Dust off your travel insurance policies for Millennial adventurers
Do Baby Boomers and Gen Xers represent the largest share of your insurance agency’s policyholders? Do you wonder how you can successfully target the burgeoning Millennial demographic? You’re not alone.
Millennials are more likely to be uninsured or underinsured compared with other age groups. In fact, they tend to actively resist insurance. That makes them a tough target market.
Tough. But not impossible to reach.
As with all prospects, the key to enticing Millennials is understanding their beliefs, interests, goals, and values. While Millennials may be behind the curve when it comes to home ownership, starting a family, and buying a car, they’re ahead of the curve when it comes to seeking new experiences. They represent a larger and faster growing share of travel insurance purchases for spring break 2018, according to research conducted by TravelInsurance.com.
If you want to appeal to the Millennial market, start with something that they find desirable: experience. Then, show them how you can help protect those experiences with travel insurance.
Make last minute travel insurance purchases easier
Statistically, Millennials do not spend as much time planning their vacations as previous generations. According to the same TravelInsurance study, they make their initial trip purchase on average 70 days before they depart, compared to 110 days for all travelers, and they purchase their travel insurance much closer to their travel dates, averaging 28 days prior to their vacation start, compared to 60 days for all travelers. Rather than attempting to force old-fashioned ideas about early planning on Millennials, meet them where they are. Make it easy for them to purchase travel insurance from their phone, desktop, or tablet when they’re ready for it.
Spotlight the value of travel insurance
According to research by Allianz Worldwide, consumers who are more informed about the value of travel insurance are twice as likely to buy it. Use your agency’s blog and social media platforms to raise awareness of exactly what travel insurance can protect, the options available to travelers, and which options are best suited to different travel experiences.
Customize travel insurance plans to clients’ unique concerns
Allianz Worldwide’s market research indicates that, overall, Millennials are more anxious than previous generations about what might go wrong during a trip. Perhaps that’s because Millennials tend to take longer trips, further afield, with higher expectations for adventure rather than mere sight-seeing. Allianz’s research shows that a quarter of Millennials are motivated to purchase travel insurance to insure against luggage loss or potential health issues as opposed to Baby Boomers, who tend to be more focused on insuring against trip cancellation. Understanding the hopes and fears that clients have regarding travel empowers your agency to tailor travel policies and marketing tactics towards specific markets, which improves your chance of capturing leads and clients.