Much of the sharing economy has been attributed to Millennials, who grew up with the idea of sharing and on-demand access. Despite early expectations that Millennials would grow up and grow into the same consumption patterns as generations before them, there are some clear differences.
Consider that only 66 percent of Americans under the age of 35 own cars—that’s down from 73 percent in 2007. Also consider that the average car owner’s vehicle sits idle for 22 hours per day. In the face of high student debt, it’s not surprising that Millennials are happy to share, rather than own.
Some posit that Millennials will eventually buy cars and homes, just as their parents did. Only time will tell. In the interim, the sharing economy continues to grow—and savvy insurers will take the opportunity to innovate and play a role in the sharing economy.