VB Voice - September 2023

Advisory Board

Key Contributors

Editorial Staff

Co-Editors

Trevor Garbers

Trevor@voluntary-advantage com

Heather Garbers

Heather@voluntary-advantage com

For Media and Marketing Requests Contact:

Heather@voluntary-advantage com and Trevor@voluntary-advantage com

Steve Clabaugh CLU, ChFC

PwC

Mark Rosenthal Michael Stachowiak Colonial Life

Jessica DePhillips Mercer

Jack Holder EBIS

Michael Naumann Reliance Matrix

Jennifer Daniel Aflac

Seif Saghri BenefitHub

From the Editor...

I recently had the absolute pleasure to participate in a Carrier Broker Advisory meeting where we shared constructive feedback on all things to grow within our marketplace today Like many of you, we’ve been part of multiple advisory boards but with zero hesitation, I’m sharing with you today that this one just hit me differently As I sat in a room filled with industry leaders, I couldn’t but help have the following key take-aways

First, nothing will ever replace the ROI of having human-capital in the same room calibrating together to drive our industry trajectory upward. Second, agree or disagree with me but as a society, we are no longer living in the present, meaning we might be there physically, but most are failing quickly to stay mentally connected to their immediate environment, conversation, or to those individuals around them if not constantly stimulated to, topics that traditionally only benefit ourselves and or, their immediate brokerage communities. And lastly, when did it become socially acceptable if you disagree with someone that we immediately no longer appreciate them, value their opinion or, their way of life in general? So, to personally recap my flight across the country to help this key carrier grow its value proposition and gain market share, I’m now left with far fewer questions about this carrier partner and more about the future of our overall voluntary marketplace and how we elevate it to a new level based on these key changing human dynamics

By Trevor Garbers

Here's a starting point to potentially address the above topic: Some may know, but I like to ask carriers one simple question: What are you doing today that no one else is doing, that you are the absolute best at doing? To address the above takeaways from my meeting, I’d like to suggest that we all ask ourselves (internally) this exact same question What are you doing today that no one else is doing that you are the absolute best at doing? Once we discover our thing, there is absolutely nothing in our industry that we can’t achieve in changing the overall trajectory of the voluntary benefits marketplace To take that to the next level, how do we do that in our voluntary benefits marketplace as a whole? What is that one thing we are doing in our marketplace today, better than anyone else to compete with consumer self-space? Ie, Compare our industry’s body of work against the automobile industry, professional sports, etc You pick it Do we have that one thing yet today? Are we still trying to establish our one thing? Again, there is no right or wrong answer

If you were to ask me – I believe we do I firmly believe we are absolutely blessed to be part of something that positively impacts generations for years to come We have the special opportunity to deliver on a promise to be there at claim time – when it matters the absolute most We have an opportunity to serve an underserved market better than anyone else can today Do we need to constantly improve that path or policyholder experience

absolutely The “why” for forever will be a constant The “how” is where we roll-up our sleeves as servant leaders.

So, let’s not be afraid to collaborate, meet face to face, bring our one thing to the table and let’s not tear each other apart based on how we vote, speak, live, or dress and let’s be present and drive our industry forward. We are all incredibly blessed in what we do today and taking care of those that we and our policyholders love the most!

Eastbridge is the source for research, experience, and advice for companies competing in the voluntary space and for those wishing to enter For over 25 years, they have built the industry’s leading data warehouse and industry-specific consulting practice Today, 20 of the 25 largest voluntary/worksite carriers are both consulting and research clients of Eastbridge

Nick Rockwell President Danielle Lehman Senior Consultant

Industry Insights: Permanent Life Insurance

This is the 20th Anniversary of Life Insurance Awareness Month, created by Life Happens to educate more people about the importance of life insurance to protect their loved ones financially This year’s theme is “Life Insurance: For Anyone Who LivesYou might wonder if life insurance is worth it since you won’t be there to use it But the truth is, life insurance isn’t for the people who die It’s for the people who live From paying bills and the mortgage or rent, to funds for college and retirement, life insurance is for so much more than a funeral And many don’t know that life insurance can come with living benefits, including funds you can use while you’re alive to do things like buy a home, supplement your retirement income, cover an emergency expense and more. ”

There is a fair amount of attention paid by employers and the insurance industry to the importance of offering Basic and Group Term Life Insurance today. In light of that, we would like to align our focus in this article to the importance of permanent life insurance and the living benefits that these plans can offer We have brought in some life insurance experts including: Dan Kraft, Vice President, Product & Innovation at Trustmark; Russ Norris, Head of Worksite Distribution Strategy, MassMutual; Domenic M Salvato (Dom), Head of Large Market Sales & Distribution, Employee Benefits, Transamerica, and Janet Buzil, SVP Product Delivery Innovation and Delivery, Chubb Workplace Benefits to get their insights on permanent life insurance in the voluntary/workplace benefits market today

Please provide a short summary of your permanent life insurance offering:

Dan - Trustmark offers three unique permanent life insurance solutions. All plans can be offered as a hybrid solution that includes highly sought benefits for care services These care benefits can be offered with extension of benefits and full death benefit restoration riders to double or even triple the value of a policy In addition, all can be offered on a guaranteed issue basis, are fully portable and are backed by Trustmark’s reputation for responsive service:

Trustmark Universal LifeEvents® is a Universal Life plan that offers the unique feature of reducing the death benefit later in the life of the policyholder This makes for a cost-effective solution to maximize coverage during working years and, since long-term care benefits are tied to the face amount, this lets policyholders maximize their long term care protection as well.

Trustmark Universal Life is another Universal Life plan that follows a more standard design. Along with our LifeEvents product, it includes an option for long term care benefits, builds cash value and allows for death benefit and premium adjustments to give policyholders a blend of security and flexibility. Our new Trustmark Life + Care is a permanent life product to 121 with guaranteed rates and guaranteed benefits It offers an added level of certainty while also giving flexibility in care benefits; policyholders can receive care benefits for both professional and family caregiving

By Heather & Trevor Garbers

Why Permanent Life Insurance?

Customizable Coverage for Chronic Illness & Care

Mass Mutual offers a Group Whole Life insurance plan with a guaranteed death benefit, a guaranteed premium and guaranteed cash value. In addition, our Group Whole Life is participating permanent life insurance, meaning that the certificate is eligible to receive dividends each year, beginning on the certificate’s second anniversary. Although they are not guaranteed, MassMutual has paid dividends to eligible participating policy/certificate owners every year since 1869 Dividends can even be used to purchase additional paid-up coverage without evidence of insurability required

Russ

Janet - Our Lifetime Benefit Term (LBT) is a unique, industry-leading permanent life insurance plan with a Guaranteed Death Benefit and Living Benefits for Long Term Care Life Insurance premiums will never increase, and as along as premium is paid, there will always be a death benefit Death benefits can be taken early and tripled to supplement the cost of Long Term Care, including the only 75 month payment of LTC Benefits in the permanent life insurance market After receiving 75 months of LTC benefits, beneficiaries can receive $50,000 through our Restoration benefit. For example, coverage with a $100,000 Face Amount can pay out $350,000. LBT is fully portable and permanent, and can never lapse through age 121 as long as premiums are paid as due.

Dom - As part of our flexible suite of solutions, we offer two different types of permanent life insurance, universal and whole life insurance. Transamerica’s permanent life insurance policies are available in face amounts ranging from $10,000 to $500,000 Both offer a cash value component that grows tax-deferred until funds are withdrawn, and they can also be offered with one of our living benefits and/or extension of benefits or restoration riders We do not have reduction in benefits provisions at any age and offer generous guaranteed issue amounts of up to $200,000 Universal life insurance also offers the flexibility to change the amount and frequency of premium payments, as long as there is sufficient cash value in the policy to cover monthly deductions*. Finally, our universal life insurance can be designed to last until age 120.

What is trending in the world of employer based permanent life insurance today?

Janet– An aging population and dramatically rising long term care (LTC) costs are driving the focus of states to propose and develop publicly funded LTC programs to relieve the future financial pressure on state Medicaid programs. This is fueling sales of hybrid Life and LTC products, such as LifeTime Benefit Term Insurance, as private carrier solutions that can help.

Dom - There is a strong trend toward positioning hybrid permanent life insurance to help plan for the potential need for long term care services This insurance not only provides a death benefit if the insured should pass, but it could also include optional living benefits for extended care needs Many employees realize the need to plan for long term care, but haven’t done it yet or don’t know where to start, so brokers and employers have an opportunity to provide solutions for these unmet market needs In fact, in a recent Transamerica survey, 45% of participants said they plan to use insurance to pay for this type of care, but only 22% said they had extended care insurance

Cost of insurance and care services, as well as access to coverage, are key contributors to the delay in getting this protection. States are also looking for ways to help protect their residents from these costs. This is a good opportunity to build more competitive benefits packages and help employees better prepare for the potential financial and health concerns they may face.

Dan - One of the most exciting trends we are seeing is an increased understanding of the need for supplemental life insurance In a competitive job market, employers understand that their benefits package can make a difference in landing the hires they need to support their business While it’s been undervalued in the past, that’s not the case anymore We are also seeing employers take a more involved approach to how they offer their life insurance Most are pairing a voluntary offering with an employer-paid plan Or, alternatively, they’ll offer an employer-funded plan with a buy-up. Either way, life insurance is moving more and more into a central role when employers are weighing their benefits package.

Russ – We are seeing employers increasingly prioritizing the financial well-being of their employees driving a need for more comprehensive benefits that enhance their workforce’s financial security for the long term. Another prevailing trend is clearly the interest and attention placed on living benefits offered through permanent life products Our GWL has what’s called a Chronic Care Benefit, that is automatically included with coverage So if a certificate owner should experience a qualified chronic illness, they can access this benefit Some of the perks that come along with it include: an immediate lump sum payout (in most states), there is no plan of care required, there is no additional premium or underwriting (there is only a cost if the benefit is exercised), there are no conditions on how that money is spent, and on top of all that if the benefit is never used, they never pay for it

What are differentiators for permanent life insurance in our marketplace today?

Janet - Because of the growing interest in hybrid insurance plans with coverage for both Life and Long Term Care, certain features of hybrid life insurance plans can be real differentiators in the market This includes things like a tax-qualified LTC Benefit that complies with section 7702B of the tax code and may satisfy future state mandates as Qualified Long Term Care Guarantees also truly matter for this type of product:

Guaranteed Rates – Plans that have level Life Insurance premiums that are guaranteed never to increase are extremely important for the long term. This ensures coverage is affordable and can stay in place when you need it most – at advanced ages when the need for long term care increases.

Guaranteed Death Benefits – Coverages like LBT that do not have automatic reductions due to age or have guarantees around minimum death benefits are critical. Access to funds for long term care is based on the amount of death benefit under the policy Again, you want a policy that provides coverage when you need it most - at advanced ages when the need for long term care increases

Guaranteed Issue and Portability – Flexible guaranteed issue underwriting limits and guaranteed portability for this benefit really make this accessible coverage and coverage that can last a lifetime Employees can take their LBT coverage with them, even if they change jobs

Dan - Given the growing need for long term care amongst our population and the swirl of discussion around long term care legislation, long term care benefits are a huge differentiator. But, more importantly, it’s not just offering options for long term care, it’s how those benefits are offered that makes a difference. Can you extend the care benefits? Are you able to fully and immediately restore the policy’s death benefit if it’s advanced for care? Will care benefits ever be reduced? Will long term care rates ever change?

2

Basic Life: Funeral Expense Voluntary Term Life: Debts & Dependent Care

Life insurance is, in many ways, a straightforward product At Trustmark, we are strong believers in the value we provide by adjusting coverage to life needs over time A reduction in death benefit in later years (while care remains level) helps control costs so policyholders can maximize those important care benefits

What methods have you seen yield the most success when it comes to enrolling & educating employees in these plans?

Dom - Education Offering the right benefit solutions, supported by ongoing education, communications, and planning tools will help employees make informed decisions and get the most value out of their benefits Unlike term life insurance, permanent life has more complexities that need more explanation. One-on-one consultations, group meetings, and access to trained call center representatives, typically lead to more successful enrollments with higher participation than the average we tend to see for self-service enrollments. We’ve also received terrific feedback on our decision support tools because they are simple for employees to understand. Including sample scenarios for each product in communication materials to help explain how an employee could qualify for benefits and how those benefits would be paid is also helpful in addition to, positioning universal life insurance after term life on the benefit admin platform with a clear description of the unique benefits it offers vs term life

Janet - Benefits communication and education today requires a full omni-channel approach to reach the most generationally complex and diverse workforce in history This means reaching the employee population through every channel available – at home, in the workplace, email, Intranet, Internet, and more – and requires a high degree of relevance, or personalization

We’ve seen significant increases in enrollment engagement and participation when we work together with the employer to create a co-branded and custom approach, catered to the professions and industry of the audience. We’ve also seen, like communications, advantages in supporting multiple enrollment methods – online self-service, telephonic and in-person. In today’s diverse workforce, with post-pandemic hybrid and work from home models more frequent, our ability to reach and engage employees requires more flexibility and choice.

Dan - Consumer expectations are changing The trend, not just in insurance, is ease of access We’ve all become used to an easy customer experience, short and sweet messaging and fewer administrative hiccups – the benefits world is no exception

With that in mind, there’s a trend towards effective digital communication for employees surrounding enrollment (effective being the key word there) Concise, engaging email, video, text message and web resources are a must

The highest level of success in enrolling and educating employees in voluntary benefits has been achieved through benefits brokers and their clients who are completely engaged and involved. It’s often the result of one or more of the following methods:

Access to employee data to help inform generational and life-cycle messaging

Multi-channel communications focused on awareness and education

Real-time support in the form of group meetings, oneon-one meetings, and informed call center representatives

Online enrollment with flexible options

Russ Norris, Head of Worksite Distribution Strategy, MassMutual

While its effectiveness in contrast to other methods can be questioned, we can’t deny that self-service enrollment has become more common, and the use of self-service only heightens the importance of effective communication and effective enrollment experiences

On top of that, administration is trending towards simplicity as well More and more, we’re seeing employers go with an ACH billing model; carriers are deducting payments directly from policyholders’ bank accounts and bypassing the billing process for employers. It simplifies the life of the employer, uses a familiar process for employees and pays dividends on the back end in terms of portability and policy retention.

From the Author: Permanent Life Insurance options have been around for decades but their recent resurgence in importance through workplace benefits can be attributed to:

Renewed interest in supporting employees by providing robust financial wellness resources and offering them benefits that allow them to customize their employers’ offerings to their unique needs Advances in technology that assist in the communication, enrollment, and administration functions

Carriers enhancing their plans to fit the growing needs of the market. As you collaborate with your clients to provide them with robust benefit strategies to assist in the recruitment, retention, and wellbeing of their employee population, don’t forget this valuable benefit, their beneficiary may thank you one day.

Dan Kraft, Vice President, Product & Innovation at Trustmark - Dan joined Trustmark in 2014 and has over 30 years of experience in product management, marketing, and sales Dan oversees the product development and innovation team, which is responsible for incorporating the voice of the customer and staying abreast of the latest market trends to deliver valuable solutions to Trustmark customers. Dan received a bachelor’s degree in business administration from Marquette University in Milwaukee, and an MBA from DePaul University in Chicago.

Domenic M. Salvato, Head of Large Market Sales & Distribution, Employee Benefits, Transamerica - Dom brings 25 years of group benefits experience and focuses on developing relationships with national and regional health consulting firms to drive Transamerica’s value proposition. His sales team focuses on providing employee benefit solutions to consultants with clients over 2,000 eligible employees

Russ Norris, Head of Worksite Distribution Strategy, MassMutual - Russ is driven by a personal passion to improve the financial well-being of every working American by helping them be prepared for the unexpected, He has led the Worksite Distribution Strategy at MassMutual Worksite since 2019 and has over 25 years of financial services experience.

Janet Buzil, SVP Product Delivery Innovation and Delivery, Chubb Workplace Be the organization’s product team for all distribution channels She oversees strategy, d marketing, and enablement across Combined in the US and Canada, and for Chub Benefits (CWB). Janet joined the company more than a decade ago, previously serving as CWB’s Vice President of Marketing and Product Development. Janet earned a Bachelor of Arts from Columbia College and a Master of Business Administration from Northwestern University’s Kellogg School of Management

*Adjusting the premium of a universal life insurance policy could result in over- or under-funding the policy As a result, the life of the policy could be affected

1. In using the term “permanent,” it is important to note that the insurance could lapse prior to the maturity date based on the planned periodic premiums, guaranteed interest rate and guaranteed cost of insurance charges, or for non-payment of premium

2. Survey of Existing Transamerica Policyholders conducted from December 28, 2022 January 8, 2023

3 The Chronic Care Benefit is neither long term care, nursing- home, or home care insurance and is not conditioned upon the receipt of longterm care or medical services

Navigating the Shifting Life Insurance Landscape

By Alison Salka, Ph.D., LIMRA and LOMA

By all accounts, it seems, our world remains unsettled

The disruptions that shake the globe have a lasting impact on all aspects of our personal lives and the business environment.

The life insurance sector is clearly no exception. Factors such as pandemic aftershocks, economic volatility, rapidly emerging technologies, climate events, population change and geopolitical conflict each play a role in the evolution of the industry. This complex combination of forces is at work daily, shaping the life landscape

The Backdrop

Recent life sales trends have not been encouraging

Despite a lift in sales during the COVID-19 pandemic, overall ownership has been declining over the last decade If current trends continue, less than half of US adults will have coverage by the end of this year

Sales clearly begin with consumer awareness of their need for protection as well as the motivation to follow through with the process However, once awareness is achieved and appropriate products are available, distribution and technology must come into play to enable the sales themselves.

Unfortunately, distribution growth has not kept pace with population growth. The continued success of the industry depends greatly on maximizing the efficiency and reach of its distribution channels.

Distribution strategies matter more now than ever and they are becoming less monolithic More flexible approaches, such as digital platforms and embedded insurance, represent explorations into ways to expand distribution.

At the same time, private equity firms now view insurance distribution as an attractive investment opportunity, which is driving consolidation and aggregation of market power. This means carriers need to be more effective. To begin, it is beneficial to look at their business from the outside in like banks and retailers do rather than from the inside out

Key Themes

Four broad themes reflect the forces at work in the current life insurance landscape:

1.

Demographics are destiny. Life insurance customers look different than in the past, and families, as well as their insurance needs, are changing Carriers must ensure products are evolving along with them They must understand what people want, what they value and what they can spend to develop offerings that align with these priorities

Several trends redefine the customer base:

In the United States and North America generally, population growth is slowing According to the Congressional Business Office, the US population is expected to grow from 335 million in 2022 to 369 million in 2052 primarily driven by net immigration.

The U.S. population is becoming more diverse. After 2045, U.S. Census Bureau data shows non-Hispanic whites likely will represent less than half of all Americans.

Households are going to look different. There are likely to be fewer marriages and more divorces, which also suggests there may be fewer children According to Pew Research, 53 percent of Americans expect people to be less likely to get married in the future

The US population is aging with the number of Americans aged 65 and older more than doubling within the next 40 years Statistics show that by 2050, they are projected to represent 22 percent of the nation’s citizens

2. Consumer need is growing, but sales (mostly) are not. People recognize a gap exists between the proportion of those who say they need life insurance and those who have it. However, overall sales trends show flat results for 2022, approximately level with the amount of premium sold in 2021 (Table 1). LIMRA does not predict notable growth in 2023 and estimates modest growth in 2024.

To make a real effort to understand and address this disconnect, the industry should consider questions such as:

Are the products that worked for Boomers what the market really wants today?

Do our products reflect the reality of the market? What will future financial professionals expect?

Consumers also have other concerns that take precedence over life insurance The pandemic may have brought mortality top of mind, but today, Americans are more worried about the economy Based on a LIMRA U.S. Consumer Sentiment survey, currently, 32 percent are highly stressed about household finances. Among topics consumers have recently discussed with a financial professional, insurance coverage is not a priority, according to LIMRA research.

There is also a knowledge gap because many consumers simply do not understand life insurance. When we asked financial professionals what they feel their clients do not understand about coverage, the primary issue is not knowing how it fits with other financial products, according to a joint study by LIMRA and Ernst & Young (EY) This suggests insurance should be part of a larger, more holistic discussion focused on financial wellness

3. It is all about the experience. Today, excellent experiences and less-than-positive ones are equally on public display Smart carriers will invest in consistent efforts to deliver on customers’ increasingly high expectations

Building trust with customers is paramount. LIMRA research reveals room for growth when it comes to Americans’ confidence in the industry.

Less than one-third have a high level of confidence in financial advisors (32%), insurance companies (29%) or insurance agents/brokers (24%).

It is equally critical to ensure financial professionals have a positive experience LIMRA-EY research shows financial professionals typically place business with three carriers

The top carrier they work with earns 57% of their business Therefore, it is important to work closely with them and support them especially during the sales process (Figure 1).

4. Easy integration enables future innovation. While technological integration is easier said than done, it is imperative to move the needle in this area. A carrier’s technology needs to be advanced and flexible enough to make it easy for experimentation to occur across products and distribution.

Financial professionals have made it clear that centralized platforms would improve their experience Carriers must have the technology in place to foster a seamless process Currently, financial professionals feel forced to use a fragmented set of tools and platforms from various carriers to support their clients

In general, carrier technology is not fully optimized today Recommendations for achieving future success include addressing legacy systems, creating a simple way to connect to insurtechs and cleaning up data to ensure effective results.

Moving Forward

Tomorrow’s successful carriers will be unafraid to experiment in efforts to reach new markets. They will strategically and intentionally consider which factors will most impact their specific organization’s ability to keep pace and grow Competitive advantage may come from offering a new set of solutions or developing new partnerships Without question, the leaders will be open to change, innovation and connectivity for the greater good of all

Originally published in LIMRA LOMA MarkteFacts digital magazine, September 2023

Alison Salka, Ph.D., Senior Vice President and Director of Research, LIMRA and LOMA - Leads a team of 90+ professionals who execute research on financial services and insurance products, markets, distribution, and business strategy Areas of accountability encompass Member Benefits (life insurance, workplace benefits, and retirement), Center of Excellence for Advanced Analytics, Data Analytics, Corporate Library, Market Facts Magazine, Commercial Research, Market Research, Global Research, and Technology Research

Emphasizing Voluntary Benefits: A Marathon, Not a Sprint

By Mark Head, MDH Consulting, LLC

As the Fall 2023 O/E season begins to ramp up, employers, enrollment firms, and consultants and brokers are heading towards 2024 with a clearer view on evolving the traditional means of communication to embrace more of a marketing orientation – where voluntary/workplace benefits will continue to play a vital role.

A recent Goldman Sachs’ survey found that the fastestgrowing voluntary/workplace benefits from 2020 to 2023 were child and elder care assistance (177% growth), hospital indemnity (152%), pet insurance (120%) and critical illness (120%).

Think about those four products.

It’s easy to celebrate the growth of hospital indemnity and critical illness And it might also be easy to skip over the growth in child and elder care assistance and pet insurance as “not as core to our business” But we could also expand our perspectives to embrace a more holistic, adjunct advisory role that emphasizes the yearround – if somewhat background – presence of voluntary/workplace benefits in employees’ lives

Less transactional, more strategic

Where we’re already “in” with a client, let’s find new ways to add more value. Everyone has been talking about “claims integration.” Why? Because employers are demanding that all of their vendors provide more value.

They’re demanding that vendors become more proactive, more creative, and more present with HR and benefit teams throughout the year It’s no wonder; our clients’ HR and benefit teams are grappling with enormous challenges, of which these three are just a few:

The generational divide: Addressing the needs of a multi-generational workforce requires diverse strategies and nuanced messaging – all year long. For new hires, at life events, when leaves of absence occur – and even at termination. Tailoring messages to various age groups ensures that benefits are seen as valuable and relevant Baby boomers may be more interested in critical illness coverage, while younger generations might prioritize HSAs and FSAs Aligning these messages using the right tools, like live counselor sessions or virtual explainers, can build an ongoing connection with diverse employee groups

Deferred care catch-up: The lingering impact of COVID means employees may still be behind on healthcare needs How many wellness benefits –that we sell so ardently – go unclaimed in a given year? Or, are employees just going to forego PCP visits and then show up in the ER? Or as an inpatient admission? Acknowledging deferred care and helping employees catch up with medical needs should be part of year-round communications, leading up to next year’s O/E.

Specialty pharma costs: These costs have skyrocketed – and continue to do so, pushing up towards 50% of overall prescription spending. Creative use of claims analytics may yield findings where specialty pharma prescriptions could indicate compensable critical illness claims.

Next, when it comes to healthcare cost management, there are three high-level strategies:

Prevention

Early detection

Care (and cost) management

More on these below – because it’s no accident (pun intended) that the growing emphasis on claims integration is emerging as a do or die issue

Voluntary/Workplace Benefits as integral to all of the above

Let’s forget the ~20% of employees who just don’t go to the doctor, and focus on the 80% who do Of course, for those who also buy Voluntary/Workplace Benefits, how many of them don’t claim their wellness benefit in a given year? Some reports say roughly 70% - 80%. That’s a big deal. And it creates a meaningful opportunity to “come alongside” HR and benefits to include wellness benefit reminders in year-round benefits communications (also known as “marketing”).

Let’s also forget that health plans often (if not always) pay for preventive visits at 100%. VB wellness – indemnity benefits – put cash straight into employees’ pockets –and that’s something worth marketing – all the time This speaks directly to both prevention and early detection –major healthcare cost management techniques – and key employer goals

The next generation of claims integration

Hospital admission claims data can provide the underpinning for hospital indemnity claims While they may not be as often overlooked as wellness benefits, still, how valuable would it be to our employer clients if we included HI reminders in ongoing, year-round, VB marketing campaigns? And if our systems actually begin capturing that claims data in close-to-real-time, via APIs, well, let your imagination run wild.

Claims data also reveals critical illness diagnoses. And critical illnesses are just that – critical – not just to the employee – but also to the roles they play in the workplace. Just a little more proactivity in this arena can be a huge differentiator to our employer clients. Again, it’s all about being more proactive, more creative. And, in truth, more compassionate

Enter, personalization

Psychographic profiling (understanding personality, values, interests) allows more engaging, personalized messaging. Several different models can break employees into 5 or 6 behavioral profiles – just off of basic census data like name and address. How? Because pretty much all of Americans’ consumer data is tagged to our names and where we live – so looking up a persona data element becomes almost as simple as looking up someone’s credit score

If we know that one type wants to be in control, while others only go to the doctor as a last resort, and still others tend to put those who count on them –family and colleagues – ahead of their own health needs, then we can frame how the cash from accident, hospital indemnity and critical illness can help put them back in charge, or how it can help them navigate all their holistic and self-care protocols that insurance doesn’t pay for, or how it helps them ensure they can be there for family and duty, and not become a burden on them

Our market knowledge and passion can move the needle

For employers, VB specialists' market knowledge and passion can be transformative When we move more into the role of HR, benefit team and employee advocates, we can help deliver a more holistic experience for all of the stakeholders We can help assemble a team of specialists to evolve the employer’s communications into more compelling marketing And with platforms that allow centralized communication throughout the year, we can make a huge difference that builds on what employees enroll in during Q4. As Bart Sheeler notes, "Put all the information in one place and make it convenient, and adoption rates will increase."

It’s no accident (pun intended) that the growing emphasis on claims integration is emerging as a do or die issue

The last word

The O/E season is an opportunity to go beyond just communicating what's available, to explaining why employees should care what’s being offered. By adopting a marketing orientation and incorporating personalization as we move into the calendar year, we can build stronger relationships with our employer clients, and they can build stronger relationships with their employees. From psychographic profiling to creative technology and claims analytics tools, the shift from communication to marketing creates an engaging environment that emphasizes the importance of Voluntary/Workplace Benefits as integral to a comprehensive benefits portfolio. The marathon of O/E requires endurance, creativity, and adaptation to a continually evolving landscape, where personalization and year-round engagement set the stage for success.

Mark Head, President, MDH Consulting, LLC - focuses on innovation, strategy, business culture, business intelligence and analytics, as well as sales and marketing – with all of that oriented towards developing more enrollment and engagement in underutilized benefit programs In 2015, he established MDH Consulting in recognition of the need to drive increased enrollment and engagement in benefit programs His approach is built on using personalized, values-based communications – BenefitPersonas – to create more compelling and attractive messaging that carries a clear “what’s-in-it-for-me” to employees.

By Bill Bade, FSA, MAAA

Life products have long been a key ingredient to successful worksite portfolios, particularly for established carriers partnering with enrollment firms that utilize first year commissions to support open enrollment. Some carriers offer Whole Life products, others offer Universal Life products, and a few offer both Universal Life and Whole Life solutions These products have staying power, and our firm has seen a surge of product development recently to improve overall company persistency, introduce long term care riders, etc

You should also be aware of a third life product option: Group Term to 120, sometimes also packaged with a shorter age duration as Group Term to 100

Unlike annually renewable term, or term for a specified number of years (eg 10 Year Term or 20 Year Term), Group Term to 120 is designed to last an insured’s lifetime.

The 411 on Group Term to 120

The structure of the product provides flexibility and advantages that include the following:

The base Group Term to 120 product can be filed on the insurance compact. Filing on the compact, as opposed to filing with each individual jurisdiction, provides access to approximately 45 jurisdictions in a single filing. Streamlining the filing process improves speed to market and reduces state variations in coverage. There are also some riders that can be filed alongside the base product on the compact, though other riders may need to be filed with the individual jurisdictions based on their specifics.

Group Term to 120 can be less expensive than traditional Universal Life and Whole Life options. Group Term to 120 is a flexible product that can be designed with current and guaranteed rates, cash values or no cash values, and / or riders of varying cost This allows creation of a robust product with premiums that rival traditional Universal Life or Whole Life products, while at the same time allowing for more vanilla plans that cost far less This flexibility is particularly important when selling across distribution channels

Group Term to 120 is easier to administer than traditional Universal Life and Whole Life options. Group Term to 120 can be designed to functionally work more like a supplemental health product than a traditional Universal Life or Whole Life product. This affords carriers with an opportunity to improve billing and simplify the claims process, thereby also improving employer as well as consumer satisfaction

Group Term to 120 provides a chassis for important rider coverage. Like other life products, Group Term to 120 can be packaged with additional benefits such as, acceleration of death benefit due to terminal illness, chronic illness, or confinement in a long term care facility Similarly, benefits for extension, restoration, waiver of premium, short term care, children’s term, etc, may also be included in the product design Given the low volume of Group Term to 120 products in the marketplace, there is an opportunity for expansion and innovation of these additional benefits

Group Term to 120 is optionally illustrated. While there may be marketing advantages associated with illustrating Group Term to 120, illustrations are not mandatory. To the extent the product can be successfully marketed without illustrations, administration can be further streamlined. Group Term to 120 optionally provides cash values. Some carriers provide cash values on Group Term to 120 products and others do not This flexibility allows carriers to enter the market at different pricepoints and creates opportunities for unique product designs and strategies

Group Term to 120 is one of the more dynamic and sought after products in the current supplemental benefits market We hope this introduction to the product is helpful and encourages you to take a deeper look at this emerging product line!

Bill Bade, FSA, MAAA – Consultant - Bill founded Sydney Consulting Group with a strong desire to provide client-focused actuarial, compliance, and strategic support to carriers of all sizes in the supplemental benefits industry Sydney Consulting Group’s product expertise includes, but is not limited to, Accident, Cancer, Critical Illness, Hospital Indemnity, Long / Short Term Disability, Term Life, Universal Life, and Whole Life

Navigating the Future of Long-Term Care: The Rise of Life with Long-Term Care Insurance

By John Allen, EOI Service Company

In the realm of employee benefits, the landscape is ever-evolving, reflecting the changing needs and preferences of the workforce Among the array of options, Life with Long-Term Care Insurance, often referred to as hybrid insurance, has emerged as a distinctive and increasingly popular choice This innovative blend combines the benefits of long-term care insurance with the security of permanent life insurance, offering a holistic solution that resonates with the modern workforce.

Rising Demand and Shifting Landscape

According to the 21st Annual U.S. Employee Benefit Trends Study by MetLife, a remarkable 63% of surveyed employees view life insurance as an indispensable benefit. Within the portfolio of EOI, this sentiment is echoed, with 63% of clients embracing the life with long-term care insurance plan. This hybrid insurance product has not only gained significant traction but has also emerged as one of the fastest-growing plans yearover-year This upward trajectory can be attributed to its unique blend of long-term care coverage and permanent life insurance benefits

Legislative Catalyst: The Washington Cares Act

One of the main drivers increasing awareness of longterm care has been the Washington Cares Act in which the state of Washington implemented the first public Long-Term Care (LTC) program funded through an additional payroll tax for all working residents – the WA Cares Fund To date, no other state has implemented a similar program, however many have conducted feasibility studies and introduced legislation The expectation in the market is that other states, over the next several years, will follow Washington’s lead.

Addressing the Looming Need for Long-Term Care

The U.S. Department of Health and Human Services has projected that nearly 70% of 65-year-olds will need some form of long-term care during their lifetimes. As the aging population expands, the demand for medical and personal care services, whether at home or in a facility, grows exponentially The average duration of care is estimated at three years, with 20% of individuals requiring assistance for five years or more

Astonishingly, despite this impending need, only 7% of US adults over 50 possess long-term care insurance, according to the American Association for long-term care insurance

Influential Demographics and Buying Patterns

The decision to invest in long-term care insurance is profoundly influenced by a range of demographic factors Age, gender, marital status, income level, health status, family history, cultural background, educational attainment, and geographic location converge to shape an individual's approach to this critical coverage.

Age: Older individuals, approaching retirement age, often contemplate long-term care insurance as awareness of potential care needs grows. Conversely, younger individuals might opt for coverage to secure lower premiums and safeguard against unforeseen health events.

Gender: Both men and women seek long-term care insurance, but the longer life expectancies of women make them more likely candidates for such coverage For women, the prospect of future caregiving needs weighs heavily on purchasing decisions, as they strive to ensure financial preparedness and alleviate potential burdens on loved ones

Marital Status: Married individuals view long-term care insurance as a means to shield their spouse's financial security should one partner necessitate care Singles, too, recognize its value, leveraging insurance to guarantee coverage without a spouse as a support system.

Income: Higher-income individuals are more likely able to afford long-term care insurance premiums and see it as a way to protect their assets. Lowerincome individuals might prioritize other financial needs and rely on government assistance programs for long-term care.

Health Status: Individuals in optimal health seize the opportunity to acquire long-term care insurance while qualifying for lower premiums. Those with preexisting health conditions, however, might encounter challenges in securing coverage or face heightened premium rates

Family History: A family history of chronic conditions or long-term care needs might prompt individuals to consider purchasing insurance to lessen potential future costs

Cultural and Ethnic Background: Cultural attitudes towards caregiving and long-term care significantly shape purchasing choices While some cultures emphasize familial caregiving, others view insurance as a means to alleviate potential caregiving burdens, reflecting distinct societal norms.

What is the Washington Cares Fund?

The WA Cares Fund is a new program that gives working Washingtonians access to long-term care coverage when they need it. Contributions to the program begin July 1, 2023.

How the Program Works

The WA Cares Fund is an earned benefit that makes long-term care insurance affordable for all Washington workers as they age, without income or asset tests. Workers contribute 0.58% of each paycheck during their working years to be able to access a $36,500 lifetime benefit (adjusted annually for inflation) that can help pay for long-term care services when needed. Benefits can be used for a wide range of services like in-home care, paying a family caregiver, home safety modifications, home-delivered meals, transportation and more. Workers begin contributing to WA Cares on July 1, 2023 and benefits become available July 1, 2026. In order to use your benefit, you must meet a contribution requirement as well as a care need requirement.

Plan for Your Contribution

Washington workers earn $36,500 in lifetime long-term care insurance coverage (adjusted annually for inflation) by contributing 0 58% of their wages during their working years The typical Washington worker earning just over $50,000 per year will contribute about $24 per month

Exemption Available for Qualified Private Long-Term Care Coverage

Workers who had private long-term care insurance before Nov. 1, 2021 were able to apply for a permanent exemption until Dec. 31, 2022. The timeframe for applying for this type of exemption has closed. If you have an approved private insurance exemption, you will continue to be exempt permanently and (under current law) are not able to re-enroll in the program.

Awareness and Education: A heightened awareness of the costs and complexities associated with longterm care fuels increased interest among educated individuals, who recognize insurance as an integral component of comprehensive financial planning

Geographic Location: Varied regional long-term care costs and service availability exert influence, driving residents of high-cost care regions to prioritize insurance coverage.

Empowering the Future

Life with Long-Term Care Insurance emerges as a transformative solution in the landscape of employee benefits In contrast to the historically expensive and elusive nature of long-term care coverage, this hybrid plan presents a pivotal shift

It empowers policyholders by protecting assets, instilling peace of mind, and offering the autonomy to select preferred care options By integrating such plans into a company's benefits package, affordability is enhanced, and coverage is assured within defined limits.

Crucially, the journey towards embracing Life with Long-Term Care Insurance hinges on awareness and education. Through strategic plan designs, competitive price points, and personalized communication strategies, employees gain a clearer comprehension of the benefits at their disposal. This approach paves the way for broader participation, ensuring that this advantageous benefit becomes an integral element of holistic financial planning

John is President of EOI where he executes and develops strategic marketing initiatives on a national level, specifically focusing on the enhancement of value-added services that EOI provides for its clients Since joining EOI in 2009, John has played a key role in the area of strategic marketing, building an outstanding implementation team in the Chicago office and tripling sales in the Midwest region

Amadeo: The “OG” Level Five Leader

By Steve Clabaugh, CLU, ChFC

He was born 126 years before Jim Collins’ graduate students started the research project that resulted in the classic leadership book “Good to Great.” His passion for his company and the people he worked with and served demonstrate the truly timeless nature of relational leadership principles I am excited to share with you the story of Amadeo Pierro Giannini, better known as AP Giannini, and often referred to as “America’s banker”

If you recall, Collins’ definition of a Level 5 Leader is: “one who builds enduring greatness through a paradoxical blend of humility and professional will” Not only does AP Giannini exemplify that unique definition but the customers he served, and greatly cared about, are the same folks we serve today in offering Voluntary Benefits Let’s take a look at his life’s story and point out some lessons we can implement today

AP was born in 1870 to Italian immigrants Luigi and Virginia Giannini. His father farmed 40 acres of fruits and vegetables in the Santa Clara Valley of California. One day, when A.P. was 6 years old, he watched as his father drove up in a horse-drawn wagon full of vegetables. One of the farm’s employees approached Luigi and an argument ensued over the amount of $1.00. In a fit of anger, the employee pulled out a pistol and shot Luigi dead.

Virginia, with A.P. by her side, took on the responsibility of running the farm, selling the crops and transporting them to the markets in San Francisco. She maintained the success Luigi had established and, in the process, met Lorenzo Scatena, who transported her crops into the city After she and Lorenzo were married in 1880, they sold the farm and moved to the city where Lorenzo eventually formed L Scatena and Company, in the business of buying and selling fruits and vegetables for growers located up and down the river AP loved the business and “Pop” Scatena He worked each day from midnight until early the next morning before going to school At age 15, he quit school to work full-time in the business

When he got married at age 21, Pop granted AP half the business By age 31 he and his wife Clorinda had 11 children AP decided he had enough of the produce business and retired He had saved over $300,000 during his 15 years with Pop and sold his half back to him for another $100,000. This would be the equivalent of more than $10,000,000 in today’s dollars.

He may have retired from the produce business, but he didn’t retire from life. Over the years he had met and worked with hundreds of men and women in the fields, on the docks, on ships and other related jobs. He knew these men and women, mostly immigrants, had financial needs for seeds, plants, equipment, homes and families

In the early 1900’s, working class folks didn’t have access to banks. Banks were just for the very wealthy and, in fact, they considered the working class to be a bad risk for any type of loan. The only access they had to capital was through, often unscrupulous, loan sharks. The famous song “Mack the Knife” tells the story of the bloody collection tactics of a loan shark from that era

AP saw it differently, he took his savings and started a bank just for lower- and middle-income folks They were referred to in a condescending manner by the big banks as the “small people” He named it Bank of Italy and he started by making small loans to farmers, dock workers, stevedores and even housewives He and his first customers knew each other well and the business was quickly successful In addition to loans, he taught and encouraged folks to set aside money in savings for the future and sent his employees to the schools to set up tiny savings accounts for children He knew that starting early to build a relationship would enable the bank to win customers for life. It is said that some 60% of the children who started a penny savings account, went on to become long-term customers of Bank of Italy when they grew up.

For several years, the Bank of Italy was too small to have its own vault for cash, so he rented space from a large bank in San Francisco Following the San Francisco Earthquake of 1906, AP knew his customers would be desperately in need of money to live and recover from the devastation He rode the train, bummed rides in cars and trucks and walked, to cover the 17 miles from his home to the bank in San Francisco Taking out the $80,000 that was stored there, much of it in coins, he used a horse and wagon full of either produce or garbage (there are conflicting stories about this part), to hide the money from thieves and take it back to his home He hid the money under the floorboards in his house for safe keeping

The next day, he set up his first “branch bank” It consisted of a wooden plank set on top of 2 barrels. From there he met with his customers and gave them loans, based on a handshake, to get them through the crisis.

You may remember the scene from the movie “It’s A Wonderful Life”, where the main character, George Bailey, staved off a run on the savings and loan by giving out his own money to help his neighbors survive Director, Frank Capra used AP as the model for the George Bailey character and the traditional bankers of the day for the hard-hearted Mr Potter Years later, AP confirmed that not one loan went unpaid from that experience

A.P.’s bank was already a success when he came up with the idea of creating “branch banks” to serve folks in large and small communities. Over time he opened some 400 branches throughout the state, which angered the big banks, some of whom even suggested that the idea was somehow against the law Not only did he open local branches, but he hired local people to run them and gave local people the opportunity to buy stock in the Bank of Italy This “local” approach enabled managers to understand the needs and abilities of their customers to repay Some other innovations that angered the established banking institutions included: advertising for new customers, paying reasonable interest on savings accounts, charging reasonable interest rates on loans, and accepting a wide range of items as collateral for loans (including cows)

His banking for the “small people” paid off in profits so much so, that he was able to acquire a smaller bank with a big name He changed the name from Bank of Italy to the name of his new acquisition – Bank of America, which is the name it continues to operate under to this day

In 1929, the Great Depression hit the country and banks were hurt by the economic downturn like virtually all other businesses But because of their commitment to local leadership, Bank of America had fewer foreclosures than other banks During this time, AP was hospitalized in Rome with a life threatening illness He agreed to hire a Wall Street banker, Elisha Walker, to manage the company, along with A.P.’s son Mario. As the economic downturn continued, Walker determined that the company was failing and decided to shut it down and liquidate the assets. From his hospital bed, A.P. sent a message to his son, “there’s no compromise with right or principal.” Despite his condition, he sailed back to California and organized a stockholder revolt. His insistence that local folks be able to buy stock in the bank paid off when he and his team mobilized the “small people” shareholders to vote against the plans to close the bank He was able to capture 61% of the 200,000 stockholders votes and threw out the leadership team and went back to work to rebuild the business

Amadeo Pierro Giannini, “A.P. Giannini”, “America’s Banker”

There are many more fascinating stories about A.P. Gianinni and I recommend Todd Buchholz’ book “New Ideas from Dead CEOs” as a great place to start reading about A.P. and other incredible leaders from the past.

What are the lessons we, in voluntary benefits today, can learn from this “OG” Level 5 Leader?

1. Be proud of who you serve.

AP considered himself one of the “small people” and he loved serving them He was very proud of the homes, farms and businesses that were built and grew as a result of their ability to borrow and save

2. Offer products and services that meet the real needs of your customers.

Fair interest rates for savers and borrowers, along with a generous definition of acceptable collateral, enabled more people to benefit their businesses and families

3. Invest in the community in ways that benefit everyone.

A.P. invested in the dreams of a young artist by the name of Walt Disney, who wanted to create animated films.

He believed the emerging motion picture industry would become a huge boost to the economy and he supported many other producers and directors.

In 1932, he learned of a plan by a civil engineer for a unique construction project AP bought the entire $6,000,000 bond issue for the building of the Golden Gate Bridge

4. He built the business to serve others, not to enrich himself.

AP vowed he would never become a millionaire One time his accountant told him that his net worth was close, so he donated over $500,000 to provide educational scholarships for his employees and to fund medical research

Our industry, and our world today needs to develop more Level 5 leaders I hope this story will motivate you to develop the passion and dedication to become one.

As always, if you have questions or want to discuss more about relational leadership, please feel free to contact me at sjcsr@hotmail.com.

Steve Clabaugh, CLU, ChFC - started his career in insurance as a Field Agent, moving on to Sales Manager, General Manager, Regional Manager, Vice President, Senior Vice President, and President/CEO A long time student of professional leadership, Steve created the Relational Leadership program that has been used to train home office, field sales associates, mid-level managers, and senior vice presidents

Effective leadership today requires more than technical and professional expertise in a particular field It requires successful team building skills in equal proportion to knowledge, experience and talent The purpose of this program is to prepare and strengthen the skills of current and prospective future leaders in:

• Selection and Training

• Team Building Process and Challenges

• Mentoring

• Positive Problem Solving

• Effective Conflict Management

• Determining and Achieving the Best Outcomes

• Applying Classroom Principles to Real World Challenges

MultiPlan Acquires Leading Healthcare Data and Analytics Firm Benefits Science LLC

NEW YORK May 9, 2023--MultiPlan Corporation (NYSE: MPLN) (“MultiPlan” or the “Company”), a leading provider of technology and data-enabled cost management, payment, and revenue integrity solutions to the US healthcare industry, announced that it has acquired Benefits Science LLC (“Benefits Science Technologies” or “BST”) earlier this year, a next generation data and advanced analytics company that combines modern data science, including machine learning and artificial intelligence (“AI”), with deep expertise in healthcare to deliver solutions that reduce the cost of care and improve health outcomes

The acquisition will combine the capabilities of two leaders in the healthcare arena to provide cutting edge, differentiated solutions to customers across a full spectrum of healthcare channels and markets through a new Data & Decision Science service line. The acquisition unites MultiPlan’s 40+ years of experience and institutional knowledge in healthcare cost management and payment accuracy and its rich and expansive claims data with BST’s cutting-edge analytics and AI capabilities. Furthermore, the acquisition of BST strengthens MultiPlan’s foothold in large and fastgrowing adjacent markets by unlocking the value of its significant and expanding claims flows for in-network commercial, Medicare Advantage and other government programs, property and casualty, and supplemental insurance markets

BST’s Software as a Service (“SaaS”) platform adds bestin-class data and analytics capabilities that connect with over 160 carriers, plan administrators, and other healthcare stakeholders The platform ingests, validates, and stores massive amounts of data with exceptional accuracy, and applies advanced descriptive, predictive, and prescriptive analytics to help employers and their advisors, commercial health plans and government health plans to optimize decision-making and financial and clinical performance.

BST was founded in 2012 by a group of MIT-trained experts in data science, including Dimitris Bertsimas, Ph.D., who is recognized as an early pioneer in healthcare analytics and who serves as the company’s chief data scientist. Dr. Bertsimas will continue with BST post-closing Today, BST’s machine learning algorithms and AI software help about 75,000 employers to predict future risk and manage health plan decisions

“This is a tremendous milestone for MultiPlan This transaction brings together two leading healthcare technology companies that share a vision of solving healthcare’s most pressing problems,” said Dale White, CEO and President of MultiPlan “BST’s platform, products and intellectual capital, combined with MultiPlan’s customer reach and expansive claims data will deliver rich, actionable data rapidly and prescriptively to health plans and employers seeking to improve care, avoid cost, and achieve greater return on investment. I am very excited about the significant growth opportunities our new Data & Decision Science service line will generate for MultiPlan.”

Under the transaction agreement, MultiPlan will pay a consideration of $160 million. For the full year 2023 on a standalone basis, BST is projected to generate revenues of approximately $16 million with breakeven profitability MultiPlan expects the acquired company to contribute over $100 million of incremental annual revenues within the next several years and to approach corporate-level profit margins at scale

About MultiPlan

MultiPlan is committed to delivering affordability, efficiency and fairness to the US healthcare system by helping healthcare payors manage the cost of care, improve their competitiveness and inspire positive change Leveraging sophisticated technology, data analytics and a team rich with industry experience, MultiPlan interprets customers’ needs and customizes innovative solutions that combine its payment and revenue integrity, network-based and analyticsbased services MultiPlan is a trusted partner to over 700 healthcare payors in the commercial health, government and property and casualty markets For more information, visit multiplancom

About BST

Founded in 2012 in Boston, MA by MIT-trained data scientists, BST combines world-class technical knowledge and practical experience to harness powerful data-driven insights for the healthcare industry Their experts have extensive industry experience and unique backgrounds at the intersection of analytics, healthcare and software development BST is unique in the market in its ability to describe what has occurred, predict what’s likely to occur, and prescribe the next best action designed to mitigate future risks For more information, visit wwwbenefitssciencecom

Cigna Healthcare Enhances Supplemental Health

Solutions with Musculoskeletal Benefit

Musculoskeletal (MSK) related issues do more than impact health – they’re also a top driver of health care use and cost In fact, individuals with chronic conditions, such as MSK related issues, tend to have lower vitality compared to those without chronic conditions and the trend becomes more significant as the number of conditions increases.

Musculoskeletal (MSK) conditions impact 1 in 2 adults and account for an annual spend of $781 billion, making it the costliest condition in the U.S.

Cigna Healthcare continues to innovate and evolve their Supplemental Health product offerings to ensure relevancy in today’s multi-generational workforce with the launch of the new MSK Benefit The MSK Benefit is offered as an optional add-on to the Critical Illness insurance plans The innovative, one-of-a-kind benefit is designed to support employees during an unexpected hospitalization due to an MSK condition And with the “Plus” option, there’s also coverage for endocrine, vascular, and respiratory conditions

An unexpected hospitalization can be costly, disruptive, and stressful – which can leave employees and their families feeling a loss of control That’s why the MSK/MSK Plus benefit provides a cash payout directly to the insured. The money can be used however they like and can help pay for things like medical costs, transportation, childcare, groceries, and alternative treatments not covered by traditional medical insurance. There are no copays, networks, or deductibles to deal with.

Lisa Bombacino Morales, Director of National Accounts for Cigna Healthcare’s Supplemental Health Solutions adds, “The MSK/MSK Plus Benefit is an excellent voluntary solutions option for employers to provide a well-rounded package for employees and their families These important benefits deliver the resources they need to remain in control and focus on their recovery, so they can return to healthy life and work with confidence” For more information on Cigna Healthcare’s Supplemental Health Solutions, including the new MSK/MSK Plus Benefit, please contact:

LISA BOMBACINO MORALES

Director National Accounts New Business, Supplemental Health Solutions

Cigna Healthcare

M: 708.420.0305

2 Kruel, Brent Bio Functional Health Solutions, “The 3 Reasons Why Addressing MSK Conditions in Your Employees Should be your Number 1 Priority: Cost, Quality, and Access to MSK Care is Devastating the U.S. Workforce.” https://biofunctionalhealthcom/blog/the-3-reasons-why-msks-aredevastating-us-workforce/ July 2021

Cigna Health and Life Insurance Company

This article is not for use in NM, OR and WA

Product availability may vary by location and plan type and is subject to change All group insurance policies may contain exclusions, limitations, reduction in benefits, and terms under which the policy may be continued in force or discontinued For costs and details of coverage, contact a Cigna representative Policy not available in NM

Critical Illness plans or insurance policies are distributed exclusively by or through operating subsidiaries of The Cigna Group, including Cigna Health and Life Insurance Company (Bloomfield, CT)

978287 08/23 © 2023 Cigna Healthcare

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