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CHATTANOOGA, Tenn.--(BUSINESS WIRE)-- A recent study conducted by Harris Interactive and commissioned by Unum (NYSE: UNM) reveals that when it comes to employee benefits, two very different generations have something important in common: they both consider the workplace their best source of benefits education.

"As home values slip and the stock market fluctuates, it has never been more important to educate workers about their options for coverage that can help protect their financial stability," said Mike Simonds, senior vice president and chief marketing officer for Unum. "The workplace is common ground for employees of every generation, and clear benefits communication at work is particularly critical during this fall enrollment season."

According to the survey, 76 percent of employed baby boomers and 68 percent of generation Y workers say the workplace is among their most reliable sources of information about benefits.

While the survey revealed that baby boomers (ages 44 to 62) generally have a better understanding of employee benefits, it also showed that both boomers and generation Y (ages 18 to 30) report at least some confusion or a lack of information about everything from the cost of some benefits to their purpose.

    --  52 percent of generation Y workers say they are unfamiliar with critical
        illness insurance.
    --  43 percent of generation Y employees say they are unfamiliar with
        employee benefits such as supplemental health coverage or long term care
        insurance.
    --  Among employed baby boomers, 44 percent say they are unfamiliar with
        critical illness insurance.
    --  27 percent of employed baby boomers are unfamiliar with long term care
        coverage.

The survey also revealed that one in three workers from both generations who do not have these benefits feel vulnerable without them. And 38 percent of generation Y workers say they do not understand enough about these benefits to be concerned about not having them.

"These benefits can help protect the financial stability of a workforce that is unlikely to have sufficient savings to fall back on if they are ill or injured," Simonds said. "But employees who do not understand these benefits - who do not know what they are or what purpose they serve - cannot use them effectively."

Both groups ranked their income from work among their most important assets to protect (34 percent of generation Y and 31 percent of baby boomers who are employed called their income their most important asset).

Baby boomers and generation Y are large and influential groups that represent two very different elements of the American workplace.

Boomers, about 80 million strong, entered the workforce at a time when employee benefits decisions were made for them through employer-funded, one-size-fits-all packages. They have seen the approach to benefits change during their careers, and have had to become more active in making benefits decisions.

Generation Y, which numbers about 75 million, is becoming a force in the workplace as the cookie-cutter approach to benefits fades into history. Young workers face an array of benefit choices. They need to understand from the time they enter the job market how to make 401(k) selections, how to choose the right health plan, how much disability coverage they might need, and whether to opt for life insurance.

"This research makes it clear that employees are counting on their workplace for the information they need to make these decisions," Simonds said. "Partnering with employers is a critical way benefits providers can help meet that need."

About Unum

Unum (www.unum.com) is one of the leading providers of employee benefits products and services in the United States and the United Kingdom. Through its subsidiaries, Unum provided more than $6 billion in total benefits to customers in 2007.

About the Harris Interactive Survey

This study was conducted online within the United States by Harris Interactive on behalf of UNUM between August 12-14, 2008 among 1,353 adults age 18 years or older, 548 of whom are considered Generation Y (ages 18-30) and 805 of whom were Baby Boomers (ages 44-62). Of those, 363 Generation Y and 555 Baby Boomer respondents were either employed full-time, part-time, or self employed. Results were weighted as needed for age, sex, race/ethnicity, education, region and household income. Propensity score weighting was also used to adjust for respondents' propensity to be online. No estimates of theoretical sampling error can be calculated; a full methodology is available.

About Harris Interactive

Harris Interactive is a global leader in custom market research. With a long and rich history in multimodal research that is powered by our science and technology, we assist clients in achieving business results. Harris Interactive serves clients globally through our North American, European and Asian offices and a network of independent market research firms. For more information, please visit www.harrisinteractive.com.

    Source: Unum