AVON, Conn.--(BUSINESS WIRE)-- Based on the most recent U.S. Worksite Sales Report, takeover sales (where one carrier’s plan is placed with a similar plan issued by a different insurance carrier) now account for almost 38 percent of new voluntary sales premium reported in 2009. This is up from almost 29 percent in 2008.

“We have seen for several years now that takeovers are increasing in the voluntary market,” says Gil Lowerre, president of Eastbridge. “However, even at 38 percent of the total sales, the level of takeover business is still far below that of most benefits business lines.”

“Group companies face this issue more than do insurance companies offering only individual platform voluntary plans, but the trend is even extending to individual,” says Bonnie Brazzell, vice president, Eastbridge. “Among group companies, the percentage of takeovers is often 50 percent or more while individual companies tend more around 15 percent,” adds Brazzell.

“Our research also shows that carriers expect this trend to continue as more and more companies add voluntary benefits,” says Lowerre. “But we all don’t have to chase after the existing voluntary business,” adds Lowerre. “There is a lot of virgin business in the market, and many employers are open to adding more types of voluntary products than they offer today.”

The U.S. Worksite Sales Report is an annual report conducted by Eastbridge. The 2009 report includes detailed data on the performance of 60 worksite marketing carriers, both group and individual. The report is only available to participating carriers. For more information on participating in next year’s survey, contact Eastbridge at info@eastbridge.com or call (860) 676-9633.

Eastbridge Consulting Group, Inc. is a marketing advisory firm serving insurance and financial services organizations in the United States and Canada.

Eastbridge Consulting Group, Inc.
Jennifer Davis, 860-676-9633

Source: Eastbridge Consulting Group, Inc.