Voluntary benefits have been a growing trend for almost 15 years. Recent surveys show employee-paid benefits are on the minds of brokers, employers and the workforce alike. According to a 2011 study by LIMRA, 30% of U.S. employers are considering adding a voluntary benefit to replace employer-paid and contributory benefits within the next two years – affecting between 19 million and 45 million employees. These numbers aren’t surprising. Even with slight improvement in the U.S. unemployment rate, employers have responded to the poor economy and rising health care costs by making the tough decision to shift the costs of certain benefits to their employees.
As a producer, this challenging climate provides you with a tremendous opportunity to guide the transition from employer-funded benefits to a more consumer-centric approach. The benefits managers you partner with will see the value in reducing their benefits costs. Their employees will appreciate the ease of worksite enrollment for products that provide fundamental lifestyle protection.
