When you think of supplemental insurance, some of the coverages that come to mind may include Accident, Critical Illness, and Hospital Indemnity. But with over two thirds of Americans facing at least one legal issue each year, many employees are interested in obtaining legal insurance as a supplemental benefit that provides financial protection.
To answer this call, enterprising employers are expanding their supplemental benefits offering to include legal insurance for their employees. Here is how legal insurance works and why nearly half of all U.S. employers are including it in their supplemental coverage plans to continue to attract and retain the best talent.
Helping to provide a clean bill of health for employee legal issues
In some ways, legal insurance is similar to health insurance models. The concept is to make legal coverage and services more accessible to employees through a network of attorneys. These attorneys offer a wide range of legal services, including legal counsel, document review, and representation.
Some of the legal insurance benefits for employees include:
- Acceptance into the legal plan is guaranteed
- Coverage continues as long as premiums are paid
- No waiting period – legal insurance coverage starts upon registration acceptance
- No usage limits – legal assistance may be accessed multiple times throughout the year
- Coverage includes a comprehensive list of legal services
Offering legal protection for family, finances, and the future
Legal insurance can be used to help employees protect and plan for what’s important to them both now and in the future, and can also be used for unexpected situations. Here are a few applications for legal coverage.
Family Law Matters: Legal insurance can assist individuals with family law matters such as divorce, child custody disputes, adoption, or drafting prenuptial agreements, providing access to experienced attorneys for guidance and representation.
Estate Planning: Legal insurance can cover the costs associated with estate planning, including drafting wills, creating trusts, and establishing power of attorney or healthcare directives, ensuring individuals have the necessary legal documents in place for their assets and healthcare decisions.
Criminal Defense: In the unfortunate event of criminal charges, legal insurance can help cover the expenses of hiring a defense attorney to represent individuals and protect their rights throughout the legal process.
Consumer Protection: Legal insurance can be utilized for issues related to consumer protection, such as product liability claims, fraudulent business practices, or disputes with creditors, enabling individuals to seek legal advice and take appropriate action.
Traffic Violations: Legal insurance can assist individuals in dealing with traffic violations, such as speeding tickets or DUI charges, by providing access to attorneys who can help navigate the legal system and minimize the impact on their driving records and insurance premiums.
Making legal assistance accessible to every employee
Based on the structure of a typical employer-offered legal insurance plan, comprehensive legal coverage can cost an employee an average of $20 a month. When you consider that current U.S. attorney fees currently average over $300 an hour, employee access to affordable legal consultations is a highly attractive benefit.
Introducing BeneRe Legal, a group captive solution
BeneRe has partnered with ARAG, the leading legal insurance carrier, to offer BeneRe Legal. It’s a supplemental benefits group captive program based on our commitment to better benefits and total transparency, and offering employers a healthier approach to financially protecting employees.
If you are an employer looking for more ways to recruit and retain the best talent, offering your employees legal insurance as part of your voluntary benefits program may be an attractive option. When you’re ready to make a change to increase the value of the supplemental benefits you offer employees, ask your broker or contact the team at BeneRe for more information.