FOR IMMEDIATE RELEASE
New Study Highlights Trends in Ancillary Benefits by Employer Size, Region, Industry. Ancillary Benefits Predicted to Be a Greater Differentiator in 2013.
Recognized as the only source for local and regional health plan data, EBS Capstone offers Massachusetts employers ancillary benefits benchmarking report.
Newton, MA - April 9, 2013 – EBS Capstone and United Benefit Advisors (UBA) predicts ancillary, which includes voluntary, employee benefits will be a greater differentiator in 2013 than ever before, and today released preliminary results from a new study with responses from nearly 12,000 employers. Findings indicate vast differences in ancillary benefits offered by employer size, region and industry, highlighting the importance of using local benchmarking data in benefits planning.
For example, only 0.5 percent of the employers in the survey offer on-site clinics, however among employers responding to the question with more than 500 employees, the average was 7.4 percent. Perks such as pet insurance revealed similar differences for employers responding with 8 percent of employers with 1000 plus employees offering this benefit, but less than 0.5 percent of smaller employers with less than 200 employees included it in their benefits packages.
“As employers recognize the diversification of generations in their workforce, they are looking for more creative ways to meet employee benefits needs. Clearly, the flexibility to offer dental, life and long-term disability to a workforce can help retain and attract top talent. In addition, employees are being more and more mindful about where they allocate their benefit dollars. Ancillary coverage can often help meet those needs for employees and their families.” said Mim Minichiello, Senior Partner and Chief Operating Officer for EBS Capstone.
Other highlights from the survey include:
• Nearly three quarters of all employers responding offer dental coverage, with almost all large employers providing the benefit.
• A regional breakdown shows membership discounts are most popular in the Northeast where more than 5 percent of employers answering offer the benefit to individuals compared to less than 2 percent in the central part of the country.
• Ninety-five percent of businesses replying with over 500 employees offered group-term life insurance, yet only 56 percent with less than 50 employees offered this benefit.
• An industry breakdown of short-term disability coverage shows that 37 percent of employers responding in all major industries offer the coverage.
• The responding construction, agriculture and mining NAICS industries offer long-term disability insurance much less often (31 percent) than the national average (45.9 percent).
• The national average for critical illness availability was just 7.9 percent of employers in the survey and long-term care insurance was offered by only 3 percent of the nation’s employers, much lower averages than are seen among large employers.
The UBA Ancillary Products Survey Executive Summary is a preliminary sampling of the data collected from a brief questionnaire included in UBA’s 2012 Health Plan Survey of 11,711 employers throughout the country. The in-depth UBA Ancillary Products Survey -- the only one of its kind in the market today – will provide benchmarking data broken down by size, industry and region from thousands of employers across the country results will be available in the late spring of 2013. Download the executive summary
, or visit a local partner firm
for help benchmarking your organization’s ancillary product offerings.
About EBS Capstone
EBS Capstone (www.ebscapstone.com
) is a full service insurance brokerage firm offering customized solutions in employee benefits, retirement plans and all lines of property/casualty.
About United Benefit Advisors
United Benefit Advisors is the nation’s leading independent employee benefits organization with more than 200 offices throughout the U.S., Canada and the U.K. Visit www.UBAbenefits.com
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