U.S. life insurers’ efforts to improve digital sales processes may be starting to lead to increased sales of individual life insurance to young consumers.
Consumers under the age of 45 continued to post stronger application activity numbers in June than consumers in the other two age groups MIB Group Inc. tracks, for the fifth straight month.
Here are the MIB activity numbers for each age group for June:
- Ages 0-44: Up 3.7%
- Ages 45-59: Up 1.3%
- Ages 60 and older: Down 5.5%
MIB is a Braintree, Massachusetts-based organization that helps life insurers some of the information used in life and health insurance underwriting. MIB analysts create MIB’s life insurance application activity index by using MIB database search statistics.
- A copy of the latest MIB life application activity report is available here.
- An article about the MIB life application activity figures for May is available here.
MIB’s overall life application activity index was 1.2% higher this past June than in June 2019.
That was down from a 5.2% year-over-year increase for May.
Activity for the first half of the year was up 1.5% from the activity level for the first half of 2019.
The COVID-19 Effect
Many life insurers and underwriting exam firms shifted to work-at-home mode in mid-March, because of concerns about the COVID-19 outbreak.
Many life insurers have tried to shift to more use of digital application submission and processing systems, and some have made more use of automated or semi-automated underwriting procedures.