Workplace life insurance, disability insurance and supplemental health products sales all rose in 2024, according to LIMRA’s 2024 workplace benefits sales surveys.
It marked the fourth consecutive year of sales growth. Employers are clearly using their workplace benefits programs to compete for talent in a tight job market, said Patrick Leary, corporate vice president and head of LIMRA workplace benefits research.
“Our research finds more than 60% of workers are at least somewhat more inclined to stay with their employer because of their benefits package so it is not surprising that workplace benefits sales remained strong,” Leary said. “Sales growth was widespread with 7 in 10 carriers reporting gains year-over-year.”
Life insurance
For the fifth consecutive quarter, workplace life insurance new premium increased. Total workplace life insurance premium was over $925 million in the fourth quarter, a 10% jump from prior-year results. While the number of employer groups sold fell 1%, participants rose 9% in the fourth quarter.
Disability insurance
Total workplace disability insurance new premium was $1.1 billion in the fourth quarter, 12% higher than fourth quarter 2023. Short-term disability premium rose 6%, and long-term disability premium increased 20% in the fourth quarter.
Supplemental health products
U.S. workplace supplemental health product sales, which includes critical illness, accident, cancer, hospital indemnity, and other supplemental health insurance products,* dipped slightly in the fourth quarter. Supplemental health new premium totaled $686 million in the fourth quarter, down 2% from the same period last year.
LIMRA’s workplace benefits sales surveys for life insurance, disability insurance, and supplemental health represent at least 90% of their respective annualized premium markets.