Voluntary Products and the Small Business Market
Businesses with 10-99 employees make up about 20 percent of all the business establishments in the U.S. and employ about 25 percent of the employees. Still, this market has the lowest penetration rates for voluntary sales. Just 50 percent of small employers offer voluntary products today compared to 70 percent or more of larger employers, according to a study recently released by Eastbridge Consulting Group.
Still, this market offers a lot of opportunity for carriers and producers. And since there are so many employees in the market depending on the worksite for their income protection and financial security, it is important to find ways to reach this market in a cost effective and efficient manner.
The study, entitled Voluntary Products and the Small Business Market, analyzes carrier opportunities for selling voluntary benefits in the small employer market (defined as cases with at least 10 but fewer than 100 employees). Specifically, the report looks at:
- The size of the small business market
- Which products are sold in this market
- The characteristics small employers look for in a voluntary carrier
- Attitudes of employees in the small business market
- What is needed to successfully compete in this market
By knowing this information, carriers will be in a better position to compete in the small business market.
Order Info: Voluntary Products and the Small Business Market is
available for purchase for just $1,000. To purchase
a copy, you can email Eastbridge at info@eastbridge.com or
call (860) 676-9633. Published
2007.
Table of Contents
1. Executive Summary
A. Report objectives
B. Key Findings
C. Eastbridge Observations and Recommendations
D. Methodology
2. Detailed Findings
A. The Market
1. Size of the Market
2. Products Typically Offered
3. Prevalence of Voluntary
B. The Broker Viewpoint
1. Case Size
2. Attitudes toward the Small Market
C. The Employer Viewpoint
1. Attitudes towards Benefits
2. Reasons for Offering Voluntary Benefits
3. Voluntary Products Offered
4. Benefits Review Process
5. Interest in New Voluntary Benefits
6. Buying Preferences
7. Desired Carrier Characteristics
8. Reasons for Switching Carriers
9. Attitudes on Enrollment
10. Benefits Communication
11. Reasons for Not Offering Voluntary
12. Reasons for Discontinuing Voluntary Programs
D. The Employee Viewpoint
1. Product Importance
2. Product Ownership
3. Interest in Buying
4. Impact of Medical Insurance Premiums
5. Importance of Choice in Benefits
6. Reasons for Buying Voluntary Products
7. Enrollment
8. Enrollment Satisfaction
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