2018: The Life-Annuity Distribution & Marketing Annual - Confronting the Market Penetration Challenge

Price : $1,750.00

The 2018 edition of Conning’s Life-Annuity Distribution and Marketing Annual examines the role distribution might be playing in the broader industry’s low penetration of the insurance buying age population. It continues to examine the development of digital distribution and marketing. It also addresses key distribution and marketing trends, sales performance, and forecasts.

1. Introduction 

2. Executive Summary 

3. Key Distribution Developments in 2018 

  • Life Insurance Market Penetration

  • Channel Differences in Market Penetration

  • Fiduciary and Suitability Rule Developments

4. Digital Distribution Trends in 2018 

  • Digital Distribution Trends

  • Digital Marketing Trends

5. Advertising Expense Analysis 

  • Advertising Expense Ratios and Concentration

  • Advertising Expenses Trends by Company Size

  • Multiline Insurer Advertising Expenses Trends

  • Advertising Expense Trends by Distribution Channel Strategy

6. Individual Life Insurance Sales by Channel 

  • Life Insurance Distribution Review and Forecast

  • Life Insurance Sales Results by Channel

  • Life Insurance Sales Results by Company Size

7. Individual Annuity Sales by Channel 

  • Annuity Sales Review and Forecast

  • Annuity Sales Results by Channel

  • Annuity Sales Results by Company Size


Since 2013, we have reviewed trends and developments in life and annuity distribution and marketing. In this 2018 study, we build on prior analyses and current data to highlight key distribution and digital marketing issues and trends confronting life-annuity insurers.

The life insurance industry continues to generate steady sales. However, the growth in the number of in force policies is not matching the growth in the insurance buying age population, which we define as at least 22 years of age and not more than 65 years of age. This year’s edition begins with an examination of the role distribution is playing in that worrying trend.

A continuing area of concern for both distributors and insurers has been the DOL (Department of Labor) fiduciary rule. We review the recent developments regarding that rule and examine the emergence of other fiduciary and suitability rules.

Developing digital distribution and marketing can be a key in overcoming the market penetration challenge. We continue our analysis of digital distribution with a focus on robo-advisors and digital agencies. Examining developments in digital marketing, we look at the emergence of chatbots among insurers and how insurer mobile apps support marketing to an increasingly mobile-focused world.

Increasing market penetration requires continued investment in advertising. However, cost control remains a key concern for managers. As before, our analysis of advertising expenses, agency expenses, and expense ratios provides some insight into how companies are using their advertising budgets. Using statutory data and Conning’s proprietary analysis, we analyze individual life and annuity sales by product and channel from 2013 through 2017. In addition, we provide a product-level sales forecast through 2020.

Our analysis of distribution and marketing developments among life-annuity insurers provides both an industry level overview as well as a comparative analysis based on company size.