Advisors can take heart: the Internet is not threatening their livelihood. A recent LIMRA survey finds that 76% of Canadians say they prefer to buy life insurance face-to-face, while the Internet ranks a very distant second, at 11%. The problem is that Canadians are not buying enough.After the advisor distribution network and online distribution come the workplace at 7% and telephone or broker (direct) at 6% in Canadians’ purchase intentions.
“Our research found that six million Canadians believe they need more life insurance and three quarters of those we surveyed would prefer to buy it face-to-face,” said Cheryl Retzloff, senior research director for LIMRA and leader of the 2013 Canadian Life Insurance Ownership Study.
The results compiled in Canada by LIMRA contrast with the data from a similar US study done in 2010, which found that only 57% of Americans prefer face-to-face for their future insurance purchases. They are also more likely than Canadians to purchase at work (18% vs. 7%), via the Internet (16% vs. 11%) and direct (9% vs. 6%).