4 April 2019 11:30
Nearly half of Americans (47 %) say they are more likely to purchase life insurance by using a program simplified, compared to methods of underwriting-traditional, according to the new findings of the study 2019 Insurance Barometer Study.
The barometer tracks perceptions of financial attitudes and behaviors of consumers in the United States, focusing on the life insurance. The study was conducted jointly by LIMRA and Life Happens, an educational organization non-profit.
To broaden their field of action and address the decline in the number of policyholders, many life insurers have taken advantage of technological advances, such as advanced analytics, Big Data and artificial intelligence, to streamline the underwriting process and better respond to the needs and preferences of today’s consumers.
According to the study, the simplified issue, which generally means to get coverage more quickly and without medical examination, can have an impact on the chances of the consumer to purchase life insurance.
The speed and ease of attract the clients
The study also found that nearly two-thirds of those interested to subscribe a life insurance with a simplified issue are attracted to the speed and ease that it offers.
“Two-thirds of Americans admit they need life insurance, but many of them do not have adequate coverage to protect their family. While the industry continues to find innovative ways to increase the speed, ease and transparency in the process of purchasing life insurance, we hope that it will encourage these people to purchase the coverage they need to protect their families, ” said James Scanlon, senior director of research, LIMRA Market Research.
The market of life insurance products that combine other benefits, such as the benefits of long-term care, continues to grow. According to the report, 53 % of Americans are a little more likely to purchase a combined product of life insurance. One in five American (about 42 million Americans) said it was “very” or “extremely” likely to purchase a combined product.