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Workplace disability insurance and supplemental health product sales also increased in 2024

WINDSOR, Conn., April 15, 2025 — Marking the fourth consecutive year of new premium growth, workplace life insurance, disability insurance and supplemental health products sales all rose in 2024, according to LIMRA’s 2024 workplace benefits sales surveys.

Life Insurance

For the fifth consecutive quarter, workplace life insurance new premium increased. Total workplace life insurance new premium was over $925 million in the fourth quarter, a 10% jump from prior year results. While the number of employer groups sold fell 1%, participants rose 9% in the fourth quarter.

New premium for term products, which represents just over 80% of workplace life insurance sales, rose 13% over the prior year, while new premium for permanent products fell 1% from the same period last year.

Workplace life insurance new premium totaled a record-high $4.5 billion in 2024, up 8% from 2023 premium.

“Throughout 2024, employers continued to use their workplace benefits programs to compete for talent in a tight job market. Our research finds more than 60% of workers are at least somewhat more inclined to stay with their employer because of their benefits package so it is not surprising that workplace benefits sales remained strong,” said Patrick Leary, corporate vice president and head of LIMRA workplace benefits research. “Sales growth was widespread with 7 in 10 carriers reporting gains year-over-year.”

Disability Insurance
Total workplace disability insurance new premium was $1.1 billion in the fourth quarter, 12% higher than the fourth quarter of 2023. Short-term disability new premium rose 6%, and long-term disability new premium increased 20% in the fourth quarter.

Overall workplace disability insurance new premium was $4.2 billion in 2024, up 2% year over year. For the year, total short-term disability insurance new premium fell 3%, and long-term disability insurance new premium improved 7%.

“The top 10 carriers, which account for 75% of total new disability insurance premium, drove the overall growth, posting a 3% gain in 2024.” Leary noted.

Supplemental Health Products

U.S. workplace supplemental health product sales, which include critical illness, accident, cancer, hospital indemnity, and other supplemental health insurance products,* dipped slightly in the fourth quarter. Supplemental health new premium totaled $686 million in the fourth quarter, down 2% from the same period last year.

Strong performance in the first three quarters of 2024 kept overall sales positive for the year. In 2024, these products totaled $3.3 billion in new premium, 8% higher than the prior year’s results. Three quarters of supplemental health carriers posted gains in 2024.

LIMRA’s workplace benefits sales surveys for life insurance, disability insurance and supplemental health represent at least 90% of their respective annualized premium markets.

With more than 100 years of expertise, LIMRA conducts over 80 benchmark studies — producing nearly 500 reports annually — for our members and the industry as a whole. These studies provide trusted insights and a comprehensive understanding of market dynamics, trends, and behaviors.

Fourth quarter and year-end 2024 data table with U.S. workplace sales trends is available in LIMRA’s Fact Tank.

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*“Other supplemental health products” represents products that do not fit the other categories, such as gap insurance, minimum essential coverage plans, limited benefit medical, and heart/stroke products.

About LIMRA
Serving the industry since 1916, LIMRA offers industry knowledge, insights, connections, and solutions to help more than 700 member organizations navigate change with confidence. Visit LIMRA at www.limra.com.