The third quarter of 2021 saw a significant increase in new annualized premium for workplace life insurance, disability insurance, and supplemental health products, according to LIMRA research. Patrick Leary, of LIMRA said, “Our research suggests non-medical benefits [are expected to] to rise at least 20% over the next five years.”
Workplace Life Up 29% in Q3
In the third quarter of 2021, total workplace life insurance new premium was up 29%, compared to Q3 2020. Year-to-date, total workplace life insurance premium increased 7%. In the first nine months of 2021, new permanent life insurance premium increased 13%, representing 14% of the workplace life insurance sold. Term sales grew 6% year-to-date, holding 86% market share for the workplace life insurance market.
“Our research finds that COVID-19 has raised workers’ awareness about the importance of workplace life insurance. In a recent survey, half of workers said workplace life insurance was more important to them due to the pandemic. This increased employee awareness, coupled with a tight job market, should continue to propel life insurance sales over the next several years,” Leary said.
Voluntary workplace life insurance premium jumped 50% in Q3. Year-to-date, voluntary life premium was up 11%. Growth in the voluntary market was widespread with more than 60% of participating carriers reporting growth.
Disability Insurance Up 11% Year-to-Date
Total workplace disability insurance new premium was 11% higher than the prior year. Total new premium for workplace disability was 5% higher than the same period last year.
Voluntary/employee-paid products drove the majority of the growth. Voluntary disability premium jumped 12% in the first three quarters while employer-paid premium increased just 1%. In the first nine months of 2021, long-term disability premium rose 4%, and short-term disability premium rose 6%, compared to the prior year.
Now is the time to take advantage of the demand for these benefits. Unum offers popular group voluntary or employer-paid term life insurance plans. Plus, the Unum offering through CoPower includes value-adds with more than the typical death benefit. Unum also offers popular long-term and short-term disability benefits.
Contact us today to find out how to get your foot in the door with employers that are looking for these benefits.
Rodney Mattos
CoPower Regional Sales Manager
rmattos@copower.com
916.261.9280
Schedule a meeting with Rodney
or
Jason Diffenauer
CoPower Sales Account Manager
jdiffenauer@copower.com
650.931.1731
Schedule a meeting with Jason