Basic employer-paid life insurance is a key foundation to many U.S. workers’ financial safety nets. However, while the typical one or two times salary benefit might be enough coverage for some employees, others will have family and financial situations that require more. Offering supplemental life insurance on a voluntary basis is a cost-effective way for employers to help employees obtain the right amount of insurance for their needs. It is also a way to enhance the group life benefits program as an employee retention tool – an end result which employers may not realize. MetLife’s 9^th Annual Employee Benefits Trends Study found that 59% of U.S. workers say non-medical benefits such as dental, disability and life insurance are important factors in driving loyalty toward their employer, however, only 37% of employers thought so.

Employers want to know that the benefits they offer will be used by employees. With a little bit of effort, employers can implement a supplemental life insurance program that stays top of mind with employees, enjoys and benefits from greater participation rates, and helps reduce the number of underinsured workers—a win-win proposition that also has a great advantage for employers. Employees in the study who report that they are very satisfied with their workplace benefits are about three times as likely to feel more loyal toward their employer compared with those who are very dissatisfied with their benefits program.

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