Why Voluntary?
Voluntary Benefits Play a Critical Role in a
Well Rounded Employee Benefits Package
In the midst of today’s economic pressure and budget cuts, employers are being forced to reassess their
employee benefits strategy. One significant trend is the increase in cost sharing between employers and
employees. More than 60% of employers recently surveyed have said they will increase employee healthcare
contributions such as out-of-pocket maximums and deductibles over the next year. While understood by
employers as a necessary strategy to combat escalating premiums, employees are left with more financial
exposure than ever before as coverage gaps continue to greatly widen.
Employers can help employees bridge those gaps with a properly implemented voluntary supplemental
health benefits offering. Voluntary benefits are insurance programs that are offered at the employer’s
workplace at zero cost to the employer’s bottom line. These benefits are 100% employee funded through
payroll deduction, whereby most programs are tax favored for both the employer and the employees alike
through the use of Section 125 (Pre-Tax).
Voluntary employee funded benefits are here to stay and employers who make them available to their
employees give themselves a very significant and competitive advantage with respect to attracting and
retaining their most valuable asset; their employees.
Raw Data

57%

41%

88%

52%

41%

63%
5,209 Employees Surveyed from Across the United States *
Percentage of employees surveyed who are likely to accept a job with a slightly lower
compensation but more selection and better employee benefit options being made available.
Percentage of employees surveyed who said that maintaining health care benefits was the
most important issue to them.
Percentage of employees surveyed who agree that having voluntary benefits available are part
of a well-rounded and comprehensive benefits program.
Percentage of employees surveyed who do not have access to voluntary benefits options but
would be likely to obtain them if their employers made them available.
Percentage of employees surveyed who are likely to look for new jobs in the next year, but say
that improving their benefits package is one simple thing employers could do to keep them in
their jobs.
Percentage of employees who see a growing need for voluntary programs due to:
- Rising Medical Costs
76%
- Increasing Coverage Costs 66%
- Increasing Deductibles and Copayments
- Changes Resulting From Healthcare Reform
61%
51%
Win-Win for Employers & Employees
EmployERs:
Zero Cost Offering
- Complements employer’s
health & wellness strategy
- Expands core benefits without
additional employer contribution
- Helps attract and retain employees
- Communication and education
services available for core benefits
- Allows employers and HR to do more with less
- Provides potential payroll tax reduction, per
each employee enrolled on a pretax basis
- Offers tremendous value added services
Strategy
EmployEEs:
Employee Funded 100%
- Provides financial security and peace of mind
- Safety net for unexpected medical costs
- Convenient and affordable through payroll
deduction and product specific pretax access
- Policies are traditionally fully portable
- Access to group rates
- Rate stability, regardless of age or usage
- Simplified underwriting with
with minimal health questions
- GI (Guaranteed Issue) available
- Choose coverage based on personal needs
Elements of a Successful Voluntary Benefits Strategy
Flexibility:
As employees move through various stages of their lives, industry best practices
dictate that a suite of products be offered to fit corresponding and ever changing
employee benefits needs, wants, and desires.
Choice:
A thoughtfully designed voluntary benefits program will offer a plethora of
choices for each eligible employee. Every employee has different needs and their
own unique situations. Personalization is the most important reason to offer
voluntary benefits.
Customization:
Voluntary benefits must address the preferences and specific need that
employees of different ages, backgrounds, and experiences will have when
seeking new benefit options.
Targeted:
Voluntary benefits can be used to address increases in core healthcare premiums,
deductibles, and copayments.
Efficiency:
When implemented properly, voluntary benefits provide crucial education,
communication, and administrative efficiencies.
Content, verbiage, and material listed herein was pulled from various voluntary benefits carrier and brokerage specific documents, brochures, and flyers that SBG partners with. Carriers and
brokerage partners include but are not limited to Aflac, Colonial, GBS, Transamerica, Trustmark, and more. SBG aggressively shops the voluntary benefits market to bring best in class products and
services to properly align and fit with every client’s unique needs. *The raw data listed herein was from the 2014 Aflac Workforces Report that was conducted in January 2014 by Research Now and
includes responses from 1,856 benefits decision-makers and 5,029 employees from across the United States.