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8 reasons why young people don't bother with life insurance

Nobody likes thinking about life insurance (other than brokers, of course). As it is perceived, it’s boring, old fashioned and expensive. But when we realised that 18.4 million people basically have no plan for protecting their loved ones after they’ve gone [1], we did a deep dive to find out what was wrong. And - spoiler alert - it's not because they're entitled, lazy or ungrateful. It's because the industry hasn't caught up to them yet.

1. They think life insurance is too pricy

Generally, people overestimate how much insurance costs, but when young people were asked to estimate, they assumed the cost of life insurance was 3 to 4 times what it actually is. That's like thinking Netflix costs £40 a month! Insane, right?

Most young people are also unaware that there are a number of products to pick from. For example, Accidental Death Insurance is a cheaper option which is especially attractive for younger people, who are generally less likely to die of illness. Much like the name suggests, it provides cover for death as a result of an accident (and some other instances). For example, Accidental Death Insurance through yulife (we call it yulife lite), will be available for £7.99 per month for £100k cover.

2. They don’t believe they qualify

Four in ten young people mistakenly think they won’t qualify for life insurance. This is clearly a myth – actually, Millennials, as the youngest group in the market, are more likely to qualify for the best rates. In the UK, anyone over 18 years of age can technically qualify for life insurance, but the rates and different terms change from policy to policy. Life insurance premium rises by at least 8-10% every year, so if you want to save some cash money on your insurance, you should consider getting insured as early as possible. Quick maths.

3. They don’t have the patience for the process

Traditional life insurance is a painful process. It’s boring and it takes a really long time. Advancements in tech seem to have skipped this industry, or not penetrated it fast enough – which caused it to be slow, exhausting and even outdated. Young people are agents of change, and they hate seeing a slow, bureaucratic process where a quick and instinctive one can be. In fact, in a recent survey 67% of young parents said they simply didn’t have time to go through all of their options. Who can blame them.

Here at yulife, we believe that the insurance industry can embrace technology fully. Soon, customers will be able to purchase life insurance through yulife in under 6 minutes, instead of the typical 4 to 6 weeks.

4. They don’t see life insurance as a priority

Young people have grown up during the financial crisis, and to them, there’s a very clear list of priorities when it comes to spending money. 80% of Millennials said they have more important expenses to deal with before purchasing life insurance.

But as young people are maturing, life insurance gets more and more important - especially if they have a family or debt. In the end, we know that young people invest in their relationships with others, and protecting the people you love needs to be a big part of that. Maybe the industry needs to check why an important product such as this gets ignored by so many people!

5. They find insurance too complicated

Young people are used to dazzling their older colleagues with their impeccable tech skills, and none of them are interested in spending more than a few seconds on finding an answer. So when someone tells them they can’t really do the research themselves and that they have to use a middle man – a broker – to purchase insurance, they just don’t feel it. This is probably why 95% of Millennials said they would use the internet to research life insurance.

The insurance industry has to wake up and start reaching out to the next generation of customers in a way that works for them. That’s why we’re digitalising the process and making it into a product for real people, rather than brokers. At yulife, we believe that cutting out the middle man by creating a simple new insurance product is the best way to get Millennials to understand how important life insurance is. What’s more, we’ve got some seriously smart ways to make it fun.

6. They think life insurance is for old people

When young people think about life insurance, they automatically think – ‘old’. Maybe this is because life insurance has been around for more than two centuries, or because they aren’t that used to being adults yet. This explains why a staggering 75% of young parents are currently without life insurance.

The truth is, life insurance is not about age. It’s about the people you care about. It's pretty simple - the people who depend on you will be better off if you have life insurance, so if you have kids or debt, life insurance is built for you!

7. They don’t like to gamble

Unlike previous generations, the current generation have grown in a period of financial turmoil, and they prefer saving up and protecting their money as much as they can, without taking unnecessary risks. They see insurance as a gamble – investing for a big pay out that might just not ever happen.

Have we got news for you! 99% of all life insurance claims get paid out – that’s barely a risk[2]. And when you think about the risk you have to take when you don’t insure – it’s a no-brainer.

8. They don’t like to think about death

Nobody likes thinking about their own mortality. We like to believe we’re invincible, and Millennials, maybe because they’re still young, are even more adamant to avoid thinking about their family and friends without them.

But here at yulife, we’ve come up with a great plan to put back the ‘life’ in life insurance, by focusing our product around what can be done to motivate people to lead better lives. That’s why yulife doesn’t only provide you with full life insurance, but also gives you a whole bunch of wellness benefits you can redeem in your everyday lives.


Young people are just not up for an old-fashioned product that’s hard to get and focused on dying. And we definitely don’t blame them - we agree with them!

We’re on a mission to bring financial, mental and physical wellbeing into the lives of everyone. And to do that, we’ve got to get young people on board with the whole life insurance thing. Life insurance needs to change, and we’ve got it covered. At yulife we’ve brought together the finest minds this generation has in tech and wellbeing to create a life insurance product for the living, with a heart.

Want to find out more about our plan to revolutionise life insurance? Take a look at our website here.


  1. YouGov, 2017 ↩︎

  2. Scottish Widows, 2017 ↩︎

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