It's no secret voluntary products are popular, but a new report finds they're especially popular among the nation's largest employers.
A report from Eastbridge Consulting Group finds that employers with more than 2,500 employees reported the largest volume of voluntary sales in 2013, accounting for 36 percent of sales.
That's up from 33 percent in 2012.
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Employers with 100-499 employees accounted for the second-most sales, with 17 percent, followed by 1,000-2,500 employees with 13 percent; 26-99 employees with 12 percent; 500-999 employees with 11 percent; 10-25 employees with 7 percent and those with less than 10 employees at 4 percent.
Employers with 500-999 employees, however, has the highest ESI (sales divided by the employee population), according to the breakdown. That group is closely followed by the 1,000-2,500 segment, "indicating both have good penetration," the report finds.
The least penetrated segments are the two smallest ones — under 10 lives and 10 to 25 lives — which Bonnie Brazzell, Eastbridge vice president, says is no surprise "since many carriers and brokers do not write in these smaller segments."
However, she said, "it is interesting that the 2,500+ employee segment had the third lowest ESI. This segment is obviously still underpenetrated despite having the highest sales."
According to Eastbridge, total voluntary sales increased 4.3 percent to $6.644 billion in 2013.
The data comes from Eastbridge's annual U.S. Worksite/Voluntary Sales Report, which analyzes data from more than 60 carriers.
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