Most Employers Will Continue Domestic Partner Benefits

Firms surveyed indicated they only provided domestic partner benefits because same-gender couples previously couldn’t marry, but there are other reasons to continue offering the benefits.

Slightly more than half of employers believe the Supreme Court ruling about same-gender marriage will have an impact on their organization, according to a survey from the International Foundation of Employee Benefit Plans (IFEBP).

Fifty-seven percent of employers surveyed indicated they offer benefits to same-gender domestic partners, and 45.4% offer it to opposite-gender domestic partners. Nearly 30% that offer same-gender domestic partner benefits say it is unlikely they will continue offering them, and less than 20% that offer opposite-gender domestic partner benefits say it is unlikely they will continue to.                 

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The number one reason given for dropping domestic partner benefits was that it was only offered because same-gender domestic partners couldn’t marry, but now they can. However, respondents cited many reasons for continuing to offer domestic partner benefits.

More than 45% cited the ability to attract and retain quality employees as the reason to continue benefits for same-gender domestic partners, and nearly 53% cited the same reason for continuing domestic partner benefits for same-gender couples. Other reasons cited include: We recognize all types of families (38.1% and 42.3%); It is the right thing to do (35.2% and 36.1%); and couples are choosing to stay in domestic partnerships and not marry (23.8% each).

Organizations also weighed in on the impact of the Supreme Court marriage ruling on the ease of benefits administration. Most (53.1%) anticipate the ease of administration will be about the same, while one-quarter (25.2%) anticipate it will be somewhat easier and 12.8% said it will be much easier. Only 9% indicated they anticipate benefits administration to be somewhat or more difficult after the ruling.

To view respondent demographics and the findings of the survey, visit www.ifebp.org/domesticpartnerbenefits.

MassMutual Appoints Pension Buyout Leader

MassMutual’s new pension buyout business leader takes on the role during a peak time for risk transfer activity. 

As part of its strategy to deliver solutions in the expanding defined benefit (DB) pension transfer market, MassMutual has appointed Lynn Esenwine as vice president of its pension buyout business.

Esenwine takes on responsibility for market and business development across the pension risk transfer spectrum. Her role covers adviser and key account management; product and solution design; quoting and analysis of business cases; oversight of plan support; and identifying future opportunities in the risk transfer market. She reports to Keith McDonagh, senior vice president and chief financial officer for MassMutual Retirement Services.

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MassMutual, like other insurance product providers, says the stage is still set nicely for increased pension risk transfer activity, so the firm will “look to capitalize on the growth.” Esenwine’s appointment comes as MassMutual is also “seeing increased interest from advisers whose clients are seeking ways to reduce their long-term pension risks and costs,” McDonagh adds.

Esenwine has 14 years’ experience in the retirement plan industry and joined MassMutual from Prudential Retirement, where she served as a vice president within the institutional pension risk transfer business line.  In that role, she delivered pension risk transfer solutions, while also developing intermediary and customer relationships. In addition to holding several FINRA and insurance licenses, Esenwine received a B.S. from Pennsylvania State University and an M.B.A. from the University of Connecticut. 

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