New Eastbridge research shows sales growth for most voluntary products in 2023

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Jun 12, 2024, 08:00 ET

Growth for most products settles to stable 5%–7% levels

AVON, Conn., June 12, 2024 /PRNewswire/ -- Sales of almost all types of voluntary insurance increased last year to drive overall industry growth of 6.7%, according to Eastbridge Consulting Group's newest research. The industry hit a historic high for new sales premium at $9.34 billion, with solid growth in nearly every line of business.

Eastbridge's "U.S. Voluntary/Worksite Sales Report" provides the industry's most comprehensive, reliable and current source of data available on voluntary/worksite sales and in-force premium. The new report includes data from 2000 through 2023 from 60 companies, primarily on group and individual life and health products.

Term life insurance sales increased 10% and continue to dominate the market with nearly 20% of all voluntary sales. Universal life and whole life sales grew almost as much at 9%. Cancer, vision and accidental death and dismemberment coverage — while a much smaller part of the market than life insurance — contributed double-digit sales increases to the industry's overall growth.

"The growth in life insurance suggests employees are still interested in covering the basics," said Nick Rockwell, Eastbridge president. "Supplemental health products also continued to grow last year, but at more sustainable rates than the double-digit growth we saw immediately after the pandemic."

Other key findings in the report include:

Dental, short-term disability and accident continue to follow life insurance in the sales rankings, each with about 12% of the total market.
Critical illness sales grew 7%, down from 2022's 15% increase but still accounting for more than a tenth of the voluntary market.

All participants in the study receive a free copy of the complete findings, including company-specific results. Carriers interested in participating in next year's study can email Eastbridge at [email protected].

About Eastbridge Consulting Group
Eastbridge Consulting Group, Inc. is a marketing advisory firm serving companies focused on the voluntary/worksite benefits market in the United States and Canada. Follow Eastbridge on LinkedIn at https://www.linkedin.com/company/eastbridge-consulting-group.