Following the boomers

If you haven’t already noticed, most companies are shifting their business models to accommodate the boomers. After all, they are the largest age group--- and thus the largest single demographic market.

Allstate, a top insurance company mostly for autos and homes, is starting to push away from insuring homes in coastal areas (due to the losses that have occurred in the past few years due to the horrific hurricanes we’ve experienced) and is putting more emphasis on its Allstate Life Insurance Co. which contains its financial-planning products such as life insurance, annuities, etc. According to the Wall Street Journal, “Hurricane Losses Prompt Allstate To Pursue New Path,” the CEO of Allstate stated he wants Allstate to become a “one-shop stop for middle-income baby boomers' financial planning.” The main reason for this shift is due to the growth limitation in the home and auto insurance markets--- yet there is plenty of room for growth in the financial planning sector. According to the article, currently there is no single company that dominates this market.

If you think about it, Allstate already has the boomers as customers--- they are the largest group of home owners and car owners. Now, they just need to promote their financial planning products to their existing customers.