As employers vie for top talent, benefits advisors and brokers play a critical role in helping employers choose attractive benefit offerings that resonate with employees. Traditional workplace benefit packages, while important, are no longer the sole driving force behind employee satisfaction and loyalty that they once were. Especially among younger generations entering the workforce, additional employer benefits are gaining momentum.

Lincoln Financial Group found that 86% of employees surveyed saw insurance benefits other than medical insurance as a "must have" in an employer's offerings, underscoring a significant shift in employee priorities. 

The changing landscape of employee benefits

Demand for non-medical insurance benefits, such as disability insurance, life insurance and critical illness coverage, is on the rise. The shift is caused by several key drivers, including the current economic climate and the impact of COVID-19. In an inflationary post-pandemic world, 82% of employees surveyed said they were seeking financial protection against expenses or lost income in case of an unexpected event, according to Lincoln's research. The current economic climate has also led 83% of workers surveyed to reevaluate at least one aspect of their life, finances, work or retirement. An even higher proportion of Gen Z (91%) and millennial (89%) workers said they were reevaluating their finances and goals, which is especially notable as millennials make up more than a third of U.S. workers

Additionally, and unsurprisingly, 92% of Gen Z and 88% of millennials surveyed are interested in receiving financial aid from their employers, as 58% of surveyed employees hold credit card debt and, on average, workers in their 30s have the highest number of competing financial priorities. Knowing this, there are several benefit options employers can choose from to help lessen the blow of an unforeseen and costly life event their employees may face.