Why Voluntary Benefits Matter — And How They Help Everyone Win

In today’s employment market, it’s not enough to offer just a good salary. Employees expect benefits that protect them financially when life becomes unpredictable. Voluntary benefits are one of the most powerful, cost-effective ways for employers to strengthen their total compensation package, retain talent, and recruit talent.

What Are Voluntary Benefits?

Voluntary benefits are add-on coverages that go beyond the basics of health, dental, and vision. They’re designed to fill gaps in protection and give employees more choices without adding major costs for employers.

• Additional insurance / protection options offered alongside core benefits
• Typically, employee-paid via payroll deductions
• Examples include supplemental life insurance, accidental injury coverage, critical illness insurance, and hospital indemnity

Why Employers Should Care

Offering voluntary benefits doesn’t just help employees, it also creates clear advantages for employers. These programs boost satisfaction, reinforce company culture, and help organizations stand out in a competitive hiring market.

• Attract and retain talent – many job seekers now expect more than just base pay
• Differentiate your brand – demonstrate care for employee wellbeing beyond basic coverage
• Reduce turnover risk – increased employee satisfaction and loyalty
• Lower employer cost – programs are largely employee-funded
• Streamlined budgeting for employees – payroll deductions make payments simple
• More choices – employees pick the coverage that best fits their life

Trends & Market Drivers

The demand for voluntary benefits continues to grow, and several trends are fueling this momentum. Employers who stay ahead of these shifts can use voluntary benefits as a strategic advantage.

• Rising healthcare costs and higher deductibles leave employees more financially exposed
• Out-of-pocket expenses are pushing demand for supplemental coverage
• Voluntary benefits are increasingly viewed as essential, not just “nice-to-have”
• Employers see them as a cost-effective way to add value without significant premiums

Best Practices for Employers

A successful voluntary benefits strategy goes beyond simply offering options. It requires thoughtful planning, clear communication, and the right partners to ensure employees see real value.

• Survey employees to learn which benefits they value most
• Build a strong communication strategy with multiple channels, scenarios, and FAQs
• Allow flexible enrollment windows and life-event changes (new hires, marriage, etc.)
• Partner with experienced advisors to simplify plan design, underwriting, and claims

How to Get Started

Thinking about launching or expanding voluntary benefits? A step-by-step approach helps you build a program that employees will understand, appreciate, and use.

• Contact your employee benefits advisor to explore options
• Evaluate your current package and identify uncovered risks with your advisor
• Run a cost/benefit analysis, factoring in administration and educational needs
• Pilot with a subset of voluntary benefits and measure satisfaction and enrollment
• Review annually and adapt as employees’ needs evolve

Conclusion

Voluntary benefits aren’t just “extras.” They’re a practical, flexible way to strengthen total rewards, improve recruitment and retention, and reduce employer costs – all while giving employees greater protection and peace of mind.

Contact Patriot today, and let our team of voluntary benefits experts help you choose the right options for your employees – contact@patriotgis.com.