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June 09, 2023

Family Building Benefits as Part of Your DE&I Strategy

Employee Benefits
3 min read
National Employee Benefits Practice
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Family Building Benefits as Part of Your DE&I Strategy
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As Diversity, Equity & Inclusion (DE&I) efforts become a key performance measure, many organizations are increasingly considering their DE&I and Environmental, Social & Governance (ESG) values together with their boardroom metrics to build their total rewards strategy, which includes employee benefits.

Today’s employees are expecting equitable workplaces where they see equal consideration and support in not just their compensation, but also from their employer’s benefits package. This combined demand has led to a proliferation of nontraditional benefits, meaning those benefits that extend beyond traditional health, dental, vision, and short- and long-term disability. Nontraditional benefits now encompass a variety of programs and includes family building benefits, which comprises all aspects of forming and supporting a family from health benefits to parental leaves and childcare, representing an area to consider as part of a comprehensive DE&I strategy.

Family building benefits are on the rise

The International Foundation of Employee Benefit Plans (IFEBP) has been tracking fertility and family-forming benefits over the past seven years, with findings from its 2022 Employee Benefits Survey highlighting that U.S. organizations are increasingly offering fertility benefits not just for fertility medications and treatments, but also for non-traditional family building methods such as egg harvesting and freezing services. This helps to meet the needs and desires of a broader demographic pool because today’s talent places high value on family building benefits regardless of gender identity, sexual orientation, or relationship status.

Fertility benefits are broadening as is the definition of family

As the definition of family has broadened, there are proposed changes in the works at the state and federal levels to keep step with fertility benefits. For example, the U.S. Department of Health and Human Services is in the process of revising regulations under Section 1557 of the Affordable Care Act that could have implications for fertility treatment coverage. Considerations include changes to certain health plans covering fertility treatment for policyholders regardless of sexual orientation or gender identity. This change could lead to redefining the definition of infertility used by insurance plans to determine IVF eligibility.

Do nontraditional family building benefits make sense for your organization?

It’s important to assess what nontraditional family building benefits may help close the DE&I gap in your organization. Start with tapping into the family building needs of your current employees. You can “listen” through surveys and focus groups.

It is worth exploring the answer to that question if your organization is approaching DE&I in a meaningful way, and unsure if it increases value in attracting and retaining a diverse employee pool.

Exploring nontraditional family building benefits can be daunting. Contact us at benefits@risk-strategies.com for more insight or ask a Risk Strategies representative for our latest white paper, Family Building Benefits & Policies – New Territory for Creating a Strong DE&I Strategy.

With more than 7,000 clients managed in our National Employee Benefits Practice, Risk Strategies delivers the high-quality, cost-effective, and compliant benefits programs and solutions employers need and employees value. Visit risk-strategies.com for the latest observations in employee benefits.

The contents of this article are for general informational purposes only and Risk Strategies Company makes no representation or warranty of any kind, express or implied, regarding the accuracy or completeness of any information contained herein. Any recommendations contained herein are intended to provide insight based on currently available information for consideration and should be vetted against applicable legal and business needs before application to a specific client. 

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