Enrollment season is upon us, and there’s no better time to ensure your employees understand their coverage options and unique needs. This is especially true when it comes to disability insurance.
Putting the need in perspective
How long would you be able to make ends meet without your income?
That’s an intimidating — albeit, very important — question your employees should be able to answer. First, this helps them understand why disability insurance coverage is crucial, especially because of how it can help provide income protection should they be unable to work. And second, it’ll point out if they aren’t properly covered, or worse, if they don’t understand the risks of being underinsured.
Now that you have your employees’ attention, where do you go from here?
Step 1: Answer common questions right from the start.
According to LIMRA, less than one-third of working Americans have disability insurance. 1 While everyone at your company can benefit from enrollment information, be sure to focus on employees who may not be properly covered. Recent graduates and young professionals may not understand the risks of not being properly protected. To help address their concerns, focus on the following questions in your enrollment meetings:
- What expenses will this cover? Disability insurance benefits can be used toward every day expenses (rent/mortgage, utility payments) but also help cover payments for larger expenses such as student loans and children’s education/tuition.
- Will this just pay the bills? No. In fact, there are resources that may come with your disability insurance that employees may not realize they have access to. Promote additional benefits such as wellness and employee assistance programs, and demonstrate the variety of ways these resources can help them with their personal health and wellness needs and/or goals.
Step 2: Remind them why it can be a good deal to buy disability insurance through work.
There’s a variety of reasons for buying disability insurance through an employer that your employees may not even know about:
- Group pricing often is available, which can make premiums less than if an employee were to purchase insurance on his or her own
- Many employer-sponsored policies have limited — or no — medical underwriting
- They won’t have an extra bill; payment is deducted straight from their paychecks
Informed employees are able to make smart decisions about the type of coverage that’s right for them, so it’s important that your employees are in-the-know this enrollment season. To help you with these focus areas, we’ve put together an infographic to guide your disability and life insurance enrollment meetings. Download it and use it as a guide to help you make your enrollment meetings a success this year.
1Facts from LIMRA: 2014 Disability Insurance Awareness Month. LIMRA website. http://www.limra.com/uploadedFiles/limra.com/LIMRA_Root/Posts/PR/_Media/PDFs/2014-DI-Fact-Sheet.pdf. Accessed October 2, 2014.