Career Center Powered by GreatInsuranceJobs.com
The life settlement industry is losing major market opportunities by failing to explain the value of life settlements to consumers, according to a new report.
The report, based on a study by the Carlson School of Management at the University of Minnesota for the Insurance Studies Institute, Keystone, Colo., found that life settlements have been positioned to seniors in conflicting ways. Mentions of life settlements depict them as everything from “a valuable resource for seniors” to “betting on death,” according to the ISI report.
Among the study’s findings:
—Only 10% of seniors rely on a financial advisor for financial advice.
—Using the cash surrender value as a point of emphasis for settlements does not make much of an impression on consumers.
—Of the top 13 values held by American seniors, financial security only ranks tenth.
—Seniors aren’t looking to make the best decision. Rather, they’re looking the make the decision that feels good.
—More seniors learn about life settlements from print media than any other source.
In its report, ISI advises that life settlements be positioned to consumers as an option for “unwanted policies.” Remove focus on terms such as “cash,” “lapsed,” and “life settlement,” the study suggests, and don’t stress the idea that insurance companies are taking advantage of seniors.