New research shows employees value good benefits education
American workers say understanding their benefits is very important —
and there’s a lot their employers could do to improve benefits
communication. That’s according to new research commissioned by Colonial
Life & Accident Insurance Company and conducted online by Harris
Interactive® in late February.
The survey queried 2,111 U.S. adults age 18 and older employed full or
part time about the benefits education available to them at work.
Individuals whose employers offer benefits are nearly unanimous at 98
percent in saying it’s at least somewhat important to understand the
benefits provided to them by their employer, and a strong majority — 73
percent — say it’s very important.
Employees also feel strongly about making sure they have enough
financial protection for themselves and their families: 97 percent say
it’s at least somewhat important, and 67 percent say it’s very
important. Other factors employees ranked highly in the survey included:
-
Having choices to customize the benefits package — 95 percent
say it’s at least somewhat important; 59 percent say it’s very
important.
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Receiving regular information updates from their employer about the
benefits program — 95 percent say it’s at least somewhat
important; 53 percent say it’s very important.
-
Having convenient access to a benefits expert to talk with
face-to-face — 90 percent say it’s at least somewhat important; 46
percent say it’s very important.
“Clearly, employees want access to information and understand the
importance of their employer-provided benefits in protecting their
families’ financial well-being,” said Steve Bygott, assistant vice
president of marketing analysis and programs at Colonial Life. “These
survey results don’t surprise us, but they send an important message
employers need to hear if they want to get the most out of their costly
benefits investment.”
Employer benefits communication often ineffective
In fact, employees don’t give their companies very high marks for the
effectiveness of their benefits communication. Only 60 percent say it’s
fairly or very effective, and 9 percent say it’s not at all
effective.
Not surprisingly, then, only about a third (32 percent) of individuals
whose employers offer benefits say they’re very comfortable making
decisions about the benefits available to them at work. Employees with
total household income of less than $35,000 report struggling a bit
more, with only 25 percent saying they’re very comfortable with benefits
decision-making. They’re also much more likely than workers with
household income of $50,000 or more to say they’re not at all
comfortable: 12 percent compared to 3 percent, respectively.
Improved benefits communication options
Employers can take several steps to help workers better understand their
benefits, according to the survey. The top choice among options offered
in the survey is providing benefits information employees can access at
home or at work, with 38 percent of employees saying this change would
be helpful to them. Equally desired at 37 percent is providing benefits
information that’s easier to understand. And more than a third — 34
percent — would like their employers to provide an opportunity for them
to talk with a benefits expert on company time.
“Individual, face-to-face benefits counseling has been shown in other
surveys to improve employees’ understanding of their benefits,” Bygott
said. “And among those who participate in such as session, they’re
nearly unanimous in believing it was valuable to them.”1
Other benefits communication changes employees say would help is
receiving benefits information more frequently (31 percent) and
receiving benefits information that’s more personalized to their needs
(30 percent).
These survey results and other benefits research that can help employers
maximize their benefits investment through improved communication will
be available in a new white paper available on Colonial Life’s website
in mid-April.
About Colonial Life
Colonial Life & Accident Insurance Company is a market leader in
providing financial protection benefits through the workplace, including
disability, life, accident, cancer, critical illness and supplemental
health insurance. The company’s benefit services and education,
innovative enrollment technology and personal service support more than
79,000 businesses and organizations, representing more than 3 million
working Americans and their families. For more information visit www.coloniallife.com
or connect with the company at www.facebook.com/coloniallifebenefits,
www.twitter.com/coloniallife
and www.linkedin.com/company/colonial-life.
Harris Interactive Survey Methodology
This survey was conducted online within the United States by Harris
Interactive on behalf of Colonial Life Feb. 27-March 1, 2013, among
2,111 adults ages 18 and older. This online survey is not based on a
probability sample and therefore no estimate of theoretical sampling
error can be calculated. For complete survey methodology, please contact
Jeanne Reynolds at jdreynolds@coloniallife.com
1 Colonial Life benefits post-enrollment survey, July 2012
