Broad Benefits Have Boosted Employee Retention
A new national study reveals that workers stay longer when employers offer a wider mix of supplemental health insurance.
Updated on Oct. 13, 2026 in Financial Planning
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Employers that provide accident, critical illness, and hospital indemnity coverage see notable improvements in workforce retention. The study examined benefit offerings across 408 employers, 170 brokers, and 1,130 employees to understand how insurance choices affect company performance.
Why it matters
Expanding supplemental benefits can serve as a key tool for businesses to stabilize their workforce and improve recruitment. Understanding these offerings can help households better evaluate their total compensation packages during enrollment periods.
While 86% of employers offering a trio of supplemental products cite retention gains, 86% of employees report spending four hours or less reviewing these materials. Only 11% of surveyed employers currently offer this specific combination of accident, critical illness, and hospital indemnity coverage.
The players
Lincoln Financial
A Radnor, Pennsylvania-based firm providing retirement, insurance, and wealth management services to individuals and businesses.
Employee Benefit Research Institute
A research group that provides data on employee benefit programs and retirement security to help shape public policy and business practices.
The details
Companies that provide a comprehensive slate of supplemental insurance options appear to create a more attractive retention environment for their staff. Brokers note that 60% of these benefit decisions are now driven primarily by direct employee demand. However, despite this interest, many employees spend limited time reviewing their options, which may lead workers to overlook coverage for dental, vision, or critical illness needs.
Timeline
The study findings were released in October 2026.
Money Landscape
The study marks a shift in how employers balance total compensation beyond base salary to maintain a stable workforce. This move aligns with broader efforts to modernize benefit structures as demand for specialized insurance products like critical illness coverage grows.
Employees should dedicate more time during open enrollment to review supplemental options like vision and critical illness coverage, as these are increasingly available to boost long-term security. Consult with a qualified financial or tax professional to see how these benefits fit your household budget.
The takeaway
Supplemental benefits are becoming a critical factor in workplace retention and financial security. During your next enrollment window, prioritize reading the full scope of your supplemental offerings to ensure you are not missing coverage that addresses your household's specific health risks.
Further reading
To evaluate your own compensation and insurance needs, visit the Financial Planning section.
More information
To review the full findings, visit the study report and interactive data.
Source note: This article includes information reported by MyChesCo.
Live Poll
Do you believe additional employer-provided supplemental health benefits improve employee retention?
