Estate Planning Transforms Life Insurance—Building Brand Loyalty, Trust, and Sales

Embedding estate planning into life insurance is a game-changer, strengthening client relationships and setting brands apart in a crowded market. Here’s why it matters:

Drives Purchase Decisions: 45% of customers say estate planning bundled with life insurance positively impacts their buying decision.

Builds Loyalty: 47% would be more loyal to brands that offer estate planning, fostering long-term customer relationships.

Creates Peace of Mind: 78% associate estate planning with security and peace of mind, reinforcing trust in their insurance provider.

For life insurers, offering estate planning as a bundled service not only aligns with their mission but also provides a strategic advantage that strongly connects with customers.

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For life insurance providers looking to strengthen client relationships and differentiate themselves in a competitive market, offering estate planning as a bundled service is a golden opportunity. GoodTrust conducted a survey of individuals ages 45-85 and here’s how the numbers reveal its impact:

A Powerful Market Advantage

A striking 66% of customers would be more likely to choose a life insurance brand that offered estate planning at no additional cost. This means that, beyond providing protection, brands could gain a competitive edge by offering a service that aligns with the mission of life insurance: protecting one’s legacy. Additionally, 54% would be willing to switch providers to access estate planning as a value-added benefit, signaling how strongly customers value this service.

Driving Purchase Decisions

For many, estate planning has become a “make or break” factor. 45% say that having estate planning bundled with life insurance would significantly influence their purchasing decision. This preference points to a growing expectation in the life insurance space—customers now seek personalized, all-in-one solutions that extend beyond a standard policy. By meeting this demand, life insurers can position themselves as caring partners who truly go the extra mile for their customers, demonstrating a commitment to securing not only financial protection but a lasting legacy for their clients.

Enhancing Customer Loyalty and Retention

The numbers highlight that estate planning isn’t just a beneficial add-on; it cultivates loyalty. 47% of respondents stated they’d be more loyal to a brand that offered estate planning. For life insurers, loyalty translates into long-term revenue stability, reduced churn, and opportunities to upsell additional products. This is a win-win for both provider and policyholder, with the added benefit of potentially lowering marketing and acquisition costs over time.

Creating Peace of Mind

For over half of respondents—56%—having access to estate planning tools through their life insurance brings a greater sense of security. In an industry built on providing peace of mind, this is a strategic advantage for life insurers. Adding estate planning as a benefit aligns with 78% of individuals who associate peace of mind with estate planning. This added layer of support not only fulfills customer expectations but also strengthens relationships, demonstrating a genuine commitment to their long-term well-being and reinforcing trust in the brand.

A Standard for the Future of Life Insurance

The sentiment is clear: 59% believe estate planning should be a standard part of life insurance offerings. As expectations shift, the life insurance brands that proactively incorporate estate planning will be viewed as leaders in modernizing the industry. By setting a new standard, these companies can attract customers who value comprehensive planning and may even consider paying more for policies that include estate planning benefits, with 45% of respondents willing to do so.

The Takeaway: A Strategic Differentiator

The statistics tell a clear story—estate planning is no longer a "nice to have." It’s an invaluable differentiator that can elevate a life insurance brand in the eyes of customers. Providers that add estate planning can not only enhance their competitive standing but also build a loyal, secure customer base ready to invest in the brand that protects their full legacy. Embracing estate planning isn’t just about policy enhancement; it’s about redefining the future of life insurance with value that resonates on a personal level with today’s consumers.

To learn more about how Estate Planning can impact your insurance product, email [email protected] or click here.