Overview

1. Study Methodology India Australia Overview Overview U.K. Study of International Employee Benefits Trends United Kingdom Mexico

2. MARKET PROFILE • 6th largest global economy57 • GDP of $2.1 trillion58 • Annual national income per capita: $40,18059 • Developed, wealthy nation • Dominated by services sector (73% of GDP)60 • Working age population (ages 15-64) expected to grow from 39.7 million in 2005 to 40.7 million in 203061 • Median age 38.9 years62 • Life expectancy at birth: 78.9 years63 United Kingdom - Profile India Australia

3. BENEFITS AT A GLANCE United Kingdom - Profile • The National Health Service provides publicly funded health care. However, private health insurance is common.64 • The government provides the Basic State Pension, and provides for tax incentives for workers to fund their own personal pensions.65 • The insurance and financial products markets are highly developed and competitive.66 Overview India Australia

4. TOP THREE FINANCIAL CONCERNS AND WORK/LIFE GOALS OF EMPLOYEES U.K.: MOST IMPORTANT BENEFITS OBJECTIVES OF EMPLOYERS THAT OFFER BENEFITS 83% RETAINING EMPLOYEESS ATTRACTING EMPLOYERES 78% INCREASING EMPLOYEE JOB SATISFACTION 75% INCREASING EMPLOYEE PRODUCTIVITY 71% CONTROLLING HEALTH AND WELFARE BENEFIT COSTS 54% United Kingdom – Employer Perspective Most U.K. employers offers some benefits, which companies see primarily as a means of retaining and attracting employees. Overview India U.K. Percentages have been rounded to the nearest whole number. Study Methodology

5. TOP THREE FINANCIAL CONCERNS AND WORK/LIFE GOALS OF EMPLOYEES U.K.: BENEFITS OFFERED BY EMPLOYERS THAT OFFER BENEFITS 94% PENSIONS PRIVATE MEDICAL INSURANCE (PMI) 82% LIFE ASSURANCE 66% LONG-TERM DISABILITY OR PERMANENT HEALTH 43% 31% CRITICAL ILLNESS INSURANCE 30% TRAVEL INSURANCE AUTO INSURANCE 27% Percentages have been rounded to the nearest whole number. United Kingdom – Employer Perspective The majority of U.K. companies offer their employees pensions and private medical and life insurance however few employers have sought to differentiate themselves by expandingbenefits beyond this minimum. Overview India U.K. Study Methodology

6. United Kingdom – Employee Perspective For a group that has been relatively pro-active in assessing and planning for their financial needs, U.K. employees surveyed seem less than fully prepared in many other health-related issues. 40% of U.K. employees surveyed are extremely concerned with having more time to spend with families. Behind job security and having enough money to live on. • 45% of U.K. employees have critical illness insurance. • 35% have long-term disability, or permanent health insurance. • 26% have dental insurance. • 11% have long-term care insurance.

7. TOP THREE FINANCIAL CONCERNS AND WORK/LIFE GOALS OF EMPLOYEES U.K.: WHERE EMPLOYEES OBTAINED DIFFERENT FINANCIAL PRODUCTS 48% PENSION 22% 12% 10% CRITICAL ILLNESS 34% 1% 18% 51% LIFE ASSURANCE 13% 11% PERSONAL ACCIDENT COVERAGE 32% 3% 28% PRIVATE MEDICAL INSURANCE (PMI) 14% 1% Workplace Outside Workplace Both United Kingdom – Employee Perspective Among those who do own these products, most purchased them outside the workplace. Overview India Australia U.K.

8. Benefits Strategies for Tomorrow, Today United Kingdom - Conclusions U.K. companies recognize the potential value of benefits programs in attracting and retaining workers—a task that looks to become increasingly challenging due to demographic changes occurring the workforce: Overview • Consider financial education programs to assist employees in making the many important decisions facing workers forced to shoulder more responsibility for their own financial security. • Employers can increase the impact of their benefits plans by offering programs that provide employees with better work/life balance. • When expanding benefits plans, start with insurance. India Australia U.K. Study Methodology