Targeting millennials for disability income is a sound DI business strategy. Millennials are defined as individuals born between 1981 and 1996.
Today’s millennials are between 22 and 37. The ones at the older end of the spectrum are ideal candidates for disability income.
Understanding how this demographic is different from baby boomers can help you tailor your DI sales strategies when you introduce DI to your millennial clients.
The most commonly understood difference is millennials wait longer to marry, buy homes, and have children. They place more importance on completing their education and establishing careers in their 20s, before they establish a family.
There is an ever-increasing prominence of women in the workforce. More than ever advisors need to embrace the female market or risk falling behind.
Millennials face different financial challenges than baby boomers. Both discretionary and non-discretionary spending patterns have changed. Student debt aside, this generation spends 145% more for education than the Boomers; 73% more for health care, 48% more for rental housing, and 29% more for pension and retirement savings.
The trend of defined contribution retirement plans means individuals are responsible for a greater portion of retirement savings. A disability product that offers a student debt repayment feature or a plan that continues contributions to retirement accounts while disabled address some of the primary financial concerns.
Millennials are now the largest segment of the labor force. Understanding the unique challenges they face can help you develop your DI insurance marketing strategy for this market.
Want to learn more about disability income products that are designed for the millennial market?