Banking On Life Insurance

The majority of Generations X and Y consumers would consider buying life insurance policy from their bank -- significantly higher than older generation, where only about a third of these consumers say they would consider it.

 Younger generations are open to receiving a broad spectrum of products and services from their bank. These consumers are more likely to need life insurance than older generations. In addition, many of these younger consumers have no existing relationship with a life insurance agent or financial advisor so buying life insurance from their bank is not just another convenience -- it provides an opportunity to get the financial protection these consumer really need. Awareness of bank-sold life insurance has reached 54 percent. While this is encouraging, there is still a large portion of the population that needs to be educated. 44 percent of all consumers would consider buying life insurance from a bank.  7 in 10 consumers who said they would consider buying life insurance from a bank were interested in simple products. Much of banks' success with life insurance has been as a wealth transfer solution, selling single premium whole life and universal life. If banks expand their energy on selling term and other basic protection products broadly to their customers, they would have more success.