Current trends in Group Term Life Enrollment based on Gen Re's U.S. Group Term Life Rate and Risk Management Survey as well as insights shared by participants during breakouts held on a variety of related topics – Enrollment, Employer/Employee Dollars, and Mortality and Exchanges. Read the full blog post here: http://www.genre.com/knowledge/blog/group-term-life-enrollment-trends-for-2014.html

1. Group Term Life
Feedback from the Gen Re survey and roundtablediscussions
Enrollment Trends
For 2014

2. Thoughtson
OpenEnrollment
in the U.S.:

3. Definition varies in the market
true open
enrollment
Modified open
enrollment

4. Open enrollment is used to maximize participation,
particularly with multiple voluntary products.

5. There is a greater possibility of open enrollment
with smaller groups or cases.

6. There is pressure to offer open enrollments on in-force business;
if those clients were to switch carriers,
they would likely be offered the option of open enrollment.

7. Even for in-force enrollments, it is very rare for a group
to have the systems or tracking information
to be able to produce a list of previously-declined employees.

8. Group Life
EnrollmentPractices
Minimum Participation
Requirements

9. Continue
When participation is low (or not met)
the carrier feels like they are limited in terms of recourse.
Waive participation
requirements and
proceed with
implementing
the deal as is
21
3
Revert to
fully-underwritten
requirements
Handle enforcement
on a case-by-case
basis

10. When participation is low (or not met)
the carrier feels like they are limited in terms of recourse.
Enroll sold products
in different
enrollment cycles
5
64 Impose penalties
and/or enforce
conditions
Examples:
Require employer to
contribute more toward the
basic employer paid rate
Have all employees complete
an application up front -
waive if participation is met or
process the apps if not
Reduce multi-year rate
guarantee period
Hold a follow-up
enrollment
(e.g., in 6 months or
within first year)
Though the “textbook” scenario may call for walking away from the deal,
in real life the carrier will most likely not reject the case.BottomLine

11. Continue
Carriers may decide to
waive minimum participation requirements, basedon:

12. Carriers may decide to
waive minimum participation requirements, basedon:

13. A carrier's concern for participation from
a business perspectiveis different than
the employer's concern from a Human Resources perspective.
*Source: Gen Re/Spring Group
Voluntary Pulse Survey
get more volume Givemore options
Carrier HR

14. To improve participation levels,
carriers may:
Stipulate method of
enrollment, e.g., face-to-face
Use carrier's enrollment team
Analyze case demographics
up front to develop
enrollment strategy
Use web-based, "Avatar"-type
educational technology
Phase additional products year-
by-year vs. overload in year one
Leverage the involvement of
payroll company
Set clear expectations with sales
force to instill accountability for
following through with low
participation consequences








15. Survey
Results Standard Enrollment Practicesfor a Takeover Case
Voluntary Group Life Insurance
Low ParticipationGroup-
39% said they would
require Evidence of
Insurability(EOI) forany
new amount.
High ParticipationGroup -
50% of respondentssaid
theywere more willing to
waive theEOI for any
newamount.
Only 6% of respondents
were willing to waive EOI
for one-levelincreases.
39% 50% 6%

16. Survey
Results Standard Enrollment Practicesfor a Takeover Case
Supplemental Group Life Insurance
Anti-selection concerns with the removal of EOI at enrollment are greater
for groups with higher participation levels and individuals who have
previously declined coverage.
Conclusion
Low ParticipationGroup-
21% of respondentswould
allowa one-levelincrease
withoutEOI forthose
already participating.
High ParticipationGroup -
11% of companies
allowed a one-levelincrease
withoutEOI forthose
already participating.
No companyallowed
SupplementalInsurancefor
new participants
withoutEOI.
21% 11% 0%

17. Survey
Results Enrollment Methods
Voluntary Life enrollees used the followingmethods to elect coverage:
2%
3%
3%
3%
3%
7%
4%
6%
9%
8%
14%
25%
26%
35%
32%
22%
25%
30%
0%
2%
1%
13%
2%
3%
65%
51%
51%
51%
52%
35% 0% 3%
3%
3%
4%
0%
2007
2008
2009
2010
2011
2013
Carrier’s Website Employer’s Website Group Enrollment Meetings
One-on-One Enrollment Sessions Paper Form Only Telephone
R=10
Over time, more employees are using the employer’s website and fewer employees are using paper forms.
Utilization of telephone enrollment seems to have disappeared entirely.

18. Survey
Results Spouse Coverage
Do you allow a spouse to
enroll if the employee
does not enroll?
R=18/19
Do you allow a spouse to
purchase a higher amount
than the employee?
Voluntary
Supplementary
Voluntary
Supplementary
28%
26%
17%
16%
72%
74%
83%
84%

19. Tolearn more aboutGroupTerm Life Reinsurance,contact:
Mike Fullerton p +1 207 347 4636
e mike.fullerton@genre.com
in /in/mfullerton1
Tolearn aboutadditional enrollment trend researchthatGen Re is planningand
to determinewhetheryourcompanyshouldparticipate, please contact:
Marcy Updike p +1 207 347 4626
e mupdike@genre.com
in /in/marcyupdike
© 2014 General Re Corporation | This presentation is intended to provide background information to our clients and professional staff.
It is time sensitive and may need to be revised and updated periodically.