Rethinking Guarantees: What consumers really want from life insurance

I’ve long admired a particular superpower among top producers: the ability to explain life insurance “guarantees” in a way that’s both accurate and helpful. It’s not easy, especially given the emotion behind the word. 

Fortunately, Zeldis Research Associates recently did a study to better understand what consumers actually want when it comes to life insurance guarantees. The findings surpised me.  

The study found that when adequately explained, 9 out of 10 consumers interviewed prefer a life insurance policy with lower costs and more flexibility, even if it has shorter guarantee durations.1 Insights like this shift the narrative and brings new clarity to the conversation.  Here are three practical ways to help guide more meaningful conversations with clients: 

1. Focus on cumulative dollar savings Instead of focusing on annual or percentage savings, highlight cumulative premium savings over time—lower premiums over the course of the policy mean cumulative savings, often over decades, reinforcing appeal.

2. Flexibility matters more than we think Life is unpredictable. Knowing they have the option to adjust premiums down the road — whether in 10, 20, or 30 years — gives clients confidence. 

3. Clarity builds confidence Shorter guarantees can often be misunderstood. By clearly explaining how and why premiums might change, producers can help clients feel more secure in their decisions. 

As someone working on life insurance product strategy, these research insights are both exciting and validating. For years, I worked on evolving product portfolios to include more flexible, cost-effective options. Now we have research to support what we’ve seen in the field — consumers will consider products without lifetime guarantees if we take the time to explain them well.

This doesn’t mean guarantees no longer matter. For some clients, they absolutely do. But what the data tells us is that there’s room for a more nuanced conversation — one that goes beyond the default “guarantee-first” mindset.

So, here’s the takeaway: It’s time to reframe the way we think — and talk — about guarantees.