Scrolling for Security: Social Media and Life Insurance

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Authors

Severine Suski
Assistant Research Director, Markets Research
LIMRA and LOMA

Todd A. Silverhart, Ph.D., LLIF
Corporate Vice President Research Quality & Markets Research
LIMRA and LOMA

April 2025

Over the past several years, we have seen consumers increase their use of social media to learn about financial products. With the rise of financial influencers and increased online conversation focused on topics like personal budgeting, saving for retirement, and investing, it has become harder and harder to ignore the importance of understanding how these platforms can shine a light on complex financial topics. As searching for financial products through social channels is far from the traditional means of conducting research, it brings up a host of questions about how consumers are using social media to learn about life insurance.

In December 2024, LIMRA questioned young consumers, aged 24 – 35, to better understand how they think and feel about purchasing individual life products. While the lack of knowledge about life insurance has been a barrier when it comes to thinking about obtaining coverage, social media has the potential to play a crucial role in bridging this gap. According to LIMRA’s 2024 Insurance Barometer study, 78 percent of Gen Z and Millennial consumers use social media in connection with financial products or services. In speaking to this demographic, we learned that 30 of 33 participants say they would use a specific social media platform to learn about life insurance. It’s important to note that not all participants trust the financial content they see on social media.

"I don't follow any influencers, hashtags, or subs that focus on financial products. I typically don't trust social media content on financial topics because I tend to feel they want to sell me something, and I'm usually right."

– Weston, policyowner, 31

Those who do turn to social media for information on life insurance do so to gain general awareness and education on the topic, with some interactions leading to policy purchases.

Michelle, who owns an individual life policy, shared that almost everything she learned about life insurance, personal finance and protecting her assets came from Instagram. It was there that she found an educational podcast, which ultimately led to her purchasing a policy.

"I can remember being at the gym, which is where I listen to my educational podcasts, and hearing them do an episode on the benefits of life insurance and the different types of life insurance. Up until that point, I didn’t really understand that there were different types and that I had options. I left the gym that day and went to do more at-home research and ended up buying my policy later that week."

Social Media Use

So how are young consumers using different social media platforms? Some (5 of 33) would use Instagram to learn more about life insurance due to its “easy-to-digest photos.” Visual learners benefit from YouTube videos because they break down the intricacies of policies, making the information more digestible.

"I learned about the difference in whole life, term life policies from YouTube videos. On YouTube, you’re able to post think pieces and allow comments. It’s almost like a space that offers life insurance education for dummies."

– Shirlethia, age 32, life policyowner

These consumers turn to TikTok to learn new information, use Facebook for testimonials from friends and family after someone in their network passes, and rely on Reddit for customer reviews and testimonials.

Based on our findings, Instagram, in general, is most commonly used by participants. However, when asked which social media channel they prefer to use to learn about life insurance, the response varied:

Nine of 33 preferred YouTube.
Nine of 33 chose TikTok.
Seven of 33 indicated Facebook.

Social media can influence young consumers' life insurance decision-making processes beyond just providing general information. Many use social media to seek recommendations and testimonials about people's experiences with life insurance, particularly focusing on the benefits of various policies.

"Social Media is good for general information but also for getting diverse views and responses. An expert can only tell you so much as they are trying to sell you something. On social media, not necessarily, so you’ll get the whole picture."

– Yoav, 27, policyowner

Do’s and Don’ts

When these younger consumers were asked what advice they can offer life insurance companies that want to reach individuals like them through social media, there were several clear do’s and don’ts. Primarily, these participants value authenticity on social media. They prefer genuine stories over polished, scripted content and favor recommendations from relatable individuals rather than overt sales pitches. They seek to be engaged and educated about life insurance without spending too much time on it, all while interacting with positive and uplifting information.

On social media, life insurance companies should:

Share genuine, real-life stories and testimonials.
Have instantly catchy and meaningfully engaging content while resisting the urge to overtly sell.
Provide short-form educational videos that are easy to understand about the importance of life insurance.
Be visually engaging in the first couple of seconds.
Utilize younger celebrities or influencers who are relatable.
Ensure future messaging content informs and instills protection and security,
without pressuring to purchase.

Life insurance companies should avoid:

Using overt sales pitches as they push young consumers away; several commented that they believe they can tell when you really care about them versus when you just want to make a dollar.
Emphasizing death and dying.
Creating content that is not immediately interesting, as people will "scroll right by."

There is much for prospective young consumers to learn about life insurance, and they prefer to do so without feeling pressured to purchase. Social media engagement is a prime vehicle to address gaps in knowledge, engage a wider audience, and increase the potential for higher sales in this demographic.

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