Kathmandu. More than half of the world’s Generes-Z (Gen-Z) have been found to have distrust or confusion about insurance.
According to a survey conducted by GlobalData, this was found in Gen Z (born between 1995 and 2012). According to the report, more than 50% of Gen-Zs identified lack of understanding of insurance or distrust of service providers as the main barrier to purchasing insurance.
Short-term strategies such as better social media engagement and flexible product design can provide limited success, the report said. “Long-term improvements are needed to build sustainable relationships with young customers,” the report said.
According to a survey of global data conducted in the first quarter of 2025, the insurance industry needs to go beyond digital upgrades to win consumer confidence. “Rising premiums on some individual lines are not helping the situation,” said Ben Carey-Evans, senior insurance analyst at GlobalData, adding that “to change this situation, it will be necessary to increase the price and involvement offered by insurers”,
Kerry-Evans said insurers need to do more to communicate the benefits of insurance products. “It has been found that many young consumers, in particular, are involved in the industry through compulsory car insurance,” he said, which is often seen as an ‘angry purchase’. ’
Modern insurance facilities (such as fitness programs in health insurance plans, discounts on smartwatches or smart home devices that promote safety) are seen as potential tools to increase engagement and demonstrate added value, the report said.
