According to a recent study conducted by Prudential insurance Company of America, 33% of employees do not have any disability insurance to provide them with financial security in the event that they or a family member were unable to work due to illness or injury.

This number is surprising since a large majority of employers offer some form of either short- (85%) or long-term (82%) disability insurance.

A further investigation took a look at the way workers are actually going about making those important decisions of what (and how much) coverage to choose.  The findings suggest several factors are at work:

  • Employees often underestimate their risk of becoming disabled, even if a close friend or family member has faced a similar situation.
  • Pointing out the risks of disability, including its causes and some specific expenses that should be considered, helps to bridge the gap between recommended coverage vs. the amount participants otherwise select.
  • Most employees spend less than 30 minutes thinking about which coverage to select, meaning benefits information must be communicated quickly and efficiently.

At Sequoyah Group, not only can we help employers with finding the right benefits options to offer their employees.  We can also help those employees understand their need for options such as disability insurance and choose the coverage that’s most appropriate for them and their families.

Please let us know if we can help you or your employees in this area.  You can read the full text of the article from Employee Benefits News that details more information from these studies.