Tailored benefits for today's workforce: What employers can't afford to overlook

From women's health to chronic conditions to Gen Z expectations, RBC Insurance survey data finds that reimagining employee benefit plans is key to healthier, more resilient teams

TORONTO, May 20, 2025 /CNW/ - As the workforce continues to diversify and evolve, tailored benefit plans are key to healthier, more resilient teams. Yet new survey data from RBC Insurance highlights how coverage gaps—driven by accessibility, affordability, and awareness—are impacting employee well-being, particularly for women, individuals managing chronic conditions, and younger generations entering the workforce.

• Three-quarters (75%) of women say they want or need benefits that specifically support women's health.
• Those managing chronic physical (31%), developmental (31%), or mental health-related disabilities (28%) report that coverage amounts are often insufficient to cover their needs, resulting in out-of-pocket costs higher than they can justify.
• One in five (20%) working Canadians aged 18-34 are unsure of the employee benefits coverage available to them.

"These findings are a call to action for employers and benefits providers alike, as there's a real opportunity to close the gap between what employees need and what they receive," says Tony Bruin, Head of Group Benefits at RBC Insurance. "The more an employer tailors and prioritizes more inclusive and relevant benefit solutions, the more they can truly support their employees."

At a time when costs are rising for employees and employers, companies can start optimizing their group benefits by looking closely at their specific workforce characteristics and tailoring plans to ensure equitable and inclusive coverage.

Addressing the coverage needs of women
Despite making up nearly half of the workforce in Canada, women's needs are misaligned when it comes to employer group benefits. Seventy-five per cent of women say they want or need benefits that specifically support women's health, including services for fertility and menopause. In addition, women are more likely than men to report:

• Insufficient coverage amounts prevent them from accessing the care they need (31% versus 22%)
• Difficulty securing appointments (25% versus 17%)
• Rising costs and affordability (68% versus 49%) or mental health issues like anxiety or depression (33% versus 17%) as barriers to improving their well-being

Chronic conditions and the cost of care
More than half (54%) of employees or their spouses are living with a chronic condition, making access to care a critical component of overall well-being. However, the survey revealed that rising costs and affordability continue to be a major barrier, preventing individuals from fully utilizing their benefits or seeking the care they need.

Six in ten (58%) Canadians cite affordability as a key factor impacting their well-being, and those with chronic conditions are more likely than other groups to identify rising costs and affordability issues.

Those managing physical (31%), developmental (31%), or mental health-related disabilities (28%) report that coverage amounts are often insufficient, resulting in out-of-pocket costs higher than they can justify.

Younger workers face gaps in relevance and awareness
Many in the Gen Z and Millennial generations, aged 18-34, feel that the coverage amounts offered by group benefits are insufficient and do not adequately meet their needs. While they are the most interested in making lifestyle changes to enhance their financial health, manage stress, and achieve work-life balance, many report barriers such as affordability (59%), lack of motivation (44%), and busy schedules (40%).

In addition, there is a lack of awareness about coverage, with 20% of 18-34-year-olds unsure of their benefits, compared to just 13% of those aged 35-54 and 12% of those aged 55+. To better support a younger workforce, employers can consider enhancing the relevance and communication of their benefit offerings.

"As the workforce becomes more diverse across age, gender, and health needs, employers and group benefits providers have an opportunity to reimagine what modern support looks like," says Bruin. "When employers focus on investing in more inclusive, tailored benefits, they can boost employee satisfaction while building healthier, more engaged teams."

To learn more, visit rbcinsurance.com/group-benefits.

About the RBC Insurance Survey
These are some of the findings from an Ipsos poll conducted on behalf of RBC Insurance. For this survey, a sample of 1,000 working Canadians ages 18-65 were surveyed online via the Ipsos I-Say panel between January 29-31, 2025. The precision of online polls is measured using a credibility interval. In this case, the results are accurate to within ± 3.8 percentage points, 19 times out of 20, of what the results would have been had the entire population of working adults aged 18-65 in Canada been surveyed. Credibility intervals will be wider for smaller subsets of the population.

About RBC Insurance
RBC Insurance^® offers a wide range of life, health, home, auto, travel, wealth, group benefits, annuities and reinsurance advice and solutions, as well as creditor and business insurance services to individual, business and group clients. RBC Insurance is the brand name for the insurance operating entities of Royal Bank of Canada, Canada's biggest bank and one of the largest in the world, based on market capitalization. RBC Insurance is among the largest Canadian bank-owned insurance organizations, with 2,700 employees who serve nearly 5 million clients globally. For more information, please visit rbcinsurance.com.

Media contact:
Cody Medwechuk, RBC Insurance Corporate Communications

SOURCE RBC Insurance