Voluntary disability insurance outsold voluntary life in 2007.
Researchers at Eastbridge Consulting Group L.L.C., Avon, Conn., have published that finding in a U.S. worksite market review.
Short-term and long-term disability policies accounted for a combined total of about $1.1 billion in 2007 voluntary sales, or about 23% of all 2007 voluntary sales, while life insurance accounted for 19% of total sales, Eastbridge reports.
Voluntary disability premiums were about 3% higher than they were in 2006, and they exceeded voluntary life premiums for the second straight year.
Short-term disability sales accounted for 72% of the voluntary disability total, Eastbridge says.
Voluntary dental sales were up about 17%, and voluntary LTD sales were up 12%.
Voluntary vision sales increased 900%, but that increase figure “is a little misleading, since our base of sales was small,” says Bonnie Brazzell, vice president of Eastbridge. “But there is clearly strong growth in this line.”
Term life sales fell 7%, and sales of universal life and whole life fell about 3%.
Despite the decline in voluntary life sales, life insurance is still the most commonly owned voluntary product, Eastbridge says.
Insurers got about 46% of their voluntary sales from group products and 54% from individual products.
Group sales grew 7.2%, while individual sales grew 6.6%, according to Eastbridge.