John Hancock's Vitality Program Drives Preventive Health Engagement in Life Insurance
John Hancock, one of the largest U.S. life insurers, has introduced an innovative wellness program called Vitality that incentivizes policyholders to adopt healthier lifestyles. Developed over a decade ago, Vitality encourages customers to exercise, eat better, and participate in preventative health screenings by offering rewards such as discounts on life insurance premiums, Amazon vouchers, and subsidized health tests. This program has significantly increased customer engagement, shifting interactions from annual billing to over 20 monthly app uses, indicating a deeper ongoing relationship between insurer and policyholder.
The approach aligns John Hancock's business interests with those of its customers by promoting longevity, which benefits both parties financially and health-wise. Nearly two-thirds of policyholders participate in Vitality, with many reporting improved health markers, including reduced body mass index and better management of high blood pressure and cholesterol. While actuarially sound data on mortality impact is not yet available, trends suggest positive outcomes in extending healthy lifespans.
Vitality exemplifies a shift toward behavioral insurance, leveraging digital tools and incentives to foster preventive healthcare and lifestyle changes. John Hancock emphasizes transparency and privacy, ensuring customer data is used solely to improve their wellness without affecting coverage negatively. Participation remains voluntary, with no penalties for opting out, addressing trust concerns in data sharing.
This strategy has helped John Hancock consistently outperform industry growth benchmarks over the past seven years. It demonstrates a market trend of digitization and personalization in insurance services, aiming to transform consumer perceptions and deepen insurer-customer relationships. The focus on early detection and prevention is positioned as a method to "bend mortality and morbidity risk curves," potentially reshaping risk management models in life insurance.
Leadership within John Hancock values diverse perspectives and a strong commitment to innovation, recognizing the insurance sector's historical resistance to rapid change. The Vitality program serves as a case study in applying behavioral science and digital engagement to evolve an established industry. As the program matures, it may influence broader insurance practices surrounding customer engagement and health outcome improvements.