FAQs About Insurance
Are vision benefits affordable in today's climate of rising health care costs?
In today's employee benefits marketplace, with health care costs on a steep rise, vision benefits continue to represent an affordable and valued benefits offering.
Statistics argue a strong case for offering vision benefits coverage. An estimated three-quarters of the U.S. population between the ages of 25-64—i.e., the bulk of the American work force—require some type of vision correction.
With computers playing an ever-growing role in how work is conducted, the case for offering vision benefits as a way to encourage eye health maintenance becomes even more persuasive. According to the National Institute for Occupational Safety and Health, 90% of people who use computers at work complain of computer vision syndrome, a condition caused by extended computer use. Symptoms include eye fatigue, strain, and discomfort; blurred vision; dry or red eyes; and back and neck pain.
Furthermore, improperly corrected vision among workers who use computers impacts their ability to do their jobs as effectively as possible. A study published by the American Optometric Association examined individuals performing various tasks on computers, and found that even a slight miscorrection in an individual's vision could reduce productivity by 10% and work accuracy by almost 40%.
Surveys repeatedly rank vision benefits as among the benefits employees say they want most. Not only do most employees have a need for vision care services (since so many require vision correction), but they also recognize that regular eye exams are a must for their families, because vision problems affect children's ability to learn.
Surveys show that employers, increasingly, are making some type of vision benefit available to employees. According to the Hay Group, in 2003 about 70% of American companies-up from 65% in 2001-made vision benefits available to employees.
What accounts for this increasing availability? In addition to being "valued" by employees, vision benefits represent true "value," from a financial standpoint. The cost of the benefit has remained affordable. Gains in the technology used to produce vision products have kept price increases modest. Competition between traditional vision care providers and retail outlets that offer vision products and services also has contributed to cost containment.
While some vision benefit offerings are employer-paid, vision plan vendors say most growth is in voluntary (employee-paid) plans. Buying the benefit through a workplace plan saves the employee some money in premium cost, because he/she will be buying at a group (rather than individual) rate. Employees can also enjoy the convenience of paying for the benefit through payroll deduction. However, employers considering adding a vision benefit might consider the productivity that can be gained from workers having properly corrected eyesight (see the American Optometric Association study mentioned above) and assess how these dollar gains might offset plan cost.
There are a variety of vision care plans that can be made available to employees. Plan cost will vary depending on plan features and group size, but overall vision plan cost is modest compared with many other types of benefits. Typically, vision care plans cover eye examinations and corrective lenses (eyeglasses or contacts). Plan enhancements could include coverage for laser or lasik surgery; safety eyewear for individuals in certain industries; and polycarbonate lenses for children and active adults.
How a vision benefit is provided will vary with the plan. Some plans offer discounted or reduced fee services and lenses through a list of exclusive providers or retail outlets; others use a preferred-provider approach and pay a larger or smaller benefit depending on the provider used; others pay according to a fee schedule. Plans can be insured or self-funded, with the vision vendor providing administrative services only.
With much of the benefits news today centering on cutbacks and cost shifting due to rising health plan costs, now is a good time to consider the advantages of a vision care plan.
Get Quotes
Get insurance quotes, fast and easy. Compare plans, rates and benefits with one click.
My Benefits
Current group customers can view their benefit packages online, quickly and easily.