Designing an Employee Insurance Benefit – Should Your CEO Get Higher Coverage?

Jacky Ong

6/27/20252 min read

This is a question I hear from time to time—usually when HR or finance teams start reviewing the details of a corporate insurance renewal.

"Why are executives given more? Shouldn't benefits be equal for everyone?"

It’s a fair question. And one that reflects a growing expectation for fairness and transparency at work. But the answer isn’t as simple as yes or no.

Let’s unpack the rationale—and how to strike the right balance.

Why Do Executives Often Receive Higher Coverage?

The short answer: risk, responsibility, and representation.

Executives face distinct professional and personal exposures:

  • Travel risk: Many C-level leaders travel frequently—sometimes overseas—exposing them to higher medical and logistical risks.

  • Financial responsibility: In smaller firms, the absence of a CEO or founder due to illness or death could materially impact business continuity.

  • Talent expectations: Senior hires often come from environments where enhanced benefits (e.g., private care, full family coverage, executive health screenings) are standard. Competitive packages help attract and retain them.

This isn’t about inflating benefits arbitrarily. It’s about aligning coverage with the risk and expectations associated with leadership roles.

Perception vs. Fairness

Still, unequal coverage can create friction—especially when not communicated clearly.

When employees don’t understand why their CEO gets a private room while they share a ward, it can feel unfair—even if it’s justified by role risk.

This is where HR plays a critical role in communicating the logic behind benefit tiers:

  • Be transparent about how decisions are made.

  • Highlight that all employees receive baseline protection.

  • Offer voluntary top-up options at group rates.

Fairness doesn’t always mean identical—it means proportional, explained, and inclusive.

A Real-World Example

A professional services firm with multiple regional offices adopted a three-tiered health benefits strategy:

  • Executives: Full family coverage, international access, and annual executive health screening

  • Managers: Enhanced outpatient, dental, and local hospitalisation coverage

  • General Staff: Comprehensive base plan with the option to top up at preferential group rates

I worked closely with the HR director to develop clear internal messaging—framing the benefit design not as a hierarchy, but as a way to ensure everyone had access to meaningful coverage, with options to enhance based on their needs.

The result? Stronger perception of fairness, fewer employee complaints, and improved uptake of voluntary coverage.

What This Means for Your Business

A one-size-fits-all approach rarely works when it comes to employee benefits.

Designing the right plan involves:

  • Mapping roles to risks

  • Understanding employee expectations

  • Balancing financial sustainability with workforce care

This is where I come in. As an advisor, I partner with HR leaders to:

  • Review claims trends and coverage gaps

  • Benchmark against similar firms

  • Facilitate leadership discussions around fairness and structure

  • Build a benefit strategy that reflects both business risk and employee value

Final Takeaway

The best-designed benefits aren’t just generous—they’re thoughtful.

When every employee understands what they’re getting, why it matters, and how they can enhance it if they choose to, you build more than a package. You build trust.

And trust is one benefit no company can afford to overlook.