U.S. life insurance application activity continues to grow at a steady pace with Year-to-Date (YTD) activity up +4.1%, according to the November MIB Life Index. Year-over-year (YOY) growth continued but slowed to +1.6% in November. While this is the smallest YOY gain since June, it continues a positive YOY growth trend for 2020 that started in May. On a monthly basis, November grew over October by +5.0%, the second largest Month-Over-Month (MOM) gain since the pandemic.

https://www.mibgroup.com/riskanalytics/images/2020_12_6_months_trailing_chart.pngContinuing a trend we have seen since the pandemic started, YOY growth was largely driven by younger applicants with submissions in the 0-44 age group at +3.5% and the 45-59 age group at +2.4%. In contrast, the 60 and over age group continues on a downward trend with submissions at -5.0% YOY.

November's YOY growth for ages 0-30 was driven by an increase in submissions of 7% for face amounts of $250,000-$2.5M. Declines continued (-20% or more) for age groups 61+ with submissions of face amount of $1M-$2.5M and also face amounts at or above $5M+.

November vs. October MOM submits showed significant swings by product lines with double-digit growth in activity for Term Life for the 31-70 age group and double digit declines for permanent products for ages 51+. Term products have also continued to impact YTD numbers with declines (-4.5%) driving overall downward trends in the 60+ age group (-1.9%).