Windsor, CT, August 6, 2007 — New research from LIMRA forecasts that up to 363,000 U.S. businesses with 10 or more employees are considering introducing a new voluntary benefit within the next two years, which could impact as many as 45 million employees.
The newly released Analyzing the Size and Potential of Voluntary Worksite Benefits paper projects survey findings of U.S. firms, which employ at least 10 employees and includes both current customers and employers who do not presently sponsor voluntary options for their workforce.
"Even though worksite marketing is a well established distribution channel, there are still opportunities for growth. Our research shows that many workers still do not have access to voluntary benefits. In addition, employers that currently sponsor voluntary plans appear willing to add additional product lines" said Ron Neyer, a senior analyst at LIMRA and author of the new report. "We see great opportunity among firms in the Northeast, as well as at service organizations."
Service firms now represent nearly half of all employers with at least 10 employees. And although nearly all large employers (1,000 or more employees) already offer at least one voluntary option, about half of these companies are considering expanding their portfolios.
Employers, in particular those without an existing voluntary benefits plan, are most interested in adding dental insurance. A variety of other voluntary product lines are also being considered.
"Vision plans and supplemental medical products follow dental in popularity, but employers are also expressing interest in several other benefits including medical, disability (short- and long-term), and life insurance coverage," Neyer said. "This suggests a strong opportunity for providers to market numerous product lines and underscores the current diversity of employers' existing benefit portfolios."
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