Lincoln Financial released the results of their 2024 Financial Concerns survey.
The company surveyed 1,031 adults across four generational groups: Gen Z (age 18-26), Millennials (age 27-42), Gen X (age 43-58), and Baby Boomers (age 59-77). Despite the age differences, most of the survey respondents had the same worries about money. We’ll go over those worries, and then give you some marketing concepts and language that specifically addresses those concerns.
Top 7 Financial Concerns
Let’s take a look at the top 7 financial concerns across all age groups.
1. Inflation.
66% of people surveyed worry about the rising cost of goods and services. Everything seems to cost more than it used to, and people are worried they won’t have enough now, let alone in the future.
2. Having enough income to keep up with the cost of living.
59% of people worry they won’t have enough income to keep up with their monthly expenses. This is a similar worry to inflation, as the rising cost of goods and services plays a large role in those expenses. But this also takes the rising cost of housing into consideration, too. From January of 2023 to January of 2024, home prices rose 5.8% according to CoreLogic. To make matters worse, rent prices are 30% higher than they were before the pandemic. No matter where consumers turn, the world is demanding more from them just to put a roof over their family’s head.
3. Having enough retirement income.
59% of people are afraid they won’t have enough income when they retire. This aligns with the fear of inflation and cost of living, since people won’t be able to save or invest as much as they would if those expenses were lower.
4. Supporting themselves or their family if they become disabled or have a chronic illness.
51% of people worry about what could happen if they get sick or hurt and can't work. This concern isn’t surprising, either. The internet has been full of headlines about the rise of cancer in younger adults – in fact, rates of more than a dozen cancers are increasing in adults under age 50. (Source: Nature.com) It’s not surprising that scary statistics make people think about what would happen to their families if they could no longer work to provide for them.
5. Supporting themselves or their family if they lose their job.
50% of people worry about losing their job, which is logical since the headlines are full of layoff announcements. It’s not just big tech companies like Google, Apple, Amazon, and Tesla laying off workers. According to Forbes, financial firms cut 26,856 jobs in January and February of 2024. In the same time frame, the manufacturing sector cut 7,806 jobs and the education sector cut 6,336 jobs. When people see headlines with stats like this, it’s only natural for them to wonder if their job is next.
6. Protecting themselves against identity theft & fraud.
50% of people worry about cybersecurity and falling victim to a scam or identity theft. Almost 1 in 3 Americans experienced identity theft in 2022. Of those 61% had their accounts taken over by the fraudster. Credit card fraud, bank fraud, and loan fraud were the three most common types of attacks. (Source: PandaSecurity.com)
7. Outliving their money.
47% of people worry that their money won’t last until they pass away. And no wonder, with the all the fear of rising expenses we’ve just covered!
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How We Can Help
Let’s review that list and pinpoint specific marketing approaches that show prospects we understand the challenges they’re facing.
1. Inflation.
It’s not easy to sell someone insurance when they’re worried about the cost of their next meal. We have to make it clear they’re saving money by taking action now.
- Marketing concept: Kick inflation to the curb by locking in your price NOW. Did you know life insurance gets more expensive as you age? Locking in the lowest possible price now can protect your family for decades to come. If you want living benefits and unbeatable protection for your loved ones, the lowest price you’ll ever pay is available right now.
2. Having enough income to keep up with the cost of living.
As with inflation, it’s crucial to emphasize savings now and the potential costs of waiting to act.
- Marketing concept: Budget once and pay the same price forever. Everything costs more than it used to – but if you lock in your life insurance price now, it will never go up. Not next year, not in 20 years, not ever. Not if your health gets worse, not if you lose your job, and not if you win the lottery. I’ll find you the best price possible for the protection and features you want, and that’s the price you’ll pay as long as you have your policy. Sound like a plan?
3. Having enough retirement income.
We have two products that can solve this problem: cash value policies and annuities. Choosing which one to market will depend on your target audience. We’ll go with cash value in our concept below.
- Marketing concept: Extra retirement income. A death benefit for your loved ones. Living benefits if you need long-term care. Want to check all of these off your financial to-do list at once? With cash value life insurance, you get benefits for now and later. No matter what the future holds, you’re prepared and protected!
4. Supporting themselves or their family if they become disabled or have a chronic illness.
This is another worry we have the ideal way to solve – disability income insurance!
- Marketing concept: Love your paycheck? Need every penny to provide for your family? Protect that income with disability insurance! If you got sick or hurt and couldn’t work, disability insurance keeps that income in your pocket where it belongs. If you’re injured or too sick to work, you don’t have to worry about putting food on the table. Your policy can do that for you!
5. Supporting themselves or their family if they lose their job.
This isn’t a situation life insurance can solve directly – but we can help in indirect ways. We can help keep budgets low with affordable term policies, making insurance affordable even when times are tough. Or we can go the other direction and pitch cash value policies that can begin to build a reserve supply of cash for the “what ifs” in life.
- Marketing concept: Budgets are tight – and losing a job means every cent is stretched as far as it can go. If that keeps you up at night, protect your budget and your loved ones with term life insurance. It’s the most affordable way to do the right thing for a price that will never go up. Not once. Not ever. It’s a small price to pay to show your loved ones you care about their forever.
6. Protecting themselves against identity theft & fraud.
This is another one we can’t solve directly, but we can use the concept of protection since we know it’s on their mind.
- Marketing concept: You block threats every day, from scammers to hackers to identity thieves. You do it to protect yourself and your loved ones. But have you protected them from the biggest threat of all - losing you? Life insurance protects the people you love most when they need it most.
7. Outliving their money.
We have the best product to solve this problem: annuities. When talking about annuities, use words that reinforce the concept of safety and security to counteract the worry, fear, and anxiety your clients feel.
- Marketing concept: Want guaranteed income you can’t outlive? When you buy an annuity, you’re buying a lifetime stream of income. Guaranteed to last until you pass away, an annuity provides safe, dependable income you can count on. Take the guesswork out of your retirement budget and swap out your retirement stress for smooth sailing!
That’s our quick look at Americans’ top 7 financial concerns and how we can help!
Have you had clients mention these specific concerns? What did you say to reassure them? Tell us in the comments!
