Aflac Helps Business Owners Reduce Costs, Increase Employee Benefits

Group short-term disability insurance policy adds guaranteed-issue, with credit for pre-existing conditions and a portability option


COLUMBUS, Ga., Oct. 20  /PRNewswire/ -- Managing the cost of employee benefits is one of the greatest challenges businesses face today. In fact, recent Aflac surveys of business owners found that 62 percent of respondents said it's more difficult than a year ago to offer strong benefits packages. At the same time, 60 percent of respondents said the productivity of their workforce declines when employees are dealing with an illness or accident in the family.

In response to changing market demands and employers' needs, Aflac has enhanced its group short-term disability (GSTD) policy, allowing businesses to offer competitive, quality benefits to employees, at no direct cost to the company. Aflac's GSTD features include:

  --  Guaranteed-issue: The monthly benefit has been increased to a maximum
      of $3,000 for those who qualify, subject to certain requirements. Full
      underwriting is not necessary.


  --  Credit for pre-existing conditions: If the GSTD policy replaces other
      group short-term disability coverage, employees receive credit toward
      Aflac's pre-existing conditions limitation clause. This is based on
      the number of months the previous policy was in place for similar
      benefit amounts.


  --  Low participation requirement: The participation requirement is 30
      percent, based on a minimum of 100 employees.


  --  Portability: Employees have the option to obtain an individually-owned
      short-term disability insurance policy if they change employers,
      subject to certain requirements.




Aflac's GSTD policy is an effective way to provide income protection to employees through cash benefits if they're unable to work due to a covered illness or off-the-job injury, and helps to attract and retain a productive workforce.

"Today's rising health care costs and slowing economic growth have made it increasingly difficult for employers to offer strong employee benefits packages," said Karen Riedel, second vice president, director of Aflac Product Marketing. "In response to this, Aflac has revised its GSTD policy to allow employers to improve their breadth of benefit offerings with no additional impact to their bottom lines, while helping to bring much-needed peace of mind to their valuable employees."

Survey Methodology

The Aflac small business survey was conducted by Accelerant Research among a sample of 512 decision-makers at U.S. small businesses with 5 to 99 employees and annual revenues of at least $1,000,000 via an online survey between March 9 and 12, 2009. The Aflac "Why Supplemental" survey was conducted by Accelerant Research among a sample of 1,154 decision-makers at U.S. companies ranging from 2 to 5,000+ employees via an online survey between the dates of (need to confirm dates).

About Aflac

For more than 50 years, Aflac products have given policyholders the opportunity to direct cash where it is needed most when a life-interrupting medical event causes financial challenges. As the number one provider of guaranteed-renewable insurance in the United States and the number one insurance company in terms of individual insurance policies in force in Japan, Aflac insurance products provide protection to more than 40 million people worldwide. In 2009, Aflac was recognized by Ethisphere magazine as one of the World's Most Ethical Companies for the third consecutive year and was also named by the Reputation Institute as the Most Reputable Company in the Global Insurance Industry for the second consecutive year. In 2009 Fortune magazine recognized Aflac as one of the 100 Best Companies to Work For in America for the eleventh consecutive year. Fortune magazine also ranked Aflac No. 1 on its global list of the Most Admired Companies in the Life and Health Insurance category. Aflac appears on Hispanic Enterprise magazine's list of the 50 Best Companies for Supplier Diversity and on Black Enterprise magazine's list of the 40 Best Companies for Diversity. Aflac was also named by Forbes magazine as America's Best-Managed Company in the Insurance category. Aflac Incorporated is a Fortune 500 company listed on the New York Stock Exchange under the symbol AFL. To find out more about Aflac, visit aflac.com.

  (Logo: http://www.newscom.com/cgi-bin/prnh/20090422/CL03654LOGO)


  Media Contact:
  Darcy Brito
  Aflac
  706.320.2358
  

http://www.newscom.com/cgi-bin/prnh/20090422/CL03654LOGODATASOURCE: Aflac



CONTACT:  Darcy Brito of Aflac, [phone], 



Web Site:  http://www.aflac.com/ 

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