Income Protection Insurance for the Younger Gen: A collaboration with National University of Singapore
As part of their postgraduate requirements and final year MSc. Project, MAVI Care Services worked closely with four National University of Singapore (NUS) students on the topic of “Go-to-market Strategy for the Introduction of Income Insurance Tailored Specifically for the Younger Generation”.
The students interviewed 40 Singaporeans and Singapore residents aged between 21-29 with an average work experience of 20 months. The objective of the research is to:
1. Develop strategies and communication to address young peoples’ (unknown) needs for this type of insurance.
2. Consider potential product adjustments to increase acceptance in the younger working population.
Consumer Behaviour Findings
The conclusion based on this study is as below:
1. Self-researching and online purchasing are on the rise.
2. Lack of understanding and confusion with the different types of insurance.
3. Income Protection Insurance is not a priority amongst all insurance.
4.Strong influence from friends and family mirroring the positive or negative impression of the product.
5. “Income protection can be important, but I’m still young” mentality.
6. Mental health is on the rise. Hence, it will be appreciated if covered as part of the insurance scheme.
Source: NUS Research Interviews
Paving – forward with Income Protection Insurance
The recommendations proposed by the NUS undergraduates can be summarized below:
As an upsell. Since the conception remains that Income Protection Insurance is a ‘could have product’, structuring it as an upsell with potential products such as Advanced Account, Investment Subscription or credit card can potentially garner higher take-up rates.
As part of employee benefits. Amongst other benefits such as medical or dental care, clubbing Income Protection insurance can be valuable especially for SMEs as they can retain talents, save recruitment costs, and facilitate a smoother transition back to work upon employee’s recovery.
Break the stereotype through branding. Encourage a more engaged and positive relationship with the brand by not emphasizing the product but the experience. Differentiating and enhancing the brand via a relatable mascot and positive messaging will not only build brand loyalty but connect consumers on an emotional level.
Online awareness and education. Income protection insurance is still a vague and unfamiliar term within the insurance sector. Consistent updates on social media platforms, influencer marketing, online blogs and forums can attract interest from the broader concept of ‘insurance’.
Source: NUS Research Interviews
We work with leading Singapore insurers to provide financial security by protecting your income and creditworthiness. Income protection is for anyone who has a job. Even the younger generation. It is a way to future-proof your salary, for stability and peace of mind.
Source:
NUS MSc. Business Project Presentation slides on the topic “Go-to-Market Strategy for the Introduction of Income Insurance Tailored for the Younger Generation; authored by Cassie Hu, Aishwarya Venkatesh, Sophia Sun and Langxin (April 2024)
