Clients heading into retirement should not be dismissed by advisers when it comes to life insurance.
That was one of the key takeaways of a presentation given by Adam Crabbe, Zurich’s National Risk Strategy Specialist, at Riskinfocus 25 events held across the country last month.
He noted that while their appetite for insurance may decrease with age, many still need advice on their changing circumstances, and said even a little life cover can go a long way.
“While plenty work to alleviate boredom, many retirees need to supplement their income,” he said.
During his presentation he told the story of a sheep shearer who retrained as a plumber at age 68 – a job he had always wanted to do.
“How many of your clients are in a situation where they are potentially looking at working after retirement, but maybe they want to do something else?” said Crabbe.
“When we consider this from an insurance and advice perspective, questions need to be asked around the financial dependency element.”
According statistics shared by Crabbe, in the 20 years to April 2021 the workforce participation rate of older Australians more than doubled from 6.1% to 15%.
Being connected digitally is no longer a choice…
Figures published by Zurich show it paid $81m in claims to 672 Australians aged 66 and over in 2023.
A breakdown of the total number of claimants shows:
- 494: Death and terminal illness
- 96: Income protection and living expenses cover
- 54: Trauma and health events
- 28: TPD
Crabbe also shared a list of evolving customer needs, pointing to data illustrating two-thirds (67%) of consumers believe the most important elements of a positive customer experience are:
- Reliability
- Speed
- Trust
- Peace of mind
- Feeling valued
Other areas covered during the 45-minute presentation was that because younger generations are digital natives, advisers need to be where they are – present on popular social networks.
“Many of the younger generation want to embrace a multi-digital or a multi-channel approach to advice,” said Crabbe. “Being connected digitally is no longer a choice, but a business necessity.”
