Employee Benefits Outlook 2025

Company Culture & Work/Life Balance

Did you know the oldest millennials are now 44 years old? Being in the office all day, every day is a thing of the past. Owners may not like that, but a young workforce demands it. Company culture and work-life balance continue to be important. Ignore them and risk your office door become a revolving door. Tech solutions like productivity tools and virtual collaboration platforms, streamline workflows, giving employees more autonomy over their time.

Group & Personal Health Insurance

Health insurance costs are rising across globally but especially in APAC which makes Health Insurance a must-have employee benefit. Medical inflation is ranging around 7-9% which is net of any normal inflation. So gross insurance inflation is double digits for many providers in APAC.

(from WTW)

That cost is ultimately passed to the end consumer, whether you have insurance or not. The latter making it even more valuable as a benefit. You’ve likely noticed this during your last renewal or will see at your next one. This forces companies to:

• Spend more at their renewal date due to high loss ratios
• Scale back- benefits, coverage areas, etc.
• Add in cost saving measures like deductibles, co-pays,e tc.
• Downgrade providers

You’re not alone, this is happening with many groups across APAC.

Group Life/ Key Person Life

GROUP

International group life insurance hasn’t yet reached the prominence of group health insurance. Group life is a low-cost way to add value to companies who are looking to expand their EB offering.

Have over 10 employees? Get your employees covered worldwide up to $100K, $200K, $500K USD, the “Free Cover Limit” as set by the international life insurer. The free cover limits is dictated by how many employees you have, their ages & other census data.

Key Person

EB Asia saw an uptick in Key Person Life enquiries in Q4, we expect that continue as companies make contingency plans about aging shareholders, partners, directors & other key people.

International Group Life Insurers for APAC include:

EAPs/ Wellness

Many companies are scaling back or reevaluating traditional offerings, while others are finding creative ways to add value without breaking the bank.

Low-cost benefits, like EAPs & wellness programs, and voluntary options, are becoming essential tools for businesses striving to balance employee satisfaction with financial realities.

EAPs/Wellness Providers include:

Providers/Brokers | Consolidation & Market Entry

Look for more insurer & broker consolidation to happen in 2025 as companies who aren’t constantly evolving or who have older ownership are looking to sell while they can.

In Asia, a wave of modern, tech-driven Employee Benefits providers across various industries are entering the market, offering fresh solutions that align with today’s demands. Companies that aren’t evolving risk being left behind. This applies to flexible benefits, insurance, EAPs, wellness, retirement, HR software & more.

News from EB Asia

What you can expect from us in 2025? A strong push with more:

• Useful content on our website: www.eb-asia.com including Country Guides
• Webinars, Podcasts and Video Content
• Partnerships with Employee Benefits Solutions providers

Stay tuned in the coming weeks with our formal announcements with an HR Software Company + an EAP & Wellness Solutions providers.

Both are no/low cost solutions for companies looking to enhance their employee benefits value proposition.

Final Thoughts

Now more than ever, thoughtful planning and a willingness to adapt are critical for businesses to stay competitive, attract talent, and deliver meaningful benefits that meet the needs of both their people and the times.

If you’re looking to start a conversation & get bespoke a bespoke employee benefits proposal for your company, get in touch today.

About Me & Employee Benefits Asia

I’ve worked in Insurance & Employee Benefits for nearly 11 years as the Managing Partner at Tenzing Pacific Services, who has over 138 perfect 5-star reviews.

Employee Benefits Asia is a dedicated brand of Tenzing Pacific Services to focus on creating bespoke employee benefits packages for companies in Asia that can include:

• Health & life insurance
• EAPs
• Retirement
• HR Software (complimentary for our group clients)

While EB Asia focuses on groups we still help personal clients find the right providers & plan to protect what matters most.