The traditional view of renters as short-term, low-value insurance customers is becoming outdated.
More than half (53%) of renters are now over the age of 40, reflecting a major shift in the housing market as Millennials and Gen Z consumers delay homeownership, according to TransUnion's latest Insurance Personal Lines Trends and Perspectives Report.
Many consumers in 2026 may remain renters longer — and some may never purchase a home — TransUnion says this group represents a valuable opportunity for property insurers. These prospects are increasingly building families, accumulating assets, and managing financial responsibilities that require broader insurance protection beyond basic renters policies.
"Many consumers may have been priced out of home ownership, but they are still building lives that require the same comprehensive policies as older generations," says Patrick Foy, senior director of strategic planning for TransUnion's insurance business. "Insurers that tailor products and engagement to the needs of this consumer segment will gain a significant strategic advantage."
Historically, renters insurance has been viewed as a low-priority product because premiums average only about $171 annually. However, TransUnion notes that today's renters often represent a pipeline for future growth. As consumers move through different life stages, their insurance needs evolve to include greater personal property protection, cyber coverage, life insurance, and supplemental liability protection.
The changing housing landscape is driving this shift. The median age of first-time homebuyers increased from 33 in 2019 to 40 in 2024, as high home prices, elevated mortgage rates, rising living costs, and slower income growth continue to delay homeownership. As a result, the renter population has become older, more financially established, and more stable.
TransUnion's renter data shows the median renter is now 40 years old, has a household income of approximately $56,000, and carries a TransUnion proprietary credit score of 652. Renters also remain in the same residence for an average of 3.3 years, indicating a level of stability that challenges outdated assumptions about renter risk.
At the same time, renters remain active participants in the insurance marketplace. In the first quarter of 2026, auto insurance shopping increased 8% year over year, while property insurance shopping rose 6%. Renters represent a meaningful portion of consumers comparing insurance options and seeking better value.
For insurers, the opportunity lies in recognizing renters as a long-term customer segment rather than a limited product category. By developing more comprehensive offerings and using targeted engagement strategies, carriers can build stronger relationships with renters as their financial needs expand.
As housing trends continue to reshape consumer behavior, insurers that adapt their approach to the modern renter may be better positioned to capture loyalty, growth, and higher-value business.
Maura Keller is a Minnesota-based freelance writer and editor.
(Featured image credit: Andrii/Adobe Stock)
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