Gen Y business-owners are using the internet to research insurance products, but are not buying online, according to Zurich Life Australia.

It says research has revealed that when it comes to buying insurance for themselves and their businesses, Gen Y turns to a trusted adviser.

The reasons given for not buying online are product complexity, lack of time and a willingness to outsource as much as possible.

Gen Y also believes in products being bundled and likes a “one-stop shop” approach that general and life insurance intermediaries can deliver.  

Zurich GM Sales and Marketing Retail Risk Philip Kewin says the findings highlight the importance young business-owners place on a relationship with an insurance expert.

“Clearly those young business-owners who are thinking about insurance want to get the appropriate advice to ensure they have the right type and amount of insurance cover”, Mr Kewin said.

Another factor in Gen Y not buying online is their optimism about the future, which means they cannot always see a need for insurance.

“They have a ‘get it when I need it’ mentality, which means they need to be made aware of the importance of having insurance early on,” Mr Kewin said.

“Even when Gen Y does consider and take action on their insurance needs, they don’t want to manage any of the detail themselves.

“As long as they know the cover is there and it’s right for them, they’re happy.”

He says the key to winning the business is building a relationship with Gen Y and becoming a trusted adviser.

“They are likely to maintain that relationship throughout the longer-term life of the business,” Mr Kewin said.