The 2008 Principal 10 Best Companies—Benefits at a Glance
Covering the Basics
The benefits of The Principal 10 Best Companies focus on covering the four basic threats to employee financial security:
- Outliving retirement savings
- Rising health care costs
- Loss of income
- Premature death
- All 10 companies offer retirement plans; 7 out of 10 offer two or more plans, including 401(k), Profit Sharing and ESOPs.
- 6 companies offer a defined benefit pension plan.
- Among the 401(k) or 403(b) retirement plans offered;
- 9 companies provide a match to employee 401(k) contributions.
- Average employee participation rate was 91.9 percent.
- Average deferral rate is 8 percent.
Health Care Coverage
The Principal 10 Best Companies continue to share significantly in the costs of health care insurance and there is significant increase in commitment to wellness programs.
- 100 percent of The Principal 10 Best Companies 2008 offer medical insurance.
- 80 percent of companies pay at least 80 percent of an employee’s medical insurance, and 5 pay 85 percent or more of the premium.
- 7 of the 10 companies pay 80 percent or more of dependents’ premium.
- 5 of the 10 companies offer medical insurance and/or prescription drug coverage to their retirees.
- All of the winners offer wellness programs.
- 100 percent of the companies pay for group life insurance
- 90 percent of the companies pay 100 percent premiums for long-term disability coverage
- 90 percent of the companies pay 100 percent premiums for short-term disability coverage
- 60 percent offer long term care insurance
Benefit Communication and Education
- Judges noted a marked expansion in education and communication efforts by The Principal 10 Best Companies.
- 100 percent provide one-on-one meetings with financial planners or benefit specialists paid by the employer.
- Other popular communications tactics include total annual compensation statements, website postings, retirement seminars, employee meetings and benefit fairs.
See how you compare
Check out The Principal 10 Best Companies Benchmarking Chart (PDF: 74 KB).