Top Trends in Voluntary Benefits for 2009

April 2009

In addition to the legislative efforts currently taking place in Washington D.C. to nationalize the health care industry. The industry itself has shifted in several different ways in the past several years.

Voluntary benefits complement an employers core benefits program by offering employees choices to help fill coverage gaps in major medical, disability or life insurance.

An employer may be able to reduce major medical premiums by increasing the deductible and adding a voluntary supplemental health prgram like Aflac that helps employees cover the higher out of pocket costs. As a voluntary supplemental plan, the employee who feels they need additional coverage, or who want to fill in some of the gaps can elect additional coverage and those that are secure in their base medical plan can opt out. The plans offer the employees a way to manage major medical costs and to fill gaps if necessary.

Selling voluntary benefits to the employer and employee requires a consultative approach where the broker understands the major medical benefits being offered, the gaps that may exist, the make up of the employee base. Voluntary benefits are best sold in a one on one environment where a broker can work with each individual to custom fit a program to fit not only their pocketbook but correctly assess the gaps in coverage.

Voluntary benefits fit with high deductible plans, with Health Savings accounts and can even supplement the Flexible Spending Accounts.

Voluntary benefits are typically sold to employees on a pre-tax basis thus saving both the employee and employer some Federal and FICA tax monies.

For more information on voluntary benefits you can go to www.aflac.com or www.benefitsmartllc.com

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