Employee Benefits U.S. Cities

Part
01
of eight
Part
01

Employee Benefits U.S. Cities

Information on five of the most wanted employee benefits in San Francisco and Los Angeles specifically is unavailable in the public domain. Therefore, five of the most sought after employee benefits in the United States have been presented, which includes health insurance, flexible working hours, retirement benefits, more vacation time, and work-from-home options.

Health Insurance

  • Health insurance remains the most valued benefit of job seekers in the United States, as listed in a report from Harvard Business Review. About 54% of the respondents to a survey would give health insurance ‘heavy consideration,’ while 34% of them would give it ‘some consideration.’
  • Another survey from the National Institute on Retirement Security (NIRS) revealed that around 78% of workers considered that health insurance is a feature that guarantees job satisfaction.
  • Also, a survey from Robert Half showed that around 81% of businesses offer health insurance.

Flexible Hours

  • Flexible working hours (88%) are the second most valued benefit of job seekers, according to the Harvard Bussiness Review report.
  • A survey by IWG revealed that over one-third of workers in the United States consider job flexibility to be of more value than an esteemed title.

Retirement Benefits

  • Also, 73% of respondents to the NIRS survey considered retirement benefits to be a job feature that offers job satisfaction.
  • Meanwhile, a survey from Monster identified retirement benefits as the most essential benefit for employees (57%) in the U.S. However, it is regarded as the most important benefit for 64% of employees aged 55-65 and 49% for those aged 18-24.
  • According to the Robert Half report, retirement plans are one of the most sought after benefits.

4. More Vacation Time

  • About 80% of survey respondents claimed they would give some or heavy consideration to a job offering more vacation time.

5. Work-From-Home Option s

  • Additionally, 80% of survey respondents said they would give some or heavy consideration to a job offering work-from-home options.


Research Strategies

For this request, we first searched for research publications from job aggregators in the United States such Glassdoor, Monster, Indeed, among others. We aimed to find reports from these sites specific to benefits that are considered most wanted by employees in the cities of San Francisco and Los Angeles, but no relevant information was available. Instead, the information we found concerned the retirement expectations of employees, threats to current jobs, and the job search outlook of employees in the United States. We hoped that this strategy would work as these websites are some of the top job sites where current and former employees review companies and could have published relevant information.

Next, we searched for academic research papers published on this topic on sites like Wharton, Academia, Harvard Business Review, etc. This strategy worked to an extent as we found information on the most desirable employee benefits in the United States in a report from Harvard Business Review, which is a general management magazine published by Harvard University. However, there was no exclusive information for San Francisco and Los Angeles. We looked into these sites as they provide various studies that include surveys of a sample population.

Finally, we explored through publications and articles published by popular recruitment agencies in Los Angeles and San Francisco such as Robert Half, The Jiles Group, Insight Recruiting, Maven, ABA Search, and others. We also searched through articles and publications by top HR consulting firms such as Oliver Wyman, McKinsey & Company, Deloitte Consulting, etc. We hoped to find articles containing an analysis from experts that were specific to the most wanted benefits by employees in these cities, but no relevant information was available.

After an exhaustive search, data specific to San Francisco and Los Angeles was not available, and therefore, we provided information that applied to employees all over the United States.
Part
02
of eight
Part
02

Employee Benefits U.S. Cities 1

After an exhaustive search, identifying the most wanted benefits that are peculiar to employees in San Diego and Portland was not possible. However, in the course of this research, the team identified benefits that at the most wanted/common among employees in the U.S. which are retirement benefits, paid vacation, health insurance, career development, and job flexibility.

Retirement Benefits

  • According to a survey by the National Institute On Retirement Security (NIRS), 85% of respondents to the survey agreed that retirement benefit is a job feature that provides job satisfaction.
  • Another survey by the Transamerica Center for Retirement Studies (TCRS) opined that retirement benefits are a major job search consideration for 81% of employees in the U.S.
  • This was backed by a survey by Monster that identified retirement benefits as the most important benefit for all employees (57%) in the U.S. However, it is regarded as the most important benefit for 64% of employees aged 55-65, and 49% for those aged 18-24.

Paid Vacation

  • 83% of respondents to the survey by NIRS hinted that paid vacation is a job feature that provides job satisfaction.
  • A Randstad survey hinted that 63% of employees in the U.S. wouldn’t consider a "job opportunity that offered fewer than 15 paid vacation days."
  • A survey by the U.S. Travel Association identified paid vacation (45%) as the second most important employee benefit for Americans.
  • This was supported by a TSheet survey that identified "paid holidays (91%), sick leave (88%) and paid vacation days (87%)" as the most desirable paid time off for Americans.

Health Insurance

  • 82% of respondents to the survey by NIRS reported that health insurance is a job feature that ensures job satisfaction.
  • Also, a survey by EBRI established that health insurance is an extremely important factor for job retention for 83% of employees in the U.S.
  • This was echoed by a survey by OfficeTeam that revealed that 73% of U.S. workers factor in health and wellness offerings when making decisions on what job to take.
  • Another survey by America’s Health Insurance revealed that 56% of Americans have stuck with their current employers because of their health plans.
  • The survey also established that "prescription drug coverage (51%), preventive healthcare (47%), and emergency services (47%)" are the most important health benefits for employees.

Career Development

  • A survey by ExecuSearch revealed that over 80% of employees in the U.S. would leave their positions for better career development opportunities.
  • Another survey by The Harris Poll hinted that 70% of employees in the U.S. would consider quitting their current job for another job in a company with a reputation for "investing in employee development and learning".
  • Career development was found to be the second top reason why employees leave their organizations.
  • JobVite survey hints that 61% of employees in the U.S. factor career development opportunities when deciding on employment offerings.

Job Flexibility

  • A survey report by Flex Jobs revealed that 80% of employees in the U.S. think that job flexibility would increase their loyalty to their employer. 50% of the survey respondent agreed to have attempted to negotiate flexible work with their employer.
  • A Manpower Group survey hinted that 45% of job candidates in the U.S. want work flexibility.
  • The survey by ExecuSearch hinted that 71% of employees in the U.S. would quit their current organization for another organization that would offer them flexible scheduling.
  • Also, a survey by IWG revealed that over one-third of employees in the U.S. consider job flexibility to be of more value than an esteemed title.

Research Strategy

To identify the five most wanted employee benefits in San Diego and Portland, your research team searched through publications and articles by popular recruitment agencies such as Eastridge Workforce Solutions, High-Tech Professionals, VIA Technical, and others in San Diego; and Employers Overload, EdgeLink, and others in Portland. We also searched through articles and publications by top HR consulting firms such as Oliver Wyman, McKinsey & Company, Deloitte Consulting, and others. We hoped to find articles from analyses made by experts or survey reports that are specific to benefits that are most wanted by employees in these cities, but no relevant information was gathered.

We also scoured through job aggregator websites such as Glassdoor to find the most commented employee benefits from employees in San Diego and Portland. While we found benefits that were most frequently talked about from these cities, we could assume that they are the most wanted benefits from employees in both cities. However, we could not ascertain if they are benefits that are commonly offered by employers in these cities or that they are the most wanted benefits by employees. As such, we could not bank on this information. After an exhaustive attempt to gather sufficient statistical data to back the information from Glassdoor was unsuccessful, we tried to expand our scope to the states of California and Oregon which also proved futile. As a last resort, we expanded the scope of our research to rather provide information related to the U.S. which we found in the course of our research with hard data and facts. Giving that the benefits that were identified on the U.S. scope were similar to the benefits we found from Glassdoor specific to both cities, we have provided data from survey reports from a national scope.
Part
03
of eight
Part
03

Employee Benefits U.S. Cities 2

According to the PrChoce America publication and survey report, "7 in 10 employed adults (72%) say insurance coverage would be important" for them as an employee benefit.

Phoenix

  • The US Bureau of Economic Analysis ranks Arizona #21 under the best and worst State to work wherein it has lower ranking s#19 in worker protection policies and wage policies and lacking in offering benefits for pregnant workers, paid family leaves, gender, and racial bias and others.
  • The Phoenix Employment Benefit Summary indicates that all employees of the city offer comprehensive programs to its benefit which includes a retirement plan, accrued vacation, sick leave, medical coverage, dental coverage, life insurance, elder care services, and other benefits.
  • The Glassdoor employees reviews for the city of Phoenix high rates pension plan, vacation and time out, health insurance benefits along with the medical, dental and vision benefits by most of the ratings.
  • The Bureau of Labor Statistics states the employers cost per hour worked for wages and selected employee benefits for the geographic location of the West region including Phoenix is $11.49 which sums-paid leave, vacation supplemental pay, insurance, retirement, and savings along legally required benefits.

Las Vegas

  • Las Vegas employee benefits indicate life insurance, medical insurance, dental insurance, tax saving, and retirement as part of the legal entitlements for all full-time employees in the city.
  • The Las Vegas Area Economic Summary indicates total spending of $11.49 on employee benefits in the region.
  • The Oxfam scorecard ranks Nevada #33 under the best and worst States to work wherein it lacks employee benefits related to workplace breastfeeding, paid family leave, sick leave, flexible scheduling and leave for non-FMLA workers.
  • The Glassdoor employee reviews highly rate insurance, health and wellness benefits along with vacation & time off under the city of Las Vegas.

Salt Lake City

  • The Salt Lake City Human Resources highlight medical insurance, dental coverage, vision, employee health clinic, EAP, short-term disability, retirement, life insurance, and others as part of the employee benefits for all full-time employees of the city.
  • The Glassdoor employee reviews for the employee benefit in Salt Lake City largely rate pension plan along with vacation/sick/personal leave and dental insurance.
  • The Salt Lake City Area Economic Summary reports that $9.67 is the total employer cost per hour worked on the total benefits of the employees amongst insurance, paid leave and vacation are the top elements.
  • The SL Chamber Health, Welfare & Retirement Plans Survey states that 95% of employers encourage incentives to participate in a wellness program along with offering PPO plans and HDHP.

Useful Findings

  • 60% of employees in the US show more loyalty to their employer which offers coverage for prenatal care, family planning, and abortion care.
  • The Monster's 2019 survey report highlights 401k/retirement benefits being listed as the most important benefits for all Americans (57%).

Your Research Team Applied The Following Strategy

We conducted exhaustive research across credible publications and survey reports from BLS and city government including the National Employee Survey, SL City Human resource, Utah’s Employers Council, Phoenix Economic and Employment Summary, Oxfam.
We also explored reports through top HR consulting firms such as Oliver Wyman, McKinsey & Company, Deloitte Consulting, and job aggregators employee reviews and ratings such as Glassdoor, Indeed and others. Unfortunately, no specific information on the five most wanted employee benefits in Phoenix, Las Vegas, and Salt Lake City was available as most of the information was related to the overall employee benefits granted to full-time employees in the city or most demanded employee benefit ranked for the overall US.
Additionally, we tried to expand to the research criteria to identify the information for the states of Nevada, Utah, and Arizona and we also checked upon any relevant information for the city employee benefits, but the search proved futile as most of the information was broadly related to the employers' perspective of granting employee benefits rather than indicated the most wanted employee benefits from the majority of workers.
Part
04
of eight
Part
04

Employee Benefits U.S. Cities 3

After an extensive search through industry-related websites, industry research reports, key employment blogs, and government portals, details about the most offered employee benefits in Phoenix, Las Vegas, and Salt Lake City do not appear to be available in the public domain. However, the research team was able to garner valuable insights about the overall employee benefits offered in these cities and also key takeaways from any state-level surveys.

Phoenix (Arizona)

  • As per the City of Phoenix Benefits Summary, the list of offered employee benefits in the city include retirement plan, deferred compensation program, sick leaves, holiday pay, medical coverage, dental coverage, life insurance, legal insurance program, long-term disability program, and flexible spending accounts among others.
  • In addition, the full-time employees in the city accrue vacation at a rate of 8 to 15 hours per month, depending on the length of service.
  • The city also offers some addendum employee benefits such as flexible working schedules, free or discounted bus and light rail fares, educational assistance/reimbursement, professional memberships, bereavement leave, jury duty pay, rideshare program, and career counseling.
  • As per Glassdoor, some best-rated employee benefits offered in the City of Phoenix include pension plans, vacation & paid time off, and health insurance. Legal assistance, gym memberships, tuition assistance, and mental health care are among the lesser-known employee benefits offered in the City of Phoenix.

Las Vegas (Nevada)

  • As per the Las Vegas benefits guide, the various employee benefits offered in the city include medical insurance, dental insurance, vision insurance, disability insurance, flexible spending accounts, employee assistance program, retirement benefits, tuition reimbursement, and wellness coaches among others.
  • According to the Nevada Association of Employers (NAE) 2018 survey, 81 percent of the employers surveyed in Nevada offered life insurance to their full-time employees and around 90 percent of them covered the full premium.
  • As per the survey, 76 percent of employers in the Nevada state offered at least 8 or more observed holidays as against the national average of 7.6. In addendum, around 97 percent of employers provided medical care to their employees, while 56 percent also offered domestic partner health insurance.
  • The survey also highlighted that around 69 percent of employers in Nevada provided their employees with at least 4 paid bereavement days off for an immediate family member’s death. Additionally, 32 percent of employers in the state allowed their employees to carry over 80 hours of accrued and unused paid time off.

Salt Lake City (Utah)

  • According to the Salt Lake City's benefits guide, the various employee benefits offered include life insurance, accident, illness or hospital indemnity policies, paid-time-off, access to legal services through Hyatt legal plans, long-term disability insurance, medical plus HSA or flex account, dental and vision insurance, and tuition reimbursement among others.
  • The city also offers some voluntary benefits such as pet insurance, short-term loans, hearing care, identity theft protection, discount shopping, and auto & home insurance among others.
  • As per the 2019 Utah Health, Welfare & Plans survey, 79 percent of employers in the state offered a 'Preferred Provider Organization (PPO)' plan while 83 percent offered a 'High Deductible Health Plan (HDHP)'. Additionally, 95 percent of employers encouraged incentives to participate in a wellness program.
  • Additionally, 80 percent of the employers in the state provide single employee health coverage and contribute $633 per year, on average, to an employee's HSA account.

Research Strategy

The research team began with scouring through the various credible publications and survey reports from BLS and city government portals including the National Employee Survey, Salt Lake City Human resource, Utah’s Employers Council, Phoenix Economic and Employment Summary, Oxfam, etc. The team also explored reports from top HR consulting firms such as Oliver Wyman, McKinsey & Company, Deloitte Consulting, and various job portals such as Glassdoor, Indeed, LinkedIn, etc. However, no pertinent information apropos of the five most offered employee benefits in Phoenix, Las Vegas, and Salt Lake City could be located. All the information found was related to the overall employee benefits offered to full-time employees in the respective cities or the most wanted employee benefits in the US.

Additionally, the team tried to triangulate the information by leveraging the information/surveys for the states of Nevada, Utah, and Arizona and check for any relevant data regarding the most offered employee benefits in the respective cities from the same. Given the fact that all 3 cities are key cities in their respective states, the idea was to check if any of the state surveys have provided insights into any city-level employee benefits statistics and then rank them to arrive at the most offered benefits. However, the search again proved futile as all the information was broadly related to the whole state with no city-specific insights available in the surveys.
Part
05
of eight
Part
05

Employee Benefits U.S. Cities 4

According to the San Francisco Area Economic Summary report, employer costs per hour for selected employee benefits include a total cost of $11,49.

San Francisco

  • According to the San Francisco Area Economic Summary report, employer costs per hour for selected employee benefits for the geographic division of West include a total cost of $11,49.
  • The Bureau of Labor Statistics Employer Costs for employee compensation in 2019 indicated a spending of $12,30 on total benefits for West Pacific division. This includes California wherein the benefit spending included-paid leave of $3,05, supplemental pay($1,10), insurance ($3,26), retirement and savings($1,64) and legally required benefits($3,26).
  • The Best States to Work Index, July 2019, listed California at #2 overall wherein it was ranked #1 for its worker protection policies.
  • The Glassdoor reviews for the city and county of San Francisco indicate the highest reviews (4 stars) for the health insurance, pension plan, maternity and paternity employee benefits by the employers of the city.
  • More than 90% of the employers in San Fransisco offer health insurance, dental, vision, medical insurance along with retirement plans.
  • The city and county of San Francisco offer city employees comprehensive benefits, including healthcare, paid leave, and pension.
  • According to Indeed ratings and reviews, most of the employees of the city and county of San Francisco have rated 4,2 stars for the pay and benefits segment.

Los Angeles

  • According to the Los Angeles Area Economic Summary report, employer costs per hour for selected employee benefits for the geographic division of West include spending on benefits including paid leave, vacation, supplemental pay, insurance, retirement and savings, and legally required benefits.
  • All the employers in the state of California, including Los Angeles mandates including paid sick leave, protections around flexible scheduling, supplementary pays such as reporting pay, split shift pay, advance notice along with leave for non-FMLA workers.
  • The Glassdoor employee reviews for the city of Los Angeles employers highly rate health insurance, pension plan, and vacation and paid time off employee benefits offered by the employers in the city.
  • More than 90% of the employers in the city have verified offering most of the insurance, health & wellness benefits including health insurance, dental, vision and life insurance along with financial & retirement benefits such as pension plan and retirement plan.
  • The official website of the city of Los Angeles states offers to eligible full-time and part-time employees through its Civilian LAwell Benefits program the comprehensive employee benefits including health, dental, vision, life, disability, EAP, tax-savings benefits.
  • The Indeed ratings and reviews by the employees of the City of Los Angeles have rated 4,2 stars for the pay and benefits segment.

Your Research Team Applied The Following Strategy

We conducted exhaustive research across credible publications and survey reports from BLS and city government including National Employee Survey, SF City Human resource, Employers Council, Economic, and Employment summary, Oxfam and others.
We also explored reports through top HR consulting firms such as Oliver Wyman, McKinsey & Company, Deloitte Consulting, but no specific information on the five most offered employee benefits in San Francisco and Los Angeles was available, as most of the information was related to the overall employee benefits/employers costs on employee benefits for the West Pacific region including California or the overall US.
Further, we triangulated the information, based on the available information along with using the job aggregators employee reviews and ratings such as Glassdoor, Indeed, particularly for the San Francisco and Los Angeles city employees.
Part
06
of eight
Part
06

Employee Benefits U.S. Cities 5

The 5 most offered employee benefits in San Diego, California and Portland, Oregon are paid leave, supplemental pay, insurance, retirement and savings, and legally required benefits. Below are the details of these employee benefits.

San Diego and Portland

  • San Diego and Portland fall under the West region, Pacific division territory distribution of the US Bureau of Labor Statistics (BLS) under the states of California and Oregon.
  • According to the BLS data for "Employer Costs for Employee Compensation for the Regions" 2019 report, total benefits were 29.7% of the employer's compensation cost in this region which equals to around $12.30.
  • The San Diego City Employee Benefits and Services indicates that all full-time employees of the city are entitled to avail F2O flexible benefits which include choosing among the leave of absence option along with retirement savings plans, flexible spending accounts, long term disability, COBRA and leaving city employment.
  • The City of Portland offers a comprehensive benefits package to its employees to meet their healthcare, wellness and/or retirement savings goals.
  • The most offered employee benefits on which the employers are spending in the West region which includes California and Oregon are paid leave, supplemental pay, insurance, retirement and savings, and legally required benefits.

Paid Leave

  • According to the San Diego Area Economic Summary by the Bureau of Labor Statistics, the total employers' cost per hour worked for wages and selected employee benefits in the West region, including San Diego, California on paid leave, is $2.84 as compared to $2.50 in the US.
  • According to the Glassdoor employee reviews and ratings, most of the employees (88%) highly-rated the benefit of vacation and paid time off and paid holidays offered by the employers in the city of San Diego.
  • The Oxfam America survey report highlights that the state of California including San Diego has the mandate to offer paid sick leave in the state for all employees under the worker protection policies.
  • The Portland Area Economic Summary states the average weekly wages of the Portland region to be $1,165 and $2.84 in the region is paid by employers for paid leaves.
  • Under the worker protection policies in Oregon city, including Portland, the employers offer some form of paid sick leave but not some form of paid family leave and ranks #3 in the US for its worker protection policies.
  • The Glassdoor reviews by employees of the city of Portland highly rates vacation and time-off benefits which include vacation and paid time off, paid holidays, and sick days.

Supplemental Pay

  • The employer cost for employee compensation paid for the employee benefit of supplemental pay in the West Pacific region of the US including San Diego, California and Portland, Oregon is $1.10 per hour which equals 2.7% of the total cost.
  • The Glassdoor reviews indicate 69% of the employers in the San Diego, California region offer the benefits of employee discounts along with other sorts of supplementary pay benefits such as apprenticeship programs, tuition assistance, and others.
  • In Portland city, around 33% of the employers offer perks and discount benefits in the form of gym membership along with other supplementary benefits including job training and professional development.
  • In California, all employers have a mandate to offer protection and benefit around flexible scheduling, reporting pay, split shift pay, and advance notice.
  • According to the Oxfam survey report, all employers in Oregon city, including Portland, have flexible scheduling of worker shifts along with split shift pay under the worker protection policies.

Insurance

  • The employer cost for employee compensation paid for the employee benefit of insurance in the West, Pacific region of the US including San Diego, California and Portland, Oregon is $3.26 per hour which equals 7.9% of the total cost.
  • Around 100% of employees in the San Diego, California region, according to Glassdoor reviews, indicate they offer dental insurance along with vision and life insurance to their employees under the Insurance, Health & Wellness benefit.
  • Under the Insurance, Health & Wellness employees benefits, 100% employers in Portland City, Oregon offer health insurance, dental, vision, life insurance, and disability insurance.

Retirement and Savings

  • The employer cost for employee compensation paid for the employee benefit of retirement and savings in the West Pacific region of the US including San Diego, California and Portland, Oregon is $1.64 per hour which equals 4% of the total cost.
  • The Glassdoor reviews indicate more than 80% of the employers in the San Diego city offer 401K Plan and retirement plan under the Financial & Retirement benefits to its employees.
  • The most offered Financial & Retirement benefit by the employers in the Portland city includes pension plans and retirement plans.

Legally Required Benefits

  • The employer cost for employee compensation paid for the employee benefit of legally required benefits in the West Pacific region of the US including San Diego, California and Portland, Oregon is $3.26 per hour which equals 7.9% of the total cost.
  • In the city of San Diego, more than 70% of employers offer maternity and paternity leave along with family medical leave. Additionally, around 85% offer Flexible Spending Account (FSA) benefits.
  • The Glassdoor review indicates most of the employers in the Portland city grant Flexible Spending Account (FSA) benefit along with more than 90% offering maternity and paternity leave, flexible hours, and family medical leave.

Research Strategy:

We conducted an exhaustive research across credible publications and survey reports from BLS and city government including the National Employee Survey, San Diego Human Resource, Oregon Employers Council, Economic and Employment Summary, and Oxfam to identify the 5 most offered employee benefits in San Diego and Portland city, but no specific information particular to the region could be found as most of the findings were related to the overall West (Pacific) division comprising California and Oregon region.

Hence, we further attempted to triangulate the information based on the available data along with exploring job aggregators, employee reviews, and ratings through Glassdoor for San Diego and Portland city and collaborated the findings wherein it is assumed that the high spending of employer cost on particular employee benefits in the West (Pacific) division are proportionate to the ones in its region of San Diego and Portland and applied to them as well. This approach helped us to identify the benefits that are mostly offered by the employers of the region.
Part
07
of eight
Part
07

Employee Benefits U.S. Cities 6

Five data points regarding the largest areas of insurance needs in the U.S. involve flood insurance, life insurance, dental insurance, pet insurance, and long-term care insurance.

Flood Insurance

  • There is a major need for flood insurance in the United States.
  • Within the U.S., 62 million houses have a flood risk that is categorized as either moderate or extreme.
  • Yet, only between approximately 7% and "15% of U.S. homeowners carry flood insurance."
  • A May 2019 survey found that 90% of families in the U.S. "aren’t adequately insured against flood damage."
  • Further adding to the need for flood insurance is the fact that "90% of all natural disasters in the U.S. involve flooding."
  • Verisk Analytics' Managing Director of Flood Insurance, Marc Treacy, stated the following in August 2019: "The need for flood insurance far exceeds the current take-up rate. Our study shows just how many homeowners are at significant risk for flooding and how big the opportunity is for insurers looking to find a new avenue for growth."

Life Insurance

  • Life insurance is another one of the largest areas of insurance needs in the U.S., as the perceived need for it falls well short of the ownership rate.
  • A 2018 article published by Market Watch stated that "a new study shows that while 84 percent of Americans say that most people need life insurance, only 68 percent say they personally need it and only 59 percent own some form of it."

Dental Insurance

  • One of the largest areas of insurance needs in the U.S. is dental insurance.
  • Nearly one-quarter (23%) of people in the U.S. do not have dental insurance. That percentage equates to approximately 74 million individuals.
  • The CDC reported that over 33% of adults in the U.S. "haven’t seen a dental professional in the past year."
  • The American Dental Association reported that cost was the reason why "40 percent of [U.S.] adults . . . didn’t visit a dentist in the past year."

Pet Insurance

  • Pet insurance is among the largest areas of insurance needs in the U.S., as the percentage of pet ownership vastly exceeds the insured rate.
  • Among U.S. households, 68% own one or more pets.
  • Among Americans surveyed, 95% said they regard their pet as a family member.
  • Despite those percentages and the fact that the cost of pet healthcare is rising, the percentage of U.S. pet owners who have insurance for their pets is below one percent.

Long-Term Care Insurance

  • In the U.S., long-term care insurance is one of the largest areas of insurance needs, as the ownership rate is far below the rate at which it's needed.
  • Among Americans, 90% "don’t have long-term care insurance."
  • Yet, the Association for Long Term Care Planning (U.S.) states that among U.S. adults ages 65+, 70% "will need some form of long-term care in the next few years."
  • Furthermore, 41% of Americans who receive long-term care are below age 65.
Part
08
of eight
Part
08

Employee Benefits U.S. Cities 7

Pet, health and medial, property and casualty, homeowners and flood insurance are areas within the US insurance industry that are expected to grow significantly in the next few years.

High Growth Insurance Areas

  • One of the fastest-growing areas of insurance needs in the US over the next few years is pet insurance, with IBISWorld forecasting that demand for this specialized insurance will grow by 9.5% in 2020 alone.
  • Similarly, Mordor Intelligence reports that health and medical insurance demand will grow significantly in America through 2024 at a CAGR of 8.1%.
  • Mordor Intelligence also predicts that the need for property and casualty insurance in the US will grow rapidly at a 6% CAGR through 2025.
  • In parallel, the need for US homeowners insurance is expected to increase at a similar 5.7% CAGR through 2025, according to Mordor Intelligence.
  • While publicly available data on the US flood insurance market is limited, the need for flood insurance globally is expected to grow at a 17.6% CAGR through 2024, per Market Study Report.
  • Notably, the US is expected to represent a significant portion of this growth in demand for flood insurance given that the America holds the "largest share in the global market" for this area of insurance.

Moderate Growth Insurance Areas

  • The need for dental insurance in the US is also expected to be meaningful in the next few years, with IBISWorld estimating that related demand will increase by 2.8% in 2020.
  • Similarly, US demand for life insurance and annuities is forecast to grow by 1.6% in 2020, according to IBISWorld.
  • Finally, automobile insurance has one of the lower growth forecasts for the next few years, with the need for this type of insurance in the US expected to grow by 1.1% in 2020.
Sources
Sources