The Value of Voluntary Benefits 

At our Vision 2023 conference, we hosted a panel with a few voluntary benefits experts to get their take on the importance of voluntary benefits. Here’s a recap if you missed it (or just want to relive the experience like us). 

Voluntary benefits are a key part of a benefit plan. As today’s workforce continues to evolve, a diverse array of benefits options is a critical part of not only meeting the unique needs of your employees, but also showing that your organization cares about their total wellbeing.  

Let’s look back at the pitch for voluntary benefits from Sean Domark, Voluntary Specialist Director at MetLife; Jason Dzurka, Director of Supplemental Health Solutions at Cigna; and our AVP of Benefits Advocacy, Stacey Krings.  

20 years of voluntary benefits

Two decades ago, voluntary benefits were quite limited. They had a small number of simple plan designs that were mostly for catastrophic events, like accidental death or basic life insurance. On top of this, the premiums were high because they had little employee interest, as they were often thought of as “high-pressure.” 

But the landscape of voluntary benefits has evolved drastically in the last decade. This evolution occurred in large part because of the rising cost of medical benefits, the shifting of that cost to employees, and a historically low national savings rate. These factors, in turn, brought more carriers and competition to the market. 

Today’s suite of voluntary benefits now often includes options like pet insurance, identity protection, legal support, financial assistance and savings support, and much more.  

Why should employers invest in voluntary benefits? 

For starters, employees want more personalization and diversity in their benefits offerings. Medical, dental, and vision are no longer enough. Voluntary benefits enable employees to pick and choose what benefits fit their families and lifestyles to supplement their coverage. Offering voluntary benefits is a great way to infuse empathy throughout your benefits experience. It shows you’re working to accommodate your employees with the benefits they need. 

In an ever-more-expensive benefits landscape, voluntary benefits provide employees with ways to cut costs and build a safety net for the unexpected. With 60% of Americans considered over-insured and 70% living paycheck to paycheck, employees need options to help decrease their overall spend.

Building a voluntary benefits strategy? Make it intentional!

To be intentional with your strategy, you need to make informed decisions. And to be truly informed, you need data. Don’t fret; between yourself and your carriers, you probably already have some data to get started with. Claims data, participation data, and employee feedback offer ways to analyze your population and thoughtfully innovate your benefits experience. 

Intentionality is critical when it comes to placing voluntary benefits throughout an enrollment experience. For instance, when moving through a MyChoice Recommendation Engine enrollment experience with Businessolver, we can add offerings for supplemental health insurance benefits to follow directly after the member chooses their medical plan. This placement can help the employee better understand the connection between plans and gauge their out-of-pocket costs depending on what supplemental coverage they elect. 

Our experts’ final voluntary benefit takeaways 

Communication is key

Communicating the value of benefits at open enrollment isn’t enough on its own. Employees need help understanding how to best use these benefits, and post-enrollment communications give them a much better chance of using them. Having a long-term strategy and providing consistent reminders will drive more utilization and return better overall value for employers and employees. 

Don’t settle for the benefits you offer today

Look at the benefits you’re offering and complete ongoing reviews with your carriers, consultants, and technology partners. Stay up to date with benefit trends and the current environment. For example, with the prominence of mental health today, it’s an ideal time to find opportunities for benefits and programs that can help your employees. You can meet your employees at the right time by keeping up to date with trending benefit needs. 

Partner with someone who can help

Partner with a consultant or broker who can take off some of the weight that comes with these choices. A partner can help you comb through data and make recommendations with a fresh eye that might see your voluntary benefits in a different light. They can make recommendations around plan design, additions, and more. Don’t be afraid to ask for help when building out your voluntary benefits program.