5 voluntary products see double-digit sales increases
April 27, 2015 3:39 AM
Overview
Voluntary benefits sales increased 5% from 2013 to 2014, according to LIMRAs U.S. Worksite Sales survey. Vision saw the biggest gains, followed by critical illness. They were two of five products that had double-digit increases.
[Image: Fotolia]
[Image: Fotolia]
LTD the only decrease
-5%
Long-term disability was the only one of 12 products to see a decrease.
[Image: Fotolia]
Long-term disability was the only one of 12 products to see a decrease.
[Image: Fotolia]
Small gains
Whole life: 2%
Short-term disability: 2%
Term life: 1%
[Image: Fotolia]
Short-term disability: 2%
Term life: 1%
[Image: Fotolia]
Moderate gains
Dental: 7%
Universal life: 7%
Dread disease: 6%
[Image: Fotolia]
Universal life: 7%
Dread disease: 6%
[Image: Fotolia]
Double-digit gains
Accident: 12%
Accidental death and dismemberment: 11%
Medical: 10%
[Image: Fotolia]
Accidental death and dismemberment: 11%
Medical: 10%
[Image: Fotolia]
Big surge
Critical illness: 19%
[Image: Fotolia]
[Image: Fotolia]
Largest increase
Vision: 24%
[Image: Fotolia]
[Image: Fotolia]
A growing trend
Voluntary benefits are on a growth trend, in part because they allow employers to enrich their employee benefits portfolio at no direct cost, says Ron Neyer, assistant research director at LIMRA. In a recent LIMRA, study seven in 10 employers who offer voluntary benefits said these options help improve morale for existing employees and assist them in attracting and retaining new talent.
[Image: Fotolia]
[Image: Fotolia]
Carriers more focused on voluntary products
Companies that sell voluntary benefits products are also giving them more emphasis. Of the 46 companies that participated in the LIMRA survey, 26 experienced an increase last year. Of that group, 20 companies grew by at least 10%. Carriers are more focused on voluntary benefits offerings because the worksite offers an opportunity to efficiently reach the middle market, Neyer says.
[Image: Fotolia]
[Image: Fotolia]
