DIGITAL SPACE WILL HELP INSURERS REACH NEW CLIENTS

Digital technology can help life insurers reach underserved markets, particularly young and lower-income consumers according to a new report from PricewaterhouseCoopers (PwC). PwC said that lower- income policyholders, tech-savvy millennials and Generation X-ers are increasingly using the internet and social media to compare and buy products, with direct-to-consumer life policies expected to be a key growth area for insurers. By embracing technology driven distribution insurers can revitalise the life insurance sector, PwC said in its report, Insurance 2020: Time for life insurance and pensions sector to tap into young and lower-income markets. David Law, Global Leader, Insurance, at PwC, said: “The digital age allows insurers to learn more about and engage with these untapped groups, thus expanding their ‘addressable’ market.” Currently only 11% of customers purchase life insurance online although PwC research shows that more than 60% of consumers in the US aged 18-54 would find this attractive.