Employer-sponsored group disability insurance reduces voluntary turnover by up to 23% and typically pays for itself within 18 months through lower replacement hiring costs. Guaranteed-issue enrollment eliminates underwriting barriers, driving 3-5x higher participation than individually sold policies.
Key Takeaways
23% Turnover Reduction
Employer-sponsored DI programs reduce voluntary turnover costs by up to 23%, with the strongest impact among mid-career professionals.
3-5x Higher Enrollment
Guaranteed-issue group DI eliminates medical underwriting barriers, resulting in enrollment rates 3-5x higher than individually sold policies.
Higher Satisfaction Scores
Organizations offering DI as a voluntary benefit see measurably higher benefits satisfaction scores, directly correlating with improved retention.
18-Month Cost Recovery
The total cost of a group DI program is typically offset within 18 months through reduced replacement hiring and improved productivity.
Zero HR Lift
Hollowtree's enrollment infrastructure handles carrier negotiation, employee communication, and ongoing administration.
Frequently Asked Questions
How does group DI reduce turnover?
Employees with meaningful income protection feel more financially secure and loyal, reducing voluntary departures -- especially among mid-career professionals in revenue-generating roles.
What is guaranteed-issue enrollment?
Guaranteed-issue means employees can enroll without medical underwriting, so pre-existing conditions don't block access. This drives enrollment rates 3-5x higher than individual policies.
How quickly does a DI program pay for itself?
Most organizations recover the total cost within 18 months through reduced replacement hiring, onboarding expenses, and productivity losses.
Zero Lift for Your HR Team
Hollowtree handles 100% of the implementation so your team can stay focused on what matters.