Employees/Employers Need More Education From Insurers

Drawing conclusions from a recent study, insurers may need to work harder at educating consumers about benefits and the financial protection they provide. The study, released by the Employee Benefits Group division of Sun Life Financial Inc., reveals that while employees value voluntary benefits, they might not truly understand the financial protection provided by their life and disability benefits, says Michael Shunney, SVP and GM of the group. “Carriers and employers need to find new and better approaches to engage employees. If employees are motivated and educated, it will only increase participation and enrollment in their employer-sponsored benefits.”

The annual online study, “The Voluntary Benefits: Key Factors Influencing Employee’s Choices Study,” highlights the factors that have the greatest impact on whether an individual chooses voluntary benefits through their employers and their preferred methods of learning and enrollment. In the nationwide study, more than 2,800 employees were asked to distribute 100 points across six options to illustrate what influenced their decision for selecting a particular benefit. Participants rated the “Likelihood of Using in the Near Future” and “Financial Protection Provided” as the most important factors.