Employee introduction to voluntary benefits
By Allstate Benefits
Last updated: February 2025
As voluntary benefits grow in popularity with employers who are looking to attract and retain top talent, it's important for employees to understand what these benefits are and how they can enhance a standard benefits package. According to the 2024 BEAT Study: Benefits and Employee Attitude Tracker, employees are less likely to know the details of the voluntary benefits available to them when compared to other traditional benefits such as medical insurance.¹
Whether they are negotiating a new job offer or maximizing their experience at a current job, employees win when they are empowered with knowledge about voluntary benefits.
What are voluntary benefits?
Voluntary benefits are optional insurance products that provide a cash benefit when an employee experiences a qualifying diagnosis. These benefits are generally paid regardless of any other medical insurance the employee may have in place. The cash benefit is paid directly to the insured and may be used in any way they'd like—to pay for out-of-pocket medical costs such as copays, deductibles and coinsurance, or to pay bills, pay for family incidentals, or pay for any other daily living expenses.
What benefits are considered to be voluntary benefits?
There are many types of voluntary insurance products available to meet the needs of employees and their families. Popular types of voluntary benefits include:
- Accident Insurance
- Critical Illness Insurance
- Dental Insurance
- Disability Insurance
- Life Insurance
- Long-Term Care Insurance
- Vision Insurance
When employees sign up for voluntary benefits, they often have access to value-added programs and services. These additional benefits can further meet untapped needs and help employees and their families thrive by providing them with added convenience and valuable financial, family, health, and wellness support. Some common options include:
- Flexible family care
- Identity theft protection
- Pet insurance
- Pre-paid legal services
- Virtual mental health care
Who pays for voluntary benefits?
In most instances, employees pay for their voluntary benefits through convenient payroll deductions. Voluntary benefits provide extra protection at affordable rates.
Should I sign up for voluntary benefits?
Voluntary benefits provide numerous advantages to employees, some of which include:
- Access to contemporary and unique benefits
- Affordable rates that are only available through the workplace
- Benefits that are paid directly to the covered person to use as they wish
- Benefits that can be customized to fit the lifestyle of the covered person
- Convenient payroll deductions
- Portable coverage that can be continued after an employer ends coverage
- Investment opportunities for employees who want to protect their income and savings
- Coverage for employees and their family members
- Robust benefit options that have been shown to boost job satisfaction¹
- Compatibility with any other medical coverage the employee has in place
Why do employers offer voluntary benefits to their employees?
Employers offer voluntary benefits to their employees because it can boost the employee experience and increase loyalty to an employer, which creates a win-win situation for both employees and employers. Other advantages include:
- Easy implementation and enrollment process
- Enhanced employee retention and engagement
- Complement to high-deductible health plans (HDHPs)
- No impact to the company’s bottom line or profitability
- Positive impact on employee satisfaction and attendance
Allstate Benefits can help
Voluntary benefits are designed to protect employees and their families from life's uncertainties. These benefits provide employees with additional coverage options to enhance an employer's benefits package. Some of the popular voluntary products offered by Allstate Benefits include Accident Insurance, Cancer Insurance, Critical Illness Insurance, Hospital Indemnity Insurance, and Disability Insurance. Ask your employer to contact an Allstate Benefits Representative to learn more.