Once considered a niche offering or a reactive add-on, mental health benefits have now moved to the center of the employee experience. In 2025, nearly half of U.S. employers offer some form of mental health support beyond traditional EAPs—a sharp rise from just 30% in 2023. This shift isn’t just cultural; it’s strategic.

In today’s competitive labor market, benefits managers are walking a tightrope: controlling rising costs while delivering packages that attract and retain top talent. According to SHRM’s 2025 Employee Benefits Survey, this balancing act is now one of the most pressing challenges facing HR leaders.

In a year defined by rising healthcare costs and shifting employee expectations, supplemental health insurance products are experiencing a notable surge. According to LIMRA’s latest workplace benefits sales data, accident, critical illness, and hospital indemnity insurance sales rose 11% year-over-year through the third quarter of 2024. This growth reflects a broader trend: employees are increasingly seeking layered protection to fill gaps left by traditional health plans.