Evolution & Disruption in the Insurance Industry
Entrepreneurs find a lot to like about an old, wealthy industry. It has deemed to be boring for a long time. There is an evolution and disruption in the insurance industry beginning. Matt Sapaula, and his guests Britt Pelaez and Jeff Gaudette, from PHP Agency are on the The Movement podcast.
Disruption in the Insurance Industry
@MoneySmartGuy Matt Sapaula brings ups some facts and figures that some may find shocking about the richest industry in the world.
- There were 500k agents in 1970. Fast forward to 2013, the insurance industry has less than 149k agents.
- Majority of the insurance agents are 60 year old, caucasian men.
- Agents are looking more closely at stepping away from the “career agency” system. They want to be more independent, no quotas, get paid higher commissions and be their own boss.
- 85% of people agree they need life insurance yet 62% say they have it.
- 44% of U.S. households had individual life insurance as of 2010 — a 50-year low. In 1960, 72 percent of Americans owned individual life insurance.
“Insurance has never been an industry that was highly active in recruiting people out of college or enhancing its reputation with the next generation or doing the things that other industries have done with their workforces,” – Corbette Doyle, Vanderbilt University
“51 percent say that if they were to face the death of a family member, they would need to make many changes to their financial lives.” – Lewis and Ellis, Actuaries and Consultants
Bottom line, from generation to generation, the insurance industry has done a poor job in attracting quality people to become insurance agents or build their own agency.
Do you think this is a condition for a disruption in the insurance industry? When demand is HIGH and the supply is low, watch out!
It has been predicted that one out of four agents will be gone by 2018, according to Insurance Business America. If so, who will be in our communities helping people understand how to create generational wealth? Who will help people create cash for some of the most difficult times in their financial lives?
As you listen to this podcast and my Facebook LiveStream, you’ll see how we jump into this topic of a disruption in the insurance industry. It needs to happen and for many reasons.
I bring a couple guests leading their own communities as insurance agents, building their own respective agencies and businesses.
Jeff Gaudette from Boston, MA and Brittany Pelaez from Miami, FL share their experiences from being a captive agent, to an independent agent. Then both made the necessary steps to actually building a business as an entrepreneur in the insurance industry. They are helping lead the way in a disruption in the insurance industry which is sorely needed.