Millennial Moms File Most Unum Short-Term Disability Maternity Claims

In 2017, Millennial moms accounted for 77% of short-term disability maternity claims for Unum, a leading provider of disability benefits in the United States.

“Millennials make up more than a third of the workforce and many of them have recently started or plan on starting a family soon,” said Greg Breter, senior vice president of benefits at Unum. “We anticipate seeing these numbers hold steady or even rise in the years to come, which can have important implications for employers.”

Short-term disability insurance replaces part of a working mother’s income for up to six to eight weeks, depending on the kind of delivery. In 2017, Unum paid nearly $100 million in short-term disability benefits to new mothers, helping them recover from delivery and bond with their newborns.

According to the U.S. Census Bureau, Millennials are the largest generation since Baby Boomers, with about 71 million people in the United States born between 1981 and 2000. By comparison, Generation X, born 1965 to 1980, has about 66 million people. Millennials are expected to overtake Boomers in population next year as their numbers swell (due to immigrant migration) to 73 million and Boomers decline to 72 million.

“Particularly among Millennial mothers who may be newer to the workforce, the financial assistance provided by short term disability insurance can make a huge difference,” Mr. Breter said. “But the reality is that most working women aren’t protected by short-term disability coverage, and this can leave them exposed to financial risk as they step away from work to bond with and care for their newborn.”

The United States Census Bureau estimates that around four million babies are born each year, with two-thirds born to mothers in the workforce. More than 40% of new working mothers, however, won’t receive paid leave.

According to a 2016 Pew Research Center study, 57% of parents with household incomes less than $30,000 who took parental leave say they took on debt to deal with the loss of income. About half (48%) say they went on public assistance or put off paying their bills (46%).

Millennial parents are also looking for more clarity and variety in the kinds of benefits their employers offer. A Unum micro-study in April, 2018, of 65 Millennials who delivered or adopted a child in the previous year indicated that 48% found the understanding of their parental leave benefits to be somewhat or very difficult. When asked what they most desired from their employers, 72% said flexible hours upon their return to work, while 62% desired paid parental leave.

Financial Wellness Program Popularity Rises Among Employers

Growing awareness of how financial wellness programs benefit employees has driven rapid growth in plan adoption among employers. Now, they say big data could help measure results, customize programs, and fill remaining gaps, according to a survey from Prudential’s Workplace Solutions Group, a business unit of Prudential Financial, Inc.

Prudential’s 10th survey of employee benefits, Benefits and Beyond: Employer Perspectives on Financial Wellness, finds the percentage of employers offering financial wellness programs rose to 83%, up from 20% in the survey two years earlier. An additional 14% of employers say they plan to offer these programs in the next one or two years. The survey includes responses from nearly 800 decision-makers for group insurance benefits at United States businesses with at least 100 full-time employees.

“Our survey reveals that employers and employees report higher satisfaction with their benefit plans when financial wellness programs are offered,” said Vishal Jain, financial wellness officer for Prudential’s Workplace Solutions Group. “Employees increasingly look to their employers to help them achieve financial security, and employers are seeking data and insights on how to respond and influence better outcomes.”

Prudential’s survey examines varying employer attitudes about financial wellness, as well as common kinds of financial wellness programs, top metrics of success, and potential barriers to implementation:

·       Employers who offer financial wellness are more satisfied with their total benefits program (61%), than those who do not (44%).

·       Larger employers were more satisfied with their financial wellness offerings (72%) than medium (54%) or small employers (50%).

·       Most large employers (61%) believe data sharing is employees’ biggest barrier to participation in financial wellness programs, citing “privacy concerns” and “putting together all the data and information.”

·       Overall, retirement plan and benefit providers are the preferred providers of financial wellness.

·       Criteria for selecting financial wellness providers are primarily driven by cost, ease of implementation, and expertise.

Despite recent shifts in employment toward gig and other alternative work arrangements that challenge the traditional employer-employee relationship, the survey finds that most employers are committed to offering employee benefits:

·       The three most critical outcomes employers want their benefits strategies to achieve are to attract and retain talent, improve employee productivity, and assure employees that they care about their financial well-being.

·       Sixty percent of employers believe they should provide benefits to employees and only 15% say employees should be responsible for their own financial well-being and future.

·       Almost two-thirds (64%) believe their employees are highly satisfied with their overall benefits package, up from 41% in the previous survey.

·       A third of employers say they should be responsible for paying for all the costs of the employee benefits they offer.

According to the survey, employers primarily rely on employees to tell them what kinds of financial wellness programs they need and how to measure the success of the programs. Methods used include surveys and informal feedback, analysis of internal data around Section 401(k) loans or withdrawals, as well as wage garnishments. More than two-thirds measure the impact of their financial wellness programs at least quarterly.

“Employers recognize the best way to support employees is to understand their needs,” Jain said. “As financial wellness becomes the rule rather than the exception, financial services providers that can use data to help employers develop better programs and communications for employees will be increasingly valued.”

Principal Financial Group Expands Financial Wellness Resources

Principal Financial Group® has teamed up with ARAG®, a leader in legal insurance, to roll out access to a legal document resource for retirement plan participants. This resource previously had only been available to group life insurance customers as part of the financial wellness resources Principal makes available to help people manage their financial future. With this new relationship, people now can take immediate action regarding their financial wellness and risk planning by preparing a will, healthcare power of attorney, and more.

Financial wellness continues to be an important topic for workers in the United States. Many people report struggling with risk and protection planning. Only 26% of Americans have a complete will that is up to date. Additionally, 71% don’t know where to turn or how to get started with legal matters.

“We’re constantly listening to our customer’s needs. And when 75% said they would find legal documentation helpful in supporting their financial wellness, it was a no-brainer to help fill this gap,” said Joleen Workman, vice president of retirement at Principal®. “People who know more are more confident, and confident people make good decisions. That’s why we work every day to help educate people and build their confidence around financial decision making.”

For persons looking for a place to get started with risk planning, Principal, along with ARAG, provides education and resources to help people take action. After the forms are filled out in the system, individuals can follow easy steps to formalize their plan, often by taking their documents to a notary.

Research shows that a lack of confidence is the primary reason people don’t make financial decisions, not the income or education concerns they often cite. In addition, people who spend time learning about financial planning are 75% more likely to be confident in their financial future. That’s why Principal provides access to holistic financial wellness resources with education to help people achieve both short-term and long-term goals.

“We’ve always focused on financial wellness, and we know its importance only continues to grow. Principal will take the best of what has helped our customers in the past, combined with new solutions to help round out their financial picture,” added Ms. Workman. “It’s important for people to feel confident and prepared for whatever the future may bring. The more we can lower barriers to financial education and resources, the better prepared people will be to have enough, save enough, and protect enough for their future.”

Lincoln Financial Group Offers Tips During National Retirement Planning Week

In conjunction with National Retirement Planning Week (April 9-13), Lincoln Financial Group shares three steps to help people in the United States plan for retirement and help meet their retirement income goals.

“Retirement is a milestone that provides Americans with great opportunities, but also significant challenges as today’s savers face living longer,” says Will Fuller, president of Annuity Solutions, Lincoln Financial Network and Lincoln Financial Distributors at Lincoln Financial Group. “Thousands of Americans are entering retirement each day, and having enough money to last their lifetime is one of their top retirement goals.”

Starting a conversation with a financial professional can be a simple first step in the planning process, and helps savers identify the benefits of the many solutions available in the market. Lincoln offers three tips to help people prepare for retirement throughout their lives and maintain the lifestyle they want in retirement:

1. Maximize workplace benefits:  Many employers offer benefits that can help employees prepare for tomorrow, whether it’s saving for retirement through an employer-sponsored plan like a Section 401(k) plan or protecting their income with disability, critical illness, and accident insurance.

An employee can start saving for retirement by contributing to their employer-sponsored retirement plan and increasing their contribution every year. A full two-thirds of retirement plan participants understand that they should be saving at least 10% of their salary to stay on track, and 45% believe they need to save 15% or more, which aligns with general industry recommendations. Only four in 10 savers, however, are saving as much as they think is necessary. If the employer offers a match, the employee should save up to that match, or else they’re leaving free money on the table.

It’s just as important to protect against unforeseen events that could force a person to tap into their retirement savings. Employees are concerned about protecting their income – 60% of employees are worried about the loss of household income because of an unexpected illness or injury, and 70% are worried about healthcare expenses. Workplace benefits like disability, critical illness, and accident insurance provide supplemental coverage that can help guard against these events.

2. Prepare for the unexpected:  A well-rounded retirement plan needs to include a strategy to address potential long-term care needs. The Department of Health and Human Services estimates that more than one in two people turning 65 years old will need some form of long-term care in their lifetime.

Long-term care planning should begin around age 50 and include meaningful discussions with both family members and a financial professional together to understand the realities and risks of long-term care, lay out care preferences, and assess care options – including family caregiving and professional services. In the case of professional caregiving services, which can potentially exceed $100,000 annually, it’s important to discuss how such services would be paid for if needed. Today, there are many different kinds of long-term care funding solutions available in the market that can help mitigate the costs of care events, enabling consumers to select a solution that fits their specific care and financial needs.

3. Ensure income is there when needed: An equally important part of building a successful plan is to include a strong income strategy that provides a dependable stream of income throughout retirement. This is about maintaining the lifestyle savers are used to after the paychecks have stopped. Research shows that seven in 10 Americans who don’t own a guaranteed lifetime income product, like an annuity, say it’s because they don’t know enough about it. And among today’s 65-year-old married couples, there is a 47% chance that one spouse will live to age 95 – making an income stream that lasts a lifetime all the more important.

“Knowing you have a plan that includes protection from market losses and opportunity for growth can help you feel more confident about facing some of the challenges that may come your way,” added Mr. Fuller. “There are many options that can help protect savings, provide growth, and give savers a steady check in retirement that can’t be outlived. Working with a financial professional to learn about the many solutions available is a good place to start.”

Another often-overlooked source of retirement income is cash-value life insurance. With these kinds of policies, consumers can potentially accumulate savings on a tax-deferred basis that can then be distributed tax-efficiently through policy loans and withdrawals as a source of supplemental retirement income.

Throughout the week, Lincoln will highlight various tips and resources to help engage savers on the topic of retirement planning. Individuals can also use the online calculators and planning tools offered on Lincoln’s website. In partnership with the Insured Retirement Institute (IRI), Lincoln will also host two webinars for advisors to attend for Continuing Education credits.

Each year, National Retirement Planning Week encourages and promotes positive savings behaviors among Americans, through tools and resources to help them plan for their financial needs in retirement. The National Retirement Planning Coalition – a group of education, consumer advocacy and financial service organizations – spearheads this effort to help Americans plan for retirement. Lincoln is a member company of the Insured Retirement Institute (IRI) – the organization that helps fuel the coalition and annual event.

For more information about National Retirement Planning Week, visit: https://www.retireonyourterms.org/.

2018 Travelers Risk Index Highlights Misperceptions about Distracted Driving

The Travelers Companies, Inc., has announced the results of the first release of the 2018 Travelers Risk Index, which focuses on distracted driving and perception of risks among drivers and passengers. Consistent with previous years, an overwhelming majority of people surveyed said that distracted driving is a concern. Eighty-five percent said it is extremely risky to use smartphones or tablets while driving, yet nearly a quarter of respondents said they do it.

The Travelers Risk Index also found:

·       About one in 10 respondents reported being frequently distracted by technology while driving.

·       61% of those who respond to personal texts, emails, and telephone calls while driving do so because there might be an emergency.

·       23% of those who said they respond to personal texts, emails, and telephone calls while driving do so because they are afraid of missing out on something important.

·       25% of people indicate they multitask when driving because they think they can do so safely.

·       Only 12% of respondents said they use safety features like “auto-reply” and “do not disturb while driving” despite the fact that they are available on many phones.

“These survey results are very telling,” said Joan Woodward, executive vice president, public policy, and president of the Travelers Institute. “There’s clearly a disconnect between drivers’ perception of what is safe and the reality of what is happening on our roads. Lives are being lost to distracted driving–related collisions, and we created the Every Second Matters initiative to help change perceptions about this problem so people start taking it seriously.”

When the Travelers Risk Index findings are compared with data from TrueMotion’s smartphone telematics apps that monitor actual driving behaviors, including distraction, the results show that nearly 40% of drivers are distracted for an average of 15 minutes per hour driven. This further demonstrates the misperceptions about distracted driving.

“The first step to changing behaviors is being aware of them,” said TrueMotion CEO Ted Gramer. “The Travelers Risk Index highlights that drivers are categorizing distraction as ‘someone else’s problem’ when they are the ones who are actually engaging in highly risky behavior. Awareness programs like Every Second Matters and digital programs designed to reward safe driving, powered by smartphone telematics platforms like TrueMotion, are critically important, as they take a proactive approach to curbing this deadly epidemic.”

For more information about distracted driving risks and how to stay safe behind the wheel, visit the Travelers Prepare & Prevent website.

Symetra Launches New Indexed Universal Life Product, Symetra Accumulator IUL

Symetra Life Insurance Company, a provider in the individual life insurance space, has expanded its universal life portfolio with the introduction of Symetra Accumulator IUL. A flexible premium adjustable life insurance policy with index-linked interest options, Accumulator IUL is designed for permanent life insurance coverage, maximized policy value growth, and supplemental income potential.

Symetra Accumulator IUL product highlights include:

·       Strong policy cash value accumulation potential and policy distributions.

·       Three index options.

·       S&P 500® Index.

·       JPMorgan ETF Efficiente® 5 Index—a volatility controlled option licensed exclusively to Symetra.

·       Blended S&P 500® and JPMorgan ETF Efficiente® 5 Index — a two-year 50% blended option that combines S&P 500® Index performance with the volatility control of JPMorgan ETF Efficiente® 5 Index over a longer period of time.

·       Index credit based on the index segment value at the beginning of the index segment term, less any withdrawals or standard loans taken during the term.

·       Guaranteed persistency bonus of 15% of the index credit beginning in policy year 11.

·       A 2% cumulative lookback guarantee that may increase policy values every eight years.

·       Ability to switch between standard or participating loans once a year without repaying the loan.

·       Current guaranteed minimum cap on the S&P 500® Index of 3.5%.

“Recognizing that the number of moving parts and policyowner decision points can make the purchase of an IUL product daunting, we’ve introduced Accumulator IUL with an emphasis on a simple story: index options that are focused and specifically designed to help meet client needs while our underlying policy charges are transparent and easy to understand,” said Dan Guilbert, executive vice president, Symetra Individual Life and Retirement Divisions. “Symetra Accumulator IUL features a straightforward but compelling dual strategy. It’s an accumulation-focused IUL product offering inherent and optional features that can help clients achieve both their protection and retirement goals.”

Principal Financial Group Recognized for its Workplace Programs for Mothers

Working Mother magazine has recognized Principal Financial Group® as one of the 2017 Working Mother 100 Best Companies for its strong leadership in creating progressive programs for its workforce in the areas of advancement of women, flexibility, childcare, and paid parental leave. This recognition is the fifteenth time Principal® has made the list.

"It’s an honor to be named to the Working Mother 100 Best companies and to be joining the prestigious Hall of Fame this year in celebration of our fifteenth appearance on the list,” said Beth Raymond, senior vice president and chief HR officer at Principal. "Our inclusion on this list is a testament to how our flexible work arrangements, time off policies, and benefit offerings help working parents—and especially working moms—tap into their full potential.”

Meredith Bodgas, Working Mother’s editor-in-chief, said, “This year’s winning companies know the value of keeping their employee moms engaged and supported. They use schedule flexibility, paid parental leave, and family benefits to ensure that parents can develop meaningful careers while leading satisfying home lives.”

Subha Barry, senior vice president & managing director of Working Mother Media, says, “As our thirty-second year of recognizing the best companies begins, we are happy to see that the next generation, coupled with technology, have shown us how employees can be efficient, productive, effective and impactful no matter where they work. The 2017 Working Mother 100 Best Companies’ policies and programs have built loyalty among their employees that cannot be underestimated.”

Humana and Humana Foundation Offer Support to Puerto Rico Communities Severely Impacted by Multiple Hurricanes

Recognizing the severe toll Hurricane Maria has taken on Puerto Rico communities already distressed following Hurricane Irma, health and well-being company Humana Inc., announced that it has initiated a series of disaster relief efforts to assist its members, employees and Puerto Rico communities.

In addition, the Humana Foundation, the philanthropic arm of Humana, announced it will provide a $250,000 immediate grant to the American Red Cross to help the nonprofit organization deliver vital services, including food, shelter, and related disaster relief, to Puerto Ricans affected by Hurricanes Maria and Irma.

“It’s important to Humana that our employees, health plan members, and the people of Puerto Rico know we are concerned for their health and well-being,” said Humana president and chief executive officer Bruce Broussard. “We cannot underestimate the long-term toll of multiple severe storms like Maria and Irma, and we are delegating resources and putting in place measures to help people during the recovery period.”

Among those measures, Humana has opened its toll-free crisis intervention hotline and counseling services beyond employees and members to include any person who may need assistance in areas impacted by Maria and Irma. Counselors and work/life specialists are available 24 hours a day, seven days a week at 1-866-440-6556 to provide free, confidential assistance to anyone needing help and support in coping with the disaster and its aftermath. Assistance is available in both English and Spanish.

Humana also has taken these additional steps:

·       For all affected members, Humana has suspended referrals and prior authorization requirements for acute, post-acute, outpatient, and physician services.

·       Humana is providing affected members who need to seek care out-of-network in Puerto Rico with the same benefits they would get from an in-network health care provider or facility.

·       Humana health plan members in affected areas who have prescription coverage can obtain early refills of their medications without authorization from their physicians or Humana.

“We recognize the severe impact that the recent hurricanes have had on so many fellow Puerto Ricans, including our members, employees, health care provider partners, brokers, and employer clients, who are in need of our resources and support,” said Earl Harper, regional president of Medicare for Humana in Puerto Rico. “We want them to know that we will work tirelessly to support them at this critical time."

Hurricane Maria struck Puerto Rico as a Category 4 storm, leaving widespread destruction and knocking out power to most of the island, which was still reeling from damage and power outages caused by Hurricane Irma earlier this month.

The American Red Cross, recipient of the Humana Foundation donation, is one of the organizations already mobilizing to offer disaster relief in Puerto Rico.

“We know there is much to be done to help Puerto Rico recover from these storms, and we hope this donation from the Humana Foundation will help provide quick relief to the people there,” said interim Humana Foundation executive director Pattie Dale Tye. “Our hearts go out to the island residents who have endured so much in recent days.”

Humana Medicare and commercial members with questions about services available to them should call the toll-free phone number on the back of their Humana ID card.

UnitedHealthcare Study Finds Those Who Volunteer Feel Healthier and Happier

A new study by UnitedHealthcare and VolunteerMatch found that employee volunteerism positively affects the health and well-being of the people who participate, and strengthens their connections to their employers.

The report, titled the 2017 Doing Good is Good for You Study, reveals that 75% of United States adults feel physically healthier by volunteering. The mental and emotional benefits of volunteering are even greater, with 93% reporting an improved mood, 79% reporting lower stress levels, and 88% reporting increased self-esteem by giving back. Also, volunteers are significantly more likely to feel that they have greater control over their health and well-being.

“Volunteering can profoundly change the way we think about ourselves and others,” said Greg Baldwin, president of VolunteerMatch. “We are grateful for the opportunity to work with UnitedHealthcare on this study to help us better understand why doing good is good for all of us.”

The Doing Good is Good for You Study also looked at the role employers play in encouraging volunteerism as part of their efforts to strengthen employees’ connections to the communities where they live and work. Almost three-fourths of employees who volunteer through work report feeling better about their employer, and 91% believe it is important for an employer to allow employees to volunteer on paid time.

“At UnitedHealthcare we have seen many times the connection between health and volunteerism,” said Matt Peterson, head of social responsibility for UnitedHealthcare. “We hope studies like this one will encourage people to get out into the community and discover the many benefits of giving back.”

Findings from this year’s study are based on a national survey of 2,705 adults age 18 and over. The survey was conducted by Kantar TNS, one of the world’s largest marketing research firms. Kantar TNS conducted the online survey between November 29 and December 12, 2016. Data were weighted to ensure a representative sample of the total US adult population.

The Doing Good is Good for You Study is part of UnitedHealthcare’s “Do Good. Live Well.” initiative, aimed at inspiring a new level of service and volunteerism in communities across the country.

For more information, visit https://newsroom.uhc.com/community/volunteerism-finds.html.

Four AXA Financial Insurance Companies Relax Premium-Payment Grace Period to Assist Those Impacted by Hurricane Irma

Four AXA Financial, Inc., insurance companies are relaxing the premium-payment grace period for policyholders who are affected by Hurricane Irma in all Florida, U.S. Virgin Islands, and Puerto Rico ZIP codes. The four companies are:

1. AXA Equitable Life Insurance Company (formerly known as The Equitable Life Assurance Society of the U.S.).

2. AXA Equitable Life and Annuity Company (formerly The Equitable of Colorado, Inc.).

3. MONY Life Insurance Company of America (MLOA).

4. U.S. Financial Life Insurance Company.

The companies have announced that, regarding the cancellation/non-renewal of policies for non-payment of premiums for life, health, and disability insurance, for grace periods expiring from September 6, 2017, to November 13, 2017, they will extend the grace period until November 14, 2017, in the impacted areas. Clients with an employer-sponsored annuity residing in an impacted area who have outstanding loan payments due between September 6, 2017, and November 13, 2017, will not default as a “deemed distribution” until November 14, 2017. The grace period commences on the date the policyholder’s damage occurred. This moratorium is not automatic. Interested policyholders must request this extension from their insurance carrier.