Employees are treating benefits like purchases, not perks, New York Life survey finds

NEW YORK - As open enrollment season approaches, a new survey from New York Life finds that employees are approaching workplace benefits more like consumers evaluating purchases than workers selecting employer-provided perks. The findings point to a disconnect between the importance employees place on benefits decisions and how infrequently many engage with voluntary benefits outside enrollment season. This creates an opportunity for employers to make benefits education more relevant and accessible throughout the year.

Results indicate:

• Against a backdrop of financial pressure, 71% of workers closely evaluate whether voluntary benefits provide good value for their money, rising to 83% among Gen Z employees.
• 65% say they have not used or explored voluntary benefit options outside the open enrollment period.
• Half of employees primarily think about benefits only during open enrollment.
• Just 15% think about benefits throughout the year.

The findings are especially relevant amid continued household financial pressure: 54% cite inflation and the cost of living as a leading personal concern, while 49% say they feel financially secure.

"While benefits can be complex, they should be considered as part of an employee's overall financial plan," said Meghan Shea, vice president and head of distribution, New York Life Group Benefit Solutions. "Open enrollment remains a critical touchpoint, but it should not be the only one. Employers can support employees by helping them understand how coverage fits within their broader financial needs, following the employee's calendar, not just the benefits calendar, and providing guidance when changing circumstances create new coverage needs."

Strong benefits support employee retention

The research also highlights the potential workforce value of stronger benefit options. Half of workers say stronger benefit options would make them more likely to stay with their current employer longer, while one-third would be more likely to recommend their employer to others.

Gen Z engages with benefits differently

Gen Z workers stand out in both how closely they scrutinize benefit value and when they engage with coverage. Eighty-three percent closely evaluate whether voluntary benefits provide good value, compared with 61% of Boomers. Just 30% identify open enrollment as the primary time they think about benefits, compared with 50% of all employees, while 20% think about benefits during a major life change, compared with 8% of all employees. The findings suggest effective year-round engagement is not simply about communicating more frequently, but connecting guidance to the financial decisions and life moments that make coverage relevant.

Employees want more help understanding their benefits

Fifty-nine percent of employees want more education about workplace benefits, and 62% want greater flexibility in where and how they access guidance. Although nearly 90% know how to enroll and where to find information, only 36% say they know all the details about their potential out-of-pocket medical costs. For employers, the opportunity is to move from benefits awareness to benefits relevance, helping employees understand how coverage supports the financial, health and family decisions they face throughout the year.

Benefits employees want most may be among those they know least about

Forty-nine percent of employees identify supplemental health insurance as one of the benefits they would most like to receive from their employer, second only to an employer match on a 401(k) or other retirement savings plan. Yet just 15% say they are aware their employer offers supplemental voluntary benefits, pointing to a potential gap between employee interest and awareness.

"Employees are expressing strong interest in supplemental coverage, but awareness remains limited," said Shea. "Closing that gap will require more than increasing the frequency of communications. Employers can make benefits more relevant by connecting coverage to the financial decisions and life moments when employees are most likely to recognize its value."

METHODOLOGY

This poll was conducted by Morning Consult on behalf of New York Life from September 3-8, 2026, among a sample of 1,040 employed adults who receive health insurance through their own or a spouse's employer or union. The interviews were conducted online, and the data was weighted to approximate a target sample of employed adults based on population proportions. Results from the full survey have a margin of error of plus or minus three percentage points.

ABOUT NEW YORK LIFE

New York Life Insurance Company (www.newyorklife.com), a Fortune 100 company founded in 1845, is the largest¹ mutual life insurance company in the United States and one of the largest life insurers in the world. Headquartered in New York City, New York Life's family of companies offers life insurance, disability income insurance, retirement income, investments, and long-term care insurance. New York Life has the highest financial strength ratings currently awarded to any U.S. life insurer from all four of the major credit rating agencies.²

¹Based on revenue as reported by "Fortune 500 ranked within Industries, Insurance: Life, Health (Mutual)," Fortune magazine, 6/3/2026. For methodology, please see https://fortune.com/company/new-york-life-insurance/.

²Individual independent rating agency commentary as of 10/28/2025: A.M. Best (A++), Fitch (AAA), Moody's Investors Service (Aa1), Standard & Poor's (AA+).