Today’s workforce spans nearly six generations, from Generation Alpha to the silent generation. This age range presents both opportunity and complexity for employers seeking to build benefit programs that resonate across their employee base.
Why Multigenerational Benefit Design Matters
Meeting the needs of a multigenerational workforce requires an intentional, inclusive approach. While priorities may vary across generations, employers are tasked with developing benefit strategies that address a broad range of employee needs. Many employers now offer expansive benefit portfolios that can include upward of 20 benefit options across health, leave, retirement, family care, financial wellness and professional development.1 Employees have come to expect a range of benefit offerings that support different life stages and circumstances.
While benefit preferences may vary across generations, one common thread remains consistent across generations: the importance of income and a reliable paycheck. Regardless of age or career stage, income protection remains a foundational component of financial security, helping employees maintain stability when an accident or illness disrupts their ability to work.
Income Replacement: A Benefit with Broad Relevance
Disability, whether resulting from illness or injury, can occur unexpectedly. Statistics show that:
- 1 in 4 workers will experience a disability during their career.2
- Nearly 4 in 10 American adults cannot absorb an unexpected $400 expense.3
- Medical premiums increased 5-6% over the last year.4
“A disability can disrupt more than health; it can quickly impact financial stability. Short-term disability and long-term disability benefits help protect employees’ income, offering valuable peace of mind and making them a critical part of a competitive benefits package,” says Paul Dubé, director of disability product at The Hartford.
Beyond supporting income continuity, disability benefits may also contribute to employee satisfaction and retention. A 2023 AHIP and Global Strategy Group survey found that employees who used their disability benefits reported high satisfaction levels – 94% for Long-Term Disability (LTD) and 92% for Short-Term Disability (STD) – and identified these benefits as an important factor in remaining with their employer.5
Expanding Protection Beyond Income Replacement
Disability benefits are a core component of many employers' benefits strategies, helping provide financial support when an employee's illness or injury affects their ability to work. However, the health events that lead to an absence often bring additional financial challenges, including medical and other out-of-pocket expenses that may not be fully covered by health insurance.
As employees navigate rising health care costs, supplemental health benefits, including hospital indemnity, accident and critical illness insurance, are playing an increasingly important role in financial preparedness, with 61% of employees considering these benefits as part of their financial plan.7
While disability benefits help address the impact of lost income, supplemental health benefits can help address other financial pressures associated with a health event. Together, they can support employees through a broader range of financial challenges while reinforcing a more comprehensive approach to employee well-being and absence management.
Regardless of age, role or life stage, a health event can create financial pressures for employees and their families. By combining income protection and supplemental health benefits within a broader workforce support strategy, employers can offer benefits that address different employee needs while demonstrating their commitment to employee well-being.
1 SHRM’s 2025 Employee Benefit Survey, viewed September 2026.
2,3 Council for Disability Income Awareness, “What Disability Income Protect,” viewed September 2026.
4 Kaiser Family Foundation 2025 Employer Health Benefits Survey, viewed September 2026.
5 AHIP, “New Survey Reaffirms the Critical Role of Disability Income Insurance in Supporting American Workers,” May 2025.
6 The Hartford’s 2026 Future of Benefits Survey, viewed September 2026.
