Buying term life insurance in 2022 - is there an alternative to the two extremes?

Research shows us that the lengthy and complicated purchasing process keeps many people from buying term life insurance. It shouldn’t come as a big surprise to any of us in the industry. If you buy it through the traditional agent/financial advisor process, you’re in for a process that isn’t likely to wrap up until a couple of months have passed. It’s also a process that requires real effort and energy on the part of the consumer. If you’re going to buy a policy with some teeth, you have to be willing to be extremely open about very personal habits and behaviors. You also have to see a doctor. It is, as they say, how it is. 

In 2022, however, the internet has presented an alternative. If you’re intent on bypassing the medical exam and are comfortable paying a little bit more, you can buy a term life insurance policy on your own in a single afternoon. If you’re going to go this route - and many younger consumers are - you won’t have anyone negotiating on your behalf. The policy you get is based on the results of a very specific algorithm that doesn’t care about your name or your personal story. You provide the necessary inputs, the system does its work, and you’re presented with a policy. You can get some comparative purchasing information (which is great). You are, however, on your own.

Questions or want to learn more?

If you have customers that are showing strong interest in term life insurance, but are wary of what the purchasing and application process entails, you don’t have to present only two options. There is a third option. We’ve created it at Policygenius Pro. We call it the agent-assisted model. We’ve created a unique solution that bridges the gap between what consumers often view as two extremes (the long, complicated process through a traditional agent vs. the no exam, all-internet self-serve option). It’s simple in its mechanics: consumers complete an application online that’s then routed to a veritable army of life insurance industry professionals that take care of the rest of the process from scheduling your medical exam, to underwriting, and eventual negotiation on your behalf with our massive network of carrier partners. 

This alternate approach significantly reduces the time (from initial application to issuance of the actual policy), yet retains the human element that benefits all buyers regardless of age, health status, etc. Through operational scale, we’re able to provide the same negotiation muscle to the first-time buyer as we are to someone purchasing their second, much larger, term life policy. 

It’s an easier, faster, and much less painful process for everyone involved. Take a few minutes out of your day and read a brief paper we recently produced on the Term Life Insurance Purchasing Process. It contains some great facts about consumer perceptions around the term life insurance purchasing process, the realities behind the two very different options presented to consumers, and the benefits of Policygenius Pro’s agent-assisted alternative. 

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