Gen Z, cellphone protection plans, and insurance knowledge

Gen Z, cellphone protection plans, and insurance knowledge

Is Generation Z, the generation born from 1997-2012, lacking when it comes to their insurance knowledge and coverage? A

survey from the National Association of Insurance Commissioners found that 21% of Gen Z adults have renters insurance, while 35% of them carry cellphone protection plans.

Furthermore, the survey found that over half

 of the respondents feel overwhelmed when it comes to engaging with insurance, and roughly a quarter had difficulty identifying insurance terms like “deductible” and “copay.”

Other areas were more promising. Among Gen Z adults, 61% pay for their health insurance, while 49% carry automobile coverage.

While it can be a bit easy to chide Gen Z for putting their phones ahead of their insurance, this generation is facing a large degree of economic uncertainty and instability. Phone protection plans are relatively inexpensive compared to other financial burdens that Gen Z faces.

They are facing a housing and renters market that has spiked dramatically in cost since the pandemic: wages also have stagnated. While past generations like millennials and Gen X are also affected by present economic downturns, Gen Z is disproportionately burdened by them.

Gen Z and these other generations are facing an uphill battle: in the day-to-day struggle to survive, they may not have the time or means to sit down and have a conversation about insurance.

However, alongside the release of the survey, a statement was issued by NAIC president and Connecticut Insurance Commissioner Andrew N. Mais. He emphasized the importance of using state and federal insurance resources for Gen Z to at least get a foot in the door of the insurance marketplace.

Renters insurance, health insurance and auto coverage are vital protections to have in adulthood; your insurance agent can play a crucial role in making sure that you can protect the things that matter most.