A rising elderly population combined with a shrinking workforce is transforming global demographics, creating both challenges and opportunities for the insurance sector, according to a new report by the Geneva Association.
The report, titled Insurance and the Longevity Economy: Navigating Protection in the Era of 100-Year Lives, reveals that people in developed nations often underestimate their lifespans, while those in developing countries tend to overestimate them.
Surveying 15,000 individuals across 12 countries in Asia, Europe, and the Americas, the report highlights significant differences in perceptions of longevity. Despite widespread concerns about healthcare and financial security in later years, many respondents believe they are more prepared for these risks than they actually are.
The findings suggest that insurers, alongside families and governments, have an essential role to play in addressing the challenges associated with longer lifespans.
Jad Ariss, managing director of the Geneva Association, emphasized that insurers are well-positioned to help individuals navigate longer lives. However, he stressed that achieving this will require innovation within the industry and close collaboration with policymakers.
Adrita Bhattacharya-Craven, the report’s author, acknowledged that while people recognize the risks of living longer, converting this awareness into actionable steps remains a significant hurdle. She urged insurers to move beyond traditional offerings and focus on broader solutions to risks such as outliving savings, losing physical independence, and adapting to changing work patterns.
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