A Guide to Employee Benefits

Group employee benefits typically are a key part of the compensation packages employers offer to their employees in addition to their salary or wages, and these benefits can be critical in attracting and retaining top talent in all industries.

While wages and salaries make up 69% of total compensation, employee benefits make up 31% of total compensation, according to the U.S. Bureau of Labor Statistics' Employer Costs for Employee Compensation Summary.¹ Employee benefits are almost always a top three expense for employers, and for labor-heavy industries like healthcare, tech, finance and education, employee benefits are second only to wages. In manufacturing or retail industries, employee benefits take the third spot after cost of goods sold.

Employee benefits can include medical, dental, vision, disability, life insurance and wellness programs as well as other benefits like 401k retirement programs.

• Health insurance: Coverage for medical, dental and vision expenses
• Retirement plans: 401k plans, pensions or other retirement savings plans
• Life insurance: Financial protection for employees' families in case of death
• Disability insurance: Coverage for short-term or long-term disabilities
• Long-term care (LTC): Coverage for individuals who need help with daily activities due to illness or physical or cognitive disability
• Employee Assistance Programs (EAPs): Support services for personal or work-related issues
• Wellness programs: Initiatives to promote physical and mental health, such as gym memberships or wellness workshops
• Transportation benefits: Subsidies for commuting costs, such as public transit passes or parking allowances

Top-Rated Employee Benefits Help Clients Build Trust with Their Employees

Medical, dental, vision, life and disability insurance aren't usually seen as extras. since employees expected them to be included in the employee benefits packages. Additionally, 89% of employees believe their company could improve their benefits package to increase trust, especially through more options, better coverage and greater affordability, according to MetLife's 2025 U.S. Employee Benefit Trends Study.²

That's why diversification of benefits matters most. Employees today are looking for more than just medical coverage. Employers can build trust and loyalty with their employees by offering benefits that reflect the needs of their workforce.

Health or Medical Insurance

Health insurance, also known as medical insurance, is a type of insurance that helps cover the costs of medical and healthcare expenses. It provides financial protection against the high costs associated with illness, injury and preventive care.

• Medical care: Health insurance typically covers doctor visits, hospital stays, prescription drugs, diagnostic tests and other medical treatments.
• Preventive care: Many health insurance plans cover preventive services like checkups, vaccinations and screenings to help maintain health and prevent future illnesses.
• Emergency care: Health insurance ensures access to emergency medical services when needed.

Dental Insurance

After medical insurance, employees most want and value dental insurance, and many employees believe dental insurance is a must-have benefit.

Offering dental benefits not only encourages employees to seek preventive care but also reduces instances of workers taking off for unplanned illnesses and emergency dental work. Dental insurance promotes good oral health, which is essential to maintaining good overall health.

By implementing comprehensive dental benefits into your product portfolio, you can help your employer clients stay competitive and maintain a healthy workforce.

Vision Insurance

Vision solutions are the key to helping clients round out their benefits offerings. A majority of adults require glasses or contact lenses, and many employees see vision plans as a must-have benefit.

• Some plans don't include participation requirements — so any group of any size can benefit.

• Vsion plans are an easy add-on during open enrollment.
• Voluntary options allow employers to offer this benefit at no additional cost.
• Many rates are under $5 a month.

Life Insurance

Group life insurance is a popular benefit and can be an important factor when an employee is choosing to join a company. Buying life insurance through work is convenient, and it's usually offered at a lower cost to the employee. Plus, most of these plans are guaranteed issue, so even employees with preexisting or serious medical conditions are approved. For these reasons, group life insurance is an extremely sought-after employee benefit.

Ancillary Benefits

In addition to traditional benefits, an array of other ancillary benefits can help employer clients offer more coverage and better protect their employees and their loved ones. Employer-paid and voluntary programs also are available for consideration.

• Disability insurance (including state-mandated disability)
• Absence management
• Worksite (accident, critical illness, cancer, hospital indemnity)
• Pet insurance
• Legal insurance
• Data security
• International medical

Offering Employee Benefits Along With Other Types of Insurance

Insurance agents work with businesses and employees every day. incorporating employee benefits into their offerings is a natural extension for insurance agents and is an easy way to support clients with more services and to foster growth.

No matter what industry you focus on and no matter the business size, employers need solutions for employee benefits.

As an agent or broker, you can bring your clients more value by bringing employee benefits products to them, and our Employee Benefits team can help you be their trusted advisor for all their insurance and benefits needs.

Tips to start the benefits conversation:

• Start with renewals: Annual renewals provide an easy and natural opportunity to discuss new options and plans. Ask about your clients' current employee benefits. What plans do they have in place? Are their employees happy with their options?
• Provide benchmarking: Our team can help you offer industry benchmarking reports, which allow your clients to measure, evaluate and compare their employee benefits program against industry standards and best practices. These reports can open the conversation for what may or may not be working in their current offerings.
• Become a one-stop shop: Many employers welcome the opportunity to consolidate their insurance under one general agency. You can offer convenience by being able to provide your clients with employee benefits, helping you strengthen client relationships.

Dedicated Employee Benefits Team to Bring Your Clients the Expertise Needed for All Their Benefits

The Employee Benefits team has access to extensive regional and national partnerships, allowing us to help agents provide innovative solutions to their clients and achieve new levels of success.

A combination of innovative solutions can help employers manage their expenses while empowering employees to make informed decisions on their healthcare spending:

• Group employee benefits and consulting
• Benefits technology and HR support
• Employer legislative and compliance services
• Medicare, individual health and life insurance

With more than 100 general agency carrier and vendor contracts, we have strong relationships with top health insurance carriers and carefully vet and regularly reevaluate our partners — these relationships ensure you and your clients have access to the best employee benefits plans available.

We offer employee benefits insurance solutions for all employer group sizes — small, mid-market and large group — so whether you are looking for health insurance for small business owners or a group of 101+, we've got you covered.