Attracting and retaining high-performing employees is a constant challenge. One way to set your company apart from others-and increase employee loyalty and attract top job candidates - is to offer a well-rounded voluntary benefits package.
Voluntary benefits are a practical way to provide employees with the benefits they want, with little to no cost to the company. Generally, these benefits are 100% employee paid with discounted group rates and little administrative oversight.
Voluntary benefits encompass an array of insurance offerings with the most in-demand benefits being those that supplement core medical, life, or disability coverage. More recent additions are long-term care insurance, group auto, home, and personal excess coverage.
Many employers under-estimate the value their employees place on voluntary benefits, according to Barbara Saxton, Senior Vice President and Chief Operating Officer of Voluntary Benefit Services, a wholly owned subsidiary of HUB International Group Northeast Inc. "Today's workers have a wide range of needs," she said. "Mid-career workers who are dealing with eldercare issues are going to be interested in long-term care insurance while the Gen X and Gen Y employee are interested in establishing financial security. It's important to offer the right mix of benefits that will appeal to your employee population."
According to the annual MetLife Study of Employee Benefits Trends, younger workers are very concerned about having enough money for retirement and are more interested in accessing a wider array of voluntary benefits offered through their employer than their Baby Boomer counterparts.
"Employee-paid benefits are going to become a more important strategy in the next 5 to 10 years," Barbara said. "Benefits are an important retention driver, especially among Gen X and Gen Y workers."
If your company doesn't offer voluntary benefits, take advantage of the opportunity to expand your benefits menu and improve your standing in the eyes of both current and prospective employees. A HUB benefits consultant can help answer the following questions:
- How can voluntary benefits support your long-term benefits strategy, including changes required as a result of health care reform?
- Does your voluntary benefits program offer the type of insurance that your employees want and need?
- Once you determine the right "menu" of products, which carrier provides the best coverage?
- Is the insurance carrier financially stable and reputable?
- What administrative processes will be required on your part?
If your company already offers voluntary benefits, you should periodically examine new product offerings and whether your current offerings are meeting your employee needs.