Annual enrollment season is a critical time for employees to ensure they
make the best benefit choices for themselves and their families for the
coming year. While employees of all generations say they value the
benefits provided to them through the workplace, 61 percent were on
‘auto pilot’ and did not make any changes to their plans during the
annual enrollment season1 last fall – potentially missing out
on money-saving options available to them at work.
MetLife, a leading provider of employee benefits, is helping employees
make the most out of this annual enrollment season by encouraging
employees to stop auto-enrolling in benefits, watch
informative videos to help evaluate options, and enroll in the
benefits they need. MetLife, in partnership with the experts in DIY
online content, Lifehacker, a studio Gawker production, created an
educational video series to help employees make the right benefits
decisions for themselves and their families. The series features topics
including:
View the entire series online at MetLife’s new YouTube Learning Center: YouTube.com/MetLife.
“As we approach annual enrollment season, employees should take another
look at all of their benefits options – and take full advantage of the
informational and educational tools available to them. MetLife’s
research shows that while employees of all ages report that they value
their benefits because benefits mean they worry less about unexpected
health and financial issues, there are key differences in the concerns
and issues faced by each generation in the workplace,” said Michael
Fradkin, senior vice president, Voluntary & Worksite Benefits, MetLife.
“By becoming more educated about the benefits options available to them,
and taking the time to make the right choices, employees can help to
ensure that they are not “leaving money on the table” this annual
enrollment season.”
Generational Differences Drive Benefit Choices
MetLife’s 11th Annual Study of Employee Benefits Trends
found that generational differences can play a major role in the
benefits choices employees make, with nearly three quarters (74%) of
respondents saying they would value their employer offering more
personalized benefits geared towards their age group.
Generation Y Most Concerned with Job Security and Risks Associated
with Job Loss
Many Gen Y (born between 1981 and 1994) employees entered the workforce
during economic uncertainty and 44 percent say they are very concerned
about meeting monthly living expenses and financial obligations. Gen Y
employees are also heavily burdened by student debt and worry about job
security. More than half (54%) are concerned about having enough money
to pay bills in the event of a job loss.
Additionally, Gen Y is more likely than other generations to look to
their employer for help in achieving financial security through
benefits. More than half (51%) of Gen Y report that benefits were a very
important reason for why they chose to work for their current employer.
Given their financial concerns and interest in accessing benefits
through work, Gen Y employees should look for insurance plans with
prompt reimbursement, and where possible, take advantage of group
discounts and low deductibles.
Generation X Employees Feel Least Financially Secure
Gen X (born between 1965 and 1980) are most likely raising families and
their concerns focus on job security, covering monthly living expenses
and paying for children’s education. According to the MetLife study, Gen
X is concerned with both the present – in terms of making sure that
their children are covered and taken care of – and the future, with
concerns about their financial security as they age. The study found
that:
-
Sixty-three percent are concerned about the status of their retirement
savings;
-
Sixty-three percent are concerned about outliving their savings;
-
Nearly four in five surveyed do not have high expectations for support
from Social Security; and
-
Fifty-seven percent say they are willing to bear more of the cost of
benefits rather than lose coverage.
With many Gen Xers focused on raising children, during this annual
enrollment season they should look for comprehensive dependent coverage
with competitive and predictable costs and premiums.
Younger Boomers Feel Financially Squeezed
Younger Boomers (born between 1956 and 1964) are less concerned about
job security than younger workers, but 51 percent are very worried about
their financial security in the event of a disability or serious illness
and 35 percent are very concerned about paying for their children’s
education. Among their concerns:
-
Forty percent say they are living paycheck-to-paycheck
-
Seventy-four percent agree the amount of money they expect to receive
from Social Security will be significantly reduced by the time they
retire, compared to what recipients receive today;
-
Forty-three percent are very concerned about the status of their
retirement savings;
As Younger Boomers age into high-disability years (50-year-olds are
twice as likely to suffer a disability as 40-year-olds)2,
Younger Boomers should take stock of the disability insurance options
available to them through the workplace, and determine whether
supplemental disability insurance could help to alleviate some of their
financial concerns.
Older Boomers Have New Expectations
Older Boomers’ (born between 1946 and 1955) relationship with their
benefits has changed as home equity, retirement funds and their 401(k)
investments lost value due to the financial crisis. Of those Older
Boomers surveyed:
-
Fifty-four percent expect to delay retirement;
-
Thirty-five percent say they are very concerned about meeting
out-of-pocket costs that are not covered by their health insurance,
such as premiums, deductibles, co-pays and travel; and
-
Forty-five percent say they are very concerned about access to
affordable health care, though they are the least worried generation
about the availability of Social Security and Medicare.
A change in retirement planning reinforces the importance of closely
evaluating benefits options available to them. Older Boomers may want to
explore additional voluntary benefits options, like critical illness
insurance, that provide coverage for age-related conditions.
Methodology
MetLife’s 11th Annual Study of Employee Benefits Trends was conducted
during October 2012 and consisted of two distinct studies fielded by GfK
Custom Research North America. The employer survey comprised 1,503
interviews with benefits decision-makers at companies with staff sizes
of at least two employees. The employee sample comprised 1,422
interviews with full-time employees age 21 and over, at companies with a
minimum of two employees.
1 MetLife PSB Fall Enrollment Study 2013
2Social Security Disability Insurance is Vital to Workers
With Severe Impairments: Ruffing, K., Center on Budget and Policy
Priorities, August, 2012
About GfK
GfK is one of the world’s largest research companies, with more than
11,500 experts working to discover new insights into the way people
live, think and shop, in over 100 markets, every day. GfK is constantly
innovating and using the latest technologies and the smartest
methodologies to give its clients the clearest understanding of the most
important people in the world: their customers. To find out more, visit www.gfk.com/us
or follow GfK on Twitter: www.twitter.com/gfk_en.
About MetLife
MetLife, Inc. is a leading global provider of insurance, annuities and
employee benefit programs, serving 90 million customers. Through its
subsidiaries and affiliates, MetLife holds leading market positions in
the United States, Japan, Latin America, Asia, Europe and the Middle
East. For more information, visit www.metlife.com.
Photos/Multimedia Gallery Available: http://www.businesswire.com/multimedia/home/20131001006297/en/
Copyright Business Wire 2013