Did you know millennials are now the largest generation in the US? And they’re demanding more from insurance firms – as both employees and clients. This technology-savvy generation is adaptable and wants personalization. They’re transparent, desire collaboration and want recognition for their contribution to your firm. So it’s no surprise that millennials are changing the insurance industry drastically.
How Millennial Clients Are Changing Insurance Firms
The millennial generation is defined as anyone born between 1981 and 1996. So with those at the younger end of the scale turning 27 this year – millennials are well and truly in the market for insurance products and services. But they come with different expectations to those of previous generations – and it’s this that is changing the status quo of our industry.
Personal And Bespoke Service
The younger generations of insurance clients are not afraid to question and challenge packages they are offered. Instead of accepting what’s on offer, they’re confident in asking to tweak and tailor packages to suit their needs. Ultimately, they want more variety and expect a personalized experience when contacting your firm.
Comfortable Purchasing Online
Millennials are extremely comfortable with making purchases online, no matter the price of the product. Where insurance clients would previously prefer a face-to-face, or at least telephone based, sale – millennials are happy transacting quickly and easily online. And they’re expecting insurance firms to have the capacity and tech stack to do this.
Millennials Need Insurance Education
According to a study by Liberty Mutual and Safeco, only 34% of millennials consider themselves insurance savvy. And an outstanding 80% of them say they need help understanding coverage and what happens in the event of a claim. Of course, educating potential clients is not a new challenge for the industry. But millennials want to take a DIY approach to learning. They expect to be able to find this information independently online, rather than having to speak to an agent or read complex brochures. (Oh, and they want to be given the time to digest and understand the information at hand!)
How Millennial Employees Are Changing Insurance Firms
Millennials aren’t just changing the insurance industry as clients. This generation is part of our workforce – and they’re changing the status quo of insurance firms from the inside too.
Talent Shortage
Millennials make up 35% of the overall US workforce. But the average age of employees in insurance firms is increasing. Coupling this with data that suggests only 4% of millennials would consider working in insurance – we have a tough challenge on our hands. Millennials are shunning our industry, and now insurance firms must pivot and adapt their ways of working to draw in younger generations.
Overcoming Digital Skills Gaps
Although we have an aging workforce, the millennials that are working in insurance are bridging the digital skills gap many firms face. Millennials are digital natives – they are competent and enthusiastic about using technology, at home and at work. And these skills ultimately help boost efficiencies in insurance firms. And perhaps most importantly, millennials will not accept the old adage of ‘this is how we’ve always done it’. They’ll push boundaries and try new ways to bring the industry into the modern day – if they think it’ll improve working practices!
Taking Control Of Their Career Growth
Millennials prioritize their professional development more than any other generation before them. They want to work for organizations that are offering them ample room for growth, discovery and development – they want to learn. Millennials are pushing leaders of insurance firms to provide more development opportunities. And, they’re forcing firms to rethink the typical classroom based approach to corporate learning. Instead they’re encouraging firms to adopt a more blended, always-on approach to training and development.
How Can L&D Help Millennials In Insurance Firms?
So where does your firm’s training offering fit in with how millennials are changing our industry? Well for long-term success, L&D must play a key role in helping millennials embrace the insurance industry:
Upskilling All Employees
To meet millennial expectations, all employees of your organization need a well-rounded understanding of your offering. And this might include departments that you may have previously overlooked. For example, if your potential clients are looking for content and information online about your offering and how it might help them; then your marketing and communications team need to have a thorough understanding of your offering. Or perhaps your potential clients are looking for an easy-to-use website to purchase their insurance policies from – then your IT team will need to understand the intricacies of purchasing your insurance policies to create the best user experience. Millennials are forcing us to think differently – and perhaps it is time to reassess what your employees need to know about your offering.
Business Skills Training Is More Important Than Ever
Millennials are not going to accept sub-standard customer service. So it is important that every customer-facing employee has effective training on communication, time management and customer service. These employees have the ability to make or break your client’s opinion of your firm; so make sure they’re having a positive influence!
Learning As Part Of Your Employee Value Proposition
Millennial employees are looking to work for organizations who put their professional growth first. So it’s time that L&D became part of your employee benefits package. Training opportunities shouldn’t just be seen as a ‘nice to have’ or a boring mandatory task. Instead, use your learning opportunities to sell your firm to potential employees – make it the differentiating factor between your firm and your competitors.
Millennials Are Stepping Into Leadership Roles And Transforming The Insurance Industry
Ranging from the ages of 27 to 41, millennials have stepped into more influential positions in insurance firms. With up to two decades of workplace experience, these employees are looking to make an impact in their companies. But they also want loyalty, to be valued and to feel part of your organization’s future. So it is critical that you prioritize continuous conversations with your millennial talent and invest in their career development for long term organizational success.
It’s Time To Redevelop Your Training Programs – With The Millennial Lens
It’s clear to see that millennials are changing the insurance industry and now is the time for insurance firms to act on these changes. L&D will take a leading role in creating workplaces that this generation wants to be part of. And perhaps an even more critical role in making sure that employees are equipped with the skills needed to provide the service your millennial clients want. So, if you’ve realized it’s time to redesign your training offering, and need a little help, get in touch with us today, we’d love to help you on this journey!