance with younger customers can feel about as exciting as getting a root canal. But here’s the deal – Gen Z individuals care way more about financial security than prior generations. Millennials and Gen Z saw the housing market chaos and COVID wreck their parents’ stability.

So we have to educate these young adults that insurance protects what matters most. And I don’t mean cheesy commercials with eagles, horses, and national flags! I mean sitting down one-on-one and walking Gen Zers through how insurance coverage actually works. Start with the basics:

  • Generation Z often only associate insurance with what happens once you pass away. Explain how insurance coverage provides a safety net for life’s curveballs like accidents or hospital bills. Don’t get too technical yet. Lead with the emotional value.
  • Your job is reframing narrow perceptions through consistent value messaging tied to real Gen Z goals happening right now, not just worst case scenarios decades away. Give real-talk examples of personalized coverage helping people their age, like covering travel interruptions or earnings after an injury. Make it relatable.

Once you’ve connected with them, get into nitty gritty details:

  • Walk through different types of insurance policies, coverage options, exclusions, deductibles… the whole shebang!
  • Bust myths about insurance space. Gen Zers grew up Googling everything. If they read misinformation online, correct it. Don’t lecture!

Lastly, help them pick the right coverage options. Everyone’s different!

  • Learn their lifestyle and priorities first. Do they rent or own? Lease or finance a car? Freelance side gigs? Tailor insurance options to their reality.
  • Compare insurance policies side-by-side. Don’t just push the one that pays you most. Show you got their back.
  • If budget’s an issue, explore ways to lower premiums. Generation Z will appreciate you taking the time.

Educate, explain, empathize. Do that and Gen Z will thank you for setting them up financially. So in summary:

  • Focus messaging on empowering real-time living benefits over distant dying payouts
  • Spotlight tax and cash advantages to fund current entrepreneurial ambitions
  • Emphasize flexible adjustability amid rapidly evolving priorities
  • Relate solutions to experiential lifestyles and life stage fluidity

The key is framing insurance products as active game changers fully aligned to the freedom, mobility and unconventional trajectories defining Generation Z. Compared to one-size-fits all coverage options many insurance agents try to offer, these young adults demand coverage as dynamic as their creative passions and pursuits in order for you to earn their business!

Custom branding
Showcase your brand.
Video narrations
Easily video-narrate sales presentations or proposals when needed (otherwise video is optional). Redo slide if you made a mistake. Use built-in teleprompter to record longer videos.

Data rooms
Attach any supporting files and links. Make it easy for your prospects and clients to find the right information quickly.

Company profiles
Create company profiles with custom banners and info-packages tailored to different industries.
Contact details
Show your contact info easily accessible by your prospects and clients.
Custom CTAs
Add custom CTAs to drive prospects or clients to your calendar, sign up form, etc.
Engagement analytics
See how prospects and clients interact with your PDFs.

Feedback and Reactions
Collect feedback from prospects and clients. Feedback and reactions are not publicly visible.
Share PDFs
Share any existing PDF presentations and documents.
Live links
Share with a single link. Update files even after sharing your link. Get notified when your PDF is viewed. Turn off access anytime.

DeckLinks icon

Unlock Client Insights with PDF Analytics

Identify your most engaged prospects and clients. Elevate your communication strategies through in-depth analysis of PDF engagement data. Learn more.

Leverage Digital Channels to Connect with Gen Z

As true digital natives, Gen Z individuals live life through the screen of their smartphone. Cold calling and print advertisements alone won’t cut it. Coming of age as true digital natives, Generation Z live online across a spectrum of social platforms, forums and messaging apps. Your website better be mobile-friendly and easy to navigate if you want to connect.

And that’s just the start. You need to have an active presence on the social media platforms they use like Instagram, Snapchat, and yes, TikTok! I know the dances look silly but jump in there! Share behind-the-scenes glimpses into your insurance agency and lifestyle. Sprinkle in some educational tidbits and calls to action to direct them to your website.

For example, Alyssa leverages Instagram and Facebook to share insurance industry 101s alongside lifestyle snippets. This genuine glimpse at Alyssa’s whole self and passions nurtures a sense of personal familiarity and likability with potential customers before she ever meets them. When Gen Z then see an interesting post of Alyssa’s on social media platforms, they feel comfortable sliding into her DMs with questions or policy inquiries because she seems approachable and trustworthy.

You can also join hyperlocal Facebook Groups related to business, networking and community issues. This will help you organically interact with and gain visibility to all different types of potential customers. When Millennials and Gen Z see an insurance agent casually engaging in groups relevant to their jobs, families or backgrounds, they earn quick clout. Commenting and sharing of value-focused insights can help building trust and raise your cache as a thoughtful subject matter expert on social media platforms.

Video content is key too. Create engaging explainers about insurance industry concepts or client testimonials. Keep video content short, fast-paced, and entertaining if possible!

You can also produce interactive quizzes and calculators for them to self-assess their coverage options and needs. Then prompt them to schedule a call to discuss customized insurance options.

And don’t just communicate digitally. Offer in-person and virtual meetings via Zoom or ability to text message questions. Blend digital convenience with that human touch.

If you’re not comfortable creating all this content in-house, don’t be afraid to outsource your social media marketing either. There are specialized agencies that specifically focus on the insurance industry who can manage your social media platforms and even produce video content.

Just remember – convenience, speed, and digital-first is the name of the game with Gen Z individuals. Meet them where they are digitally but always bring it back to that real-life relationship.

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Offer Relevant Insurance Products to Gen Z clients

Alright folks, time for a reality check. Most Gen Zers aren’t rushing to meet with an insurance agent. Many got student loans, entry-level jobs, and are just trying to pay rent. But that doesn’t mean they don’t need coverage. Surprisingly, over 40% of Gen Z already have some life insurance, according to the recent study by insurance education organization Life Happens and the research organization LIMRA.

Now you may think that term life insurance is the easiest sell with Generation Z since they’re young and just starting out. But the complete opposite is true!

Gen Z individuals have an entrepreneurial spirit and are often drawn to permanent life products that offer living benefits and long term flexibility. As Alyssa shared, her 17 year old client was fascinated when he discovered online how cash value accumulation in insurance policies like par whole life could help fund a future business one day. Take note of planning strategies like that. They can help you shape your insurance marketing strategy.

So be prepared to lead conversations with permanent protection that highlights flexibility and the ability to access cash values if needed in the future. But don’t assume it’s the easy sell you may be used to with other demographics.

Now when it comes to beyond life insurance, don’t forget these folks have grown up in a share economy of streaming services like Netflix, Uber, and instant mobile apps access. So be ready to explain innovative insurance products like usage based auto insurance where premiums are based on actual driving habits through a phone app. Or how smart home technology can cut homeowners and renters insurance. Generation Z love seeing how their personal data can directly benefit their wallet.

Bottom line – the insurance industry can’t stick with pitching the same fixed 10 or 20-year term insurance policies expecting high uptake anymore. Gen Z consumers are waking up to how insurance goes way beyond basic death benefit payouts. They want in early on accumulative and tax-advantaged products with cash values they power moves over their entire lifetime. You need to adapt to their evolving expectations.

The key is blending protection and coverage that fits both their lifestyle today and desire for financial control in the future. After all, they’ve seen their parents struggle without proper planning firsthand. Now they want to forge their own path.

Number of Current Jobs and Side Hustles by Generations - INFOGRAPHIC

Number of Current Jobs and Side Hustles by Generation. Source: Transamerica Institute

Provide Ongoing Support to Gen Z Clients

Connecting with Gen Z customers requires a different approach than prior generations. But just selling them an insurance policy isn’t the end goal – providing attentive ongoing service is key for nurturing lifelong advisor-client relationships. Let me share a few tips:

  • Meet them where they are. Don’t rely on phone calls or emails. Connect via text, social media platforms, live and asynchronous video – make yourself easily accessible through their preferred platforms. Alyssa noted she often fields questions from Generation Z clients over less formal channels like Snapchat and Instagram when policy inquiries pop into their minds.
  • Give them instant access to policy details. Gen Z clients expect real-time updates at their fingertips. Set them up with secure online portals and mobile apps to access cash values, coverage info, and more anytime.
  • Check in regularly, not just when coverage changes. Continue engaging beyond the initial sale. Offer guidance around major life events – new job, marriage, move, business venture, etc. Delivering consistent value amid life’s constant change is how Alyssa earns Gen Z’s fierce loyalty for the long term. They know she’s always there responding rapidly when unpredictable stuff pops up and altering coverage to match their evolving coverage options and needs.
  • Educate continuously. We also need to feed Gen Zers appetite for financial education more frequently. You can’t just hand off policy documents at a yearly review and call it good guidance. Share articles, video content, webinars to keep them learning. Showcase how you can adapt new insurance options to their evolving insurance needs.
  • Request referrals. Gen Z individuals love sharing opinions and recommendations publicly. Explicitly ask them to suggest you to friends / family seeking an insurance agent.
  • Have some fun! Bond over shared interests, not just insurance talk. Comment on social posts, exchange memes, engage casually. Build a personal connection.

Like that 17-year-old entrepreneur I mentioned who was eager to get life insurance before starting a business, Gen Z recognize the value of planning ahead. By providing attentive ongoing support, you become their trusted advisor for life’s ups and downs. Check out the Discovery Series Webcast featuring Alyssa and other advisors on their views of how they incorporate Participating Whole Life Insurance planning as part of their connecting strategy to different markets.

Current Financial Priorities by Generation - INFOGRAPHIC

Current Financial Priorities by Generation. Source: Transamerica Institute

Work Within Existing Compliance Frameworks

Look, I get it – when you’ve worked in the insurance industry as long as I have, change rarely comes easy. And I’ll admit that when Alyssa first started telling me about all these cool new insurance marketing tricks for connecting with younger demographics, part of me said “hey now, we can’t just throw compliance to the wind here!”

But, maybe this old dog can learn some new tricks! After chatting more with Alyssa on the Discovery Series podcast, I realized a few ways seasoned insurance agents can freshen things up without upsetting the apple cart when it comes to them pesky compliance rules:

First – get on social media platforms, connect with Gen Z individuals but keep it about general education and build an audience organically. No hard sells!

Second – bone up on what user generated content we can share to get consumers informed. Can’t hand out product brochures, but talking about how cash value accumulation works? Fair game.

Third – when you go to promote something specific, get their John Hancock in writing first, opt-in style. We have their permission? Green light!

Fourth – if you get any referral perks or partnerships with your insurance provider, shout it from the rooftops! Transparency is king these days.

And lastly – want to spice up your initial fact finding process? Run it by the boss first for the ok. Chances are it’ll check out if your goal is really dialing in on meeting customer needs.

So can the insurance industry move forward while still coloring inside the lines? Absolutely! We just have to be a bit more creative in how we step outside our comfort zones. The payoff of connecting with Generation Z is well worth the extra effort.

FAQs

How can insurance agents effectively communicate with Gen Z?

Insurance agents can effectively communicate with Gen Z by leveraging digital platforms like social media, texting, and live or asynchronous video to provide personalized coverage options. Emphasizing financial security and transparency while guiding Gen Z clients in understanding policies can further connections.

Insurance agents can attract Gen Z by leveraging digital platforms like social media, optimizing websites for mobile, using interactive visual content, emphasizing ESG commitments, offering price comparisons, and enabling contemporary payment methods. Meeting Gen Z’s desire for independence and transparency is key.

To effectively market insurance to Gen Z, leverage digital platforms like social media and optimized mobile websites with interactive visual content to build authentic connections. Emphasize how insurance enables cherished experiences and provides financial security. Highlight corporate social responsibility and offer customized coverage and contemporary payment options.

Renters, life, and usage-based auto insurance tend to appeal to Gen Z. These insurance policies provide coverage aligned with their evolving lifestyle and desire for financial security to fund meaningful experiences over material possessions. Insurers emphasizing social responsibility also resonate with Gen Z.

Emerging trends like digital innovation, usage-based insurance, transparency, social responsibility commitments, contemporary payment methods and price comparisons resonate with Gen Z values and desire for independence. Insurers emphasizing financial education, customization and interactive tools also appeal to Gen Z.

Insurance agents can stand out by prioritizing digital content like optimized websites, social media engagement, video, interactive visuals and influencer collaborations over traditional advertising. This allows authentic relationship building that resonates with Gen Z independence and desire for unbiased information.

Disclaimer: The following information is being presented on the understanding that it is intended for information purposes only. None of the presenters or Desjardins Insurance has been engaged for the purpose of providing legal, taxation, or other professional advice. No one should act upon the examples/information without a thorough examination of the legal/tax situation with the appropriate professional advisors.

Reh Bhanji (Certified Financial Planner, Chartered Life Underwriter)
Reh Bhanji

About the Author

Reh Bhanji (Certified Financial Planner, Chartered Life Underwriter), a veteran in the insurance and financial advisory industry, boasts over 25 years of experience. His journey began in 1998 at Imperial Life Financial in Toronto, ON, where he managed over $40 Million in annuity assets. His prowess quickly earned him a promotion to Team Leader in 2002, where he led a team of financial advisors. In 2005, Reh’s expertise propelled him to the role of Regional Sales Director at Desjardins Financial Security. In this role, he was responsible for training financial advisors and driving life and health insurance sales through strategic marketing and business development. His commitment to financial advisor education was further exemplified between 2007 and 2009, serving as Vice President for Education at Advocis Toronto (The Financial Advisors Association of Canada). In 2012, he became Senior Regional Sales Director at Desjardins Financial Security. At Desjardins, he managed the company’s largest account and developed key sales strategies and business building techniques for life and health insurance solutions. His exceptional leadership skills led to his 2020 promotion to National Best Practice Leader at Desjardins Financial Security, where he spearheaded the coaching and development of sales processes across the national network. In 2021, Reh expanded his influence as the host of the award-winning Discovery Series Podcast by Desjardins, providing a platform for industry-leading financial advisors to share their strategies, success stories, and industry leading insights.

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