Study: Ineffective communication limits life insurance sales

"The industry needs to communicate using authentic language and relatable imagery," said Kallenbach. "Our goal here is to help financial services companies set the stage for wholesale, industry-wide changes in communications. When customers and would-be customers are able to see the value in companies' products clearly, they're much more likely to take an interest in them and make a purchase."

The report finds that a shift in thinking may be required for these changes to occur.

"For some companies, it may require a cultural transformation," said Maria Ferrante-Schepis, managing principal, Insurance and Financial Services Innovation, Maddock Douglas, and the study's coauthor. "While it can take a number of different tacks, this is about organizations shifting their attention from outputs to outcomes."

Additionally, organizations that improve the relevance and authenticity of their communication in a more contemporary way will have a competitive edge. "Change your language to better connect with consumers," said Ferrante-Schepis. "We can't stress enough the importance of keeping it simple and emotionally resonant."

The study consisted of more than 1500 online interviews to quantify consumer attitudes, behaviors, and perceptions related to insurance industry language, and 30 in-person interviews in which consumers shared their experiences, emotions, and feelings related to insurance industry language and imagery. Initial study results were presented at the 2014 LIMRA Marketing and Research Conference in Boston.