Harris Survey cited in the C-Eye today

12% OF EMPLOYERS PLAN TO BUY LTC INSURANCE IN THE NEAR FUTURE!

Harris Interactive Inc. conducted a survey in May and June 2001 for MetLife
about employers' attitudes toward voluntary employee benefits, for which
employees pay the entire cost. Findings include:

• Most employers consider employee retention (78%) and controlling health/welfare benefits costs (73%) as their primary benefits objectives.

• Other objectives include reducing HR administration costs (ranked 6th of 8, 11%) and addressing more of the diverse needs of employees (ranked 7th, 11%)

• Providing employees with benefits designed to enhance the work/family balance is rated as the most important benefits strategy by 58% of respondents.

• Other strategies include offering employee self-service online (ranked 3rd of 9, 38%), offering a wider array of voluntary benefits (ranked 4th, 26%) and cost shifting to employees (ranked 5th, 24%).

• Convenience is the top-ranked incentive for purchasing voluntary benefits rather than individual coverages without employer involvement.

• Perceived better value and guarantee issue are other attractive features of voluntary benefits.

• About 90% of respondents offer, or will offer within 18 months, at least one voluntary benefit.

• Optional term life insurance is the most popular voluntary benefit offered (66% of respondents), followed by disability (53%), AD&D (49%).

• LTC ranks 5th, with 28%, and GUL ranks 7th at 21%.

• More employers (12%) plan to offer voluntary LTC in the next 18 months, than any other benefit.

• Employers providing voluntary benefits tend to be more progressive in their applications of technology to employee benefits.

• Over 40% of employers with 1,000 or more employees, and 18% of smaller firms offer an employee benefits web site for their employees.

• The percentage of employers across all sizes using employee benefits web sites is expected to nearly double over the next 18 months to 57%.

• About 63% of firms with more than 5,000 employees rate expanding employee self-service is their top strategy for utilizing the internet.

Sources:
MetLife, Inc.

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