Critical Illness insurance continues to grow as employers look for ways to offer their employees solutions to help fill the gap with increasing out-of-pocket costs.
Critical Illness and other voluntary benefits are a cost-efficient way to provide additional coverage to employees at a lower group rate than purchasing an individual critical illness plan.
This survey produced some interesting findings about the current state of critical illness products offerings to employers, the distribution methods and a lack of understanding by many agents and brokers on the value of critical illness.
About the survey
The critical illness survey was conducted between January 8, 2018, and February 9, 2018. A total of 511 employers responded representing 5.4 million employees.
Some of the findings are below:
- 57% of employers who responded currently offer critical illness to their employees
- 14% of employers offer critical illness as an employer paid benefit
- The range of employer paid benefit was between $5,000 and $7,500 with 81% offering $5,000
- 11% of employers started offering critical illness in the last 12 months
- 27% of employers started offering critical illness in the last 24 months
- 62% of employers are offering critical illness plans that are more than 36 months old
- 81% of the employers not offering critical illness said their broker or agent didn’t recommend it
- 31% of employers offering critical illness stated they were not happy with their current plan and were actively looking for a new critical illness product
About the author
Jeff Hyman is a recognized and respected insurance executive with a proven track record of developing and leading the execution of business plans and sales strategies that deliver growth and bottom line results. Jeff’s background includes leadership roles at Willis Towers Watson, Aflac, and General Electric.
Jeff Hyman can be reached at jhyman@jeffhyman.net
