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Why selling ancillary health benefits is so hard

This year, offering benefits other than major medical can be ... humbling.

By Allison Bell | Updated on October 03, 2014

Jay Starkman, the chief executive officer of Engage PEO, a professional employer organization (PEO), laughed a little at the idea that the midsize employers his firm serves might start thinking any time soon about buying employer-paid dental, vision or disability benefits. “All of the attention these days is on major medical,” he says. “The employers are not concerning themselves with ancillary products, for this year or next year.”

John Haslinger, a vice president at ADP, the payroll services and benefits administration, has run into the same lack of employer interest in products such as dental insurance, vision insurance and disability insurance. “They’re letting these plans go almost into auto pilot,” he says. In some ways, that indifference may be helpful to brokers who would like to go skiing while most of the in-force plans they serve keep themselves in force. “I have seen no trend whatsoever for employers to drop benefits,” Haslinger says.

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