Digital vs Traditional: Factors Influencing Youth Preferences for Insurance

Insurance is undoubtedly an efficient tool for financial protection. But, the question remains: is traditional insurance still preferred by today’s tech-savvy generation? The current study examines the effect of various insurance attributes on customer preferences for digital insurance. Data is collected from 255 young adults enrolled in postgraduate programs across Telangana and probit regression is employed for data analysis. The findings indicate a positive association between digital insurance preference and insurance attributes viz., ease of buying and affordability. A significant gender disparity is also observed, with men exhibiting a notably higher inclination towards digital insurance. This study offers insights for designing digital insurance products to effectively facilitate the transition of customers from traditional to digital platforms.