In the US, there are nearly 50 million Gen Z adults.
Loop them in with Millennials, and this next generation of clients is quickly becoming the largest share of today’s workforce.
And while Gen Z isn’t necessarily prioritizing retirement planning, one area of financial planning has caught their attention, and it’s an opportunity for advisors: life insurance. According to LIMRA and Life Happens, 73% of Gen Z adults believe they should have life insurance, but only 42% actually do.
Insurance carriers are already shifting their marketing strategies to appeal to this generation. So how can financial professionals evolve to connect with these younger clients, dispel misconceptions, and position themselves as a go-to for generations to come?
The answer starts with understanding what makes Gen Z different and how their priorities shape the way they engage with advisors.
Gen Z Is Seeking Financial Guidance Sooner Than You Think
Gen Z is seeking financial professionals for advice sooner than past generations. In fact, 28% of Gen Z adults turned to a financial advisor for the first time within the past year.
| Generation | Average Starting Age of Working With an Advisor |
|---|---|
| Gen Z | Age 23 |
| Millennials | Age 30 |
| Gen X | Age 40 |
| Baby Boomers | Age 49 |
financial professionals can build relationships that last for decades.
What Makes Gen Z Different from Your Traditional Clients?
Gen Z is widely considered the most educated and diverse generation in history. They care deeply about issues that shape the future, and life insurance can align with many of those priorities, including:
- Financial stability: While rising costs are a top concern for all generations, student loan debt is a topic primarily impacting millennial and Gen Z clients. This generation is motivated by the idea that life insurance can help protect loved ones from inherited debt.
- Career growth: Unlike past generations who often stayed with one employer for decades, Gen Z frequently changes jobs to pursue higher salaries, better benefits, or new passions. Because workplace life insurance doesn’t always follow them, offering individual coverage can provide that consistent protection.
- Mental health: For Gen Z, mental health is just as important as physical health, and financial stress directly impacts well-being. Nearly 30% of Gen Z say money is their primary source of stress, slightly higher than millennials. Advisors who connect life insurance to peace of mind can make the value of coverage more tangible.
- Social impact: This generation makes value-driven financial choices. They’re drawn to companies (and financial professionals) who are transparent, socially conscious, and trustworthy. Positioning life insurance as part of responsible financial stewardship can resonate strongly with this mindset.
What’s Stopping Gen Z From Getting Coverage?
While only 42% of Gen Z have life insurance, nearly half (46%) of those who do admit that they don’t have enough of it. This gap could come down to three common misconceptions:
- Workplace coverage is enough: Employer coverage often ends with the job and is usually insufficient
- Life insurance is too expensive: 72% of Americans overestimate the cost of a basic term policy, many by three times the actual amount
- I’ll buy it later: Waiting may lead to higher premiums and missed opportunities
Related: 5 Ways to Maximize Life Insurance Awareness Opportunities
Meet Gen Z Where They Are: Social Media
Unfortunately—or fortunately, depending on how you approach it—Gen Z relies heavily on social platforms as a primary source of financial information. That includes life insurance.
- 84% say they use social media to get information and recommendations on financial products like life insurance
- 46% follow financial advisors directly
- 33% follow insurance companies
- 32% follow financial “influencers”
Beyond social, 87% of Gen Z listen to at least one financial planning podcast monthly, making this another channel to build trust and visibility.
If you don’t have your own, appearing on a trusted podcast to discuss life insurance creates easy content you can share and repurpose across platforms. A single appearance can fuel blog posts, short-form video clips, and social media highlights.
What Gen Z Expects from Your Website and Online Presence
When was the last time you visited your website on a mobile device? How long did it take to load? For the next generation of consumers, an online experience can make or break credibility.
More than 80% of users abandon a website if the mobile experience is poor. However, Google research reveals that improving load speed by just 0.1 seconds can increase conversions by 8.4%.
A seamless mobile-first digital presence is no longer optional; it’s the baseline expectation for Gen Z.
How Do You Create Content That Targets This Demographic?
When marketing life insurance to Gen Z, content can’t just be promotional. It has to add real value through:
- Education: Make sure your content is short, digestible, and avoids complex jargon
- Transparency: Use personal experiences or real-life client scenarios to drive relatability
- Reliability: Consistent posting and credible sources position you as an expert
September is Life Insurance Awareness Month. What can you post this month that’s educational, transparent, and reliable?
Related: The Rise of Personal Branding for Financial Advisors
Ways to Engage the Next Generation through Existing Clients
One of the most effective ways to introduce younger generations to life insurance is by starting with your current client base. For example, parents, grandparents, and other relatives can gift a juvenile life insurance policy to children in the family.
By the time those children reach adulthood, the policy has already grown into something larger and more meaningful. In addition to long-term protection, a juvenile policy can:
- Build a financial foundation that supports a child’s future planning
- Teach valuable money lessons about saving and the power of compound interest
- Highlight the role of insurance in managing risk, a perspective many young adults may not gain until much later in life
Your Opportunity This Life Insurance Awareness Month
Gen Z is actively seeking financial guidance much earlier than past generations, and life insurance offers the perfect opportunity to meet them where they are.
By addressing their unique concerns, like debt protection, career transitions, and financial security, you can position life insurance as a solution that aligns with their priorities today while building trust for tomorrow.
