Assurant 2007 Annual Report Download - page 10

channeled for
The realignment of Assurant Employee Benets to focus
on the small business market and capture the emerging
growth opportunities was one of the rst steps along the
way to implementing its long-term strategy. The business
model and targeted product offering are built to address
the critical needs of small businesses—even in changing
market conditions. Macroeconomic factors played a
role in the business results for the year. New claims and
unemployment were down, and the business was successful
in helping more claimants return to the workplace. In the
event of a broader economic slowdown—as was evidenced
in 2007—employers with fewer than 500 employees tend
to have more favorable risk characteristics than larger
companies. Moreover, because smaller companies employ
about half of the private sector workforce in the United
States, Assurant Employee Benets believes the approach
is sound and the outlook for continued growth is promising.
The business will continue to execute on the specialty
strategy and build strong relationships that will help
deliver the desired results.
A look at 2007 performance shows that the strategy is
working. New case sales in the business’s targeted growth
market were up 25% overall compared to the prior year.
Enhancing the business’s performance is the strength
found in its expanded Dental PPO network—which now
ranks as one of the largest in the country thanks to the
network access agreement launched with Aetna in January
2007. The growth in the network over the past year has
helped to improve Assurant’s success rate in winning
new business.
The business was also successful in growing its sales force
in 2007, a sales force that has been trained to specically
understand “all the ins and outs” of its local markets as
well as the unique needs of small employers. In addition
to elding a larger dedicated sales force, Assurant’s
“life experience hire” strategy—initiated two years prior—
began to reap benets in 2007. By identifying individuals
with a passion to learn and excel, the business was able
to recruit and retain people that draw on their broader
In 2007, Assurant Employee Benets began to see the early returns of its focus on
addressing the needs of smaller employers (those with fewer than 500 employees).
The business continued executing on its strategy and worked diligently to make
doing business with Assurant easy for brokers and customers. Coverage options were
added that address the needs of smaller businesses. The business expanded its dental
network—providing more choice to its customers—and continued to forge relationships
with broker partners who emphasize the small employer market.