Despite the recession, 2009 voluntary sales show another year of growth based on Eastbridge’s U. S. Worksite Sales Report.

AVON, CONNECTICUT, USA (May 5, 2010)

In 2009, voluntary/worksite sales increased 3.3 percent. Total 2009 voluntary sales are estimated at $5.397 billion, up from $5.225 billion in 2008.

“We are again pleased to see the industry growing despite the recession,” says Gil Lowerre, president of Eastbridge. “With an increase of 3.3 percent this past year and almost a 4 percent increase in 2008, it looks like the industry has once again shown itself to be pretty resilient,” says Lowerre. “I don’t know that I would say the industry is recession-proof,” adds Bonnie Brazzell, vice president of Eastbridge, “but, historically, there have been factors other than the economy that seem to have more impact on voluntary sales. We have seen this once again. Broker attitudes as well as employee interest in voluntary products both have much more impact on our results as an industry.”

“Among the top 15 companies in the market, the average increase was 3.1 percent,” states Lowerre. Ten of the top 15 companies had sales increases, with 5 of these companies having double-digit increases ranging from 14 percent to 34 percent. 

Inforce premiums also increased just under 8 percent in 2009 (down from 10 percent in 2008). Based on tracked premium and estimates of the total market, the 2009 inforce worksite premium is estimated to be between $18.8 and $24.7 billion.

The U.S. Worksite Sales Report estimates sales for the entire voluntary industry with detailed data on the performance of 60 voluntary carriers, both group (voluntary) and individual (worksite) carriers/products. Eastbridge estimates that these companies account for over 90 percent of the total worksite sales volume for 2009—and represent the largest number of carriers included in any sales report for the industry.

Parties interested in participating in next year’s study are advised to email Eastbridge at info@eastbridge.com. All participants receive a free copy of the complete findings, including company-specific results.

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