Short-term disability, life and accident insurance are the topthree voluntary products workers in the health care industry arebuying, according to an analysis of employee buying trends in thehealth care industry. The study by Colonial Life & AccidentInsurance Company, Columbia, S.C., looked at voluntary productsales in 6,500 health care businesses--hospitals, doctor's offices,dentists, nursing homes and assisted-living facilities--andincluded nearly half a million policies bought by employees whowork in this industry.

"Health care workers are showing strong interest in voluntarycoverage in addition to what their employer provides," says TomGilligan, Colonial's senior vice president of marketing andbranding. "Health care companies that don't provide voluntarycoverage options may not be meeting their employees' benefitsneeds."

When it comes to managing employee benefits programs, the healthcare industry has some unique issues to deal with:

• Higher health risks. Managing occupational injury and illnesswith health care workers is a big challenge in this industry. TheU.S. Department of Labor reports that nursing care facilities andhospitals have rates of 12.6 and 9.7 cases respectively per 100full-time workers, compared with an average of 5.3 for privateindustry overall.

"Voluntary products can help these workers pay for medical andnonmedical out-of-pocket costs without affecting the company'sbottom line or increasing its benefits costs," Gilligan says.

• Shortage of workers. More than 1 million new and replacementnurses will be needed overall in the medical field by 2012,according to the U.S. Bureau of Labor Statistics.

"One way health care companies can attract and retain qualityworkers is by offering a competitive benefits package that includesa variety of voluntary products workers can choose from," Gilligansays.

• Cost containment. Technological and medical advances can leadto higher treatment costs, which typically drive up out-of-pocketexpenses for patients.

"Health care workers see first-hand the strain these costs canplace on a family, so it's easier for them to understand theadvantage of having voluntary benefits to help cover out-of pocketexpenses," Gilligan says.

"We're seeing interest for voluntary short-term disability, lifeand accident coverage among employees in health care companies, andour study shows that workers are willing to purchase voluntaryproducts to fill any coverage gaps," Gilligan says. "When healthcare employers know the voluntary products their workers want andneed, they can make smarter, more strategic decisions regardingtheir benefits programs."