Voluntary benefits are employee benefits that are optional and typically paid for by employees rather than the employer. They are offered alongside traditional benefits (like health insurance and retirement plans) and allow employees to choose additional coverage or services that suit their needs.
Some common voluntary benefits include:
- Supplemental Health Insurance (e.g., dental, vision, accident, critical illness, disability)
- Life Insurance (beyond employer-provided basic life insurance)
- Legal Assistance Plans
- Pet Insurance
- Identity Theft Protection
- Wellness Programs (e.g., gym memberships, mental health services)
Employers typically negotiate group rates, making these benefits more affordable than if employees purchased them individually. Offering voluntary benefits can enhance a company’s total compensation package and improve employee satisfaction without significantly increasing employer costs.
