Millennials are navigating a financial reality that looks nothing like the one their parents experienced.
They're saddled with unprecedented levels of student debt.
Housing costs have soared beyond reach in many cities.
Wages haven't kept up with inflation, and savings often take a backseat to more immediate expenses.
The millennials were born from 1981 through 1996. The oldest are turning 44 this year, and the youngest are turning 29.
According to the Education Data Initiative, millennials account for nearly half of all student loan debt (46.6%), and 83% of millennials still paying student loans have put off major investments like buying a home or starting a business.
Add in other delayed milestones like marriage and parenthood, and the traditional triggers for buying life insurance arrive much later — if at all.
Despite all that, this generation isn't financially disengaged.
In fact, many are more budget-conscious and risk-aware than the generations before them.
But when your finances are stretched thin, something has to give.
Life insurance, with its long-term payoff and confusing options, is often overlooked in favor of health, auto, or renters insurance — products seen as more urgent.
COVID changed that calculus, at least temporarily. The pandemic made mortality real for millions of young adults.
It also sparked a renewed interest in coverage, particularly among those who suddenly saw themselves as caregivers or financial linchpins.
Still, interest doesn't always translate to action, especially when the product feels opaque and the buying process doesn't match modern expectations.
Help them do the math.
Ask a millennial why they haven't purchased life insurance, and you'll likely hear one word: cost.
But digging deeper, it becomes clear that cost is often a proxy for confusion. Many assume coverage is more expensive than it really is.
Others don't understand the difference between term and whole-life policies.
Some don't realize they even have an option through their employers.
Advisors have an opportunity to reframe life insurance as a financial tool rather than a sunk cost.
Permanent policies, for example, build cash value over time and can support future financial goals. Term policies, when purchased early, are often cheaper than most monthly streaming bundles.
Helping clients see these products as levers for financial resilience makes all the difference.
And the timing matters. The earlier someone buys, the more affordable and effective their coverage can be.
Advisors who help clients understand that now is better than later can save them money and increase their security down the line.
Many millennials also don't realize that employer-provided life insurance often isn't enough.
While companies may offer one or two times an employee's salary as a benefit, that amount is rarely sufficient for long-term security.
Advisors should proactively address these gaps and explain why personal coverage matters — especially since workplace benefits don't follow employees when they switch jobs, which millennials tend to do more frequently than previous generations.
Help them understand the coverage
Millennials may prefer to shop online, but insurance isn't like buying something from Amazon.
Digital platforms often bury key details, gloss over fine print, and present policies without enough context.
Some marketing even skirts compliance — using terms like "free" or "affordable" that regulators in states like New York prohibit.
The result is confusion, missed opportunities, and, in some cases, bad coverage decisions.
Advisors can counter that by being accessible and informative.
That might mean following up on a quote with a quick phone call or offering live chat during open enrollment.
It might mean simplifying the jargon and tailoring guidance to each client's life stage.
A 25-year-old single renter has different needs than a 35-year-old with a mortgage and two kids — and the advice should reflect that.
Personalized recommendations are key to engagement. If millennials see that a policy is built for their specific needs, they'll be more likely to see its value.
Packaging also helps. Bundling life insurance with other benefits or embedding policies into auto or health plans makes coverage more approachable.
Simplified underwriting, mobile enrollment, and seamless payment options all contribute to a smoother buying experience.
Advisors who leverage these tools build trust by showing that life insurance isn't as complicated as it seems. But convenience should never replace clarity.
Millennials want efficiency, but they also want confidence that they're making the right choice.
The most effective advisors balance technology with personal guidance, ensuring clients don't just buy a policy but understand why it matters.
Millennials don't need to be convinced that life insurance is important.
They need someone to show them it's doable, worth it, and built for their reality. That's not about selling harder. It's about advising smarter.
John Thornton is executive vice president of sales and marketing at Amalgamated Life Insurance.
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