People in their 20s and 30s represent almost half of the purchases of Trustmark's Voluntary Benefits' life and long-term care (LTC) insurance, which adds up because a 2023 LIMRA survey found that 44% of Gen Z adults and a whopping 50% of millennials intend to buy life insurance over the next year.

So, what's happening here? Why are all these young people suddenly more worried about their long-term health prospects?

For starters, COVID-19 happened. The pandemic had a profound effect on many of us—especially when it came to our health and views on mortality. One of the barriers to purchasing life insurance is that some people simply believe that dying prematurely won't happen to them. But the pandemic changed that—drastically. People saw it could happen to them, and it gave people a different perspective on their mortality.

But what about LTC insurance? And specifically, hybrid life and long-term care? Why the sudden interest? Many young people have seen the impact that care for a family member has on the rest of the family. When a grandparent or other relative needs care, those young folks are getting a first-hand look at what that means for their parents. The emotional, physical and mental toll. All of it.

In fact, a 2021 LIMRA Insurance Barometer Report said millennials are more concerned about care expenses than any other generation. And millennials rank LTC and life insurance among the top areas they'd like to discuss with an adviser.

The motivations behind purchasing life insurance and LTC insurance are very similar. They are both about protecting those that you love. While life insurance is likely the primary driver for someone in their 20s or 30s, getting LTC benefits with their life insurance provides additional value.

Further, being young has its advantages—namely lower rates and more buying power for coverage. This makes hybrid insurance a practical way to efficiently kill two birds with one stone. And while they still may want to add more LTC insurance as they age, having the base of existing coverage will mean they don't have to purchase nearly as much later in life when rates are much higher.

Another factor driving interest in life insurance and LTC among younger people is that LTC has become a hot topic in the media recently. Why? First, we have an aging population. By 2035, the U.S. is going to have more people over 65 than under 18 for the first time in history, according to the U.S. Census Bureau.

People are living longer than they used to, which is driving a greater need for care in later years. This need for care has been driving states to look at legislative solutions. The state of Washington was the first to implement a program—Washington Cares—that can provide up to $100 per day for a year to help pay for long-term care. Since Washington passed their program, other states have also been looking at this option.

Many employers may not be aware of the growing interest in these products among their young employees. In a competitive recruitment market, having the right benefits is crucial. Agents can play a key role in helping employers educate younger employees on the topic. They'll thank you later.

Adam Bezman is the executive director of product and innovation at Trustmark and is a Certified Long-Term Care^® designee.