financial services

Time To Focus On Gen X's Insurance Needs

peopleHealth and life insurance companies are still expending much of their marketing attention on Baby Boomers, rather than with younger consumers, according to research from Mintel Comperemedia.

In the year between June 2008 and June 2009, members of Generation X received 15% fewer health insurance direct mail pieces from insurance companies than Baby Boomers in the same period. Members of Generation Y received 25% fewer health insurance solicitations. A similar trend holds true for life insurance: Generation X and Generation Y received 17% and 23% fewer mailings, respectively, than Baby Boomers.

As they get older however, members of Generation X, in particular -- many of whom are in their 30s and 40s -- are starting to see the value of insurance, and are interested in the product. According to Mintel, 63% of Generation Xers agreed with this statement: "It is important to be well-insured when it comes to life insurance." (By comparison, only 58% of the general population agreed with the statement.)



Furthermore, Gen Xers are less likely than the general population to own non-employer-based life or health insurance, although 23% said they intended to purchase life-insurance and 17% said they would buy health insurance "in the near future."

Generation Xers are also 72% more likely to say they are saving for a child's education, and 53% say they expect to be the primary caregiver for an aging parent or relative, according to Mintel.

"Generation X is under-served and over-interested in life and health insurance, making them the perfect target market," said Daniel Hayes, vice president of insurance services at Mintel, in a statement.

"Because Gen Xers are concerned about providing for both young children and aging parents, adequate insurance coverage is extremely important. They want to keep themselves and their dependents healthy, but they also need to know their families will be provided for if they aren't around."

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