How a Legal Plan Can Ease Stress, Boost Wellness Research Study ❚ Conducted by Russell ResearchSM and ARAG®

April 2013

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The Study

To learn more about the prevalence of the underlying causes of stress due to a legal issue, ARAG commissioned Russell Research, a New York-based research firm, in December of 2012 to interview 417 general consumers that had a legal issue in the past year.

ARAG conducted a separate survey for a better understanding of how a legal plan helps relieve stress. Interviews were conducted with 454 people enrolled in a legal plan who had interacted with ARAG regarding a legal issue in the previous year.

The results of these two studies, along with a review of existing research about the negative effects of stress on health, are summarized in this document.

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Legal Plans Can Decrease Stress, Improve Health

Medical experts have clearly established that stress puts people at risk for health problems and causes businesses billions of dollars due to absenteeism and reduced productivity.

By gaining greater knowledge of the underlying causes of stress, we can take action to reduce stress and make a positive impact on the health and productivity of American employees.

According to a study commissioned by ARAG®, a global provider of legal solutions, legal issues can be a cause of stress, due to:

❚ Difficulties in finding the right legal help❚ Paying for that help❚ Finding the time to solve problems ❚ And many related issues

More than 40 percent of adults have suffered from adverse health effects caused by stress.¹

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43 Percent of Adults Have Suffered From Adverse Health Effects Caused By Stress1

A more in depth look at the statistics shows that American adults clearly understand the negative effects of stress:

❚ 83 percent think stress has a strong or very strong impact on health❚ 94 percent think stress can contribute to major illnesses

Those perceptions are very much in tune with reality. Between 75 percent and 90 percent of doctor visits are for stress-related issues.

While stress obviously takes a great toll on workers’ health, it is also very damaging to businesses when workers show signs of increased absenteeism and lower productivity.

By better understanding the causes of stress and how to reduce it, employers and employees have the opportunity to increase overall health, reduce expenses and save time.

Legal Issues Cause Stress

According to a previous ARAG study, the majority of Americans with legal issues feel stressed by those issues−with 73 percent reporting they felt “extremely,” “very” or “somewhat” stressed by one or more of their legal situations3, such as creating a Will or credit issues.

In the new Russell Research study, many consumers indicated they were “very” or “somewhat” stressed by several aspects of their legal woes.

The study also examined the impact legal stress had on workplace productivity ❚ 65 percent feel stressed about the ability to stay focused at work while experiencing a legal issue❚ 59 percent feel stressed by the possibility or reality of having to take time off work to deal with

the situation

Workplace stress costs businesses $300 billion annually.

Don’t know where to turn or how to get started

Don’t understand options

Time commitment

Legal costs Finding an attorney

TOP CAUSES OF STRESS DUE TO LEGAL ISSUES

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Stress Reduced by Membership in a Legal Plan The new research conducted by ARAG shows that having a legal plan can greatly reduce stress during a legal issue.

What concerns did members feel less stressed about due to their legal plan?

91% don't know where to turn or how to get started“While not every situation can be anticipated, knowing with certainty, the first place to turn to helps keep that stress down.” Alex J. ❚ South Bound Brook, NJ

90% don't truly understand their options and what might be best“Having the plan reduces stress by knowing that I have the expertise and resources available when a situation arises. I have used the plan benefits in the past and consider them mandatory for the future.” Mitchell H. ❚ Commerce TWP, MI

85% are worried about the time commitment that has been or may be necessary“It was helpful to us financially that our attorney who did our Wills was an ARAG attorney. My husband needs a different type of attorney now … and will use the ARAG legal plan to find one. All of these situations were much less stressful due to having the ARAG legal plan.” Karen R. ❚ Milford, OH

85% are worried about the amount of money they had (or will have to spend) “It helped me and my family a lot by not having to look too far for an attorney and also the stress of coming up with additional money for the purchase of our house.” Marjorie P. ❚ Norton, MA

Legal Plans Improve Productivity

Responses by legal plan members indicate that having a legal plan helps reduce the tremendous cost of stress in the workplace. Among those surveyed:

85 percent indicated they have the resources they need so they can stay focused at work“It allowed me to continue my work life in a normal way without numerous interruptions while this process was ongoing. My issue was settled promptly, professionally and with as little stress as possible.” Jobie S. ❚ Savannah, GA ⁵

84 percent indicated they have the resources they need so they don’t have to take any more time off work than necessary “Knowing that I could find legal tips online and speak to a lawyer immediately was a tremendous stress buster. I was able to approach my problems before or after work and that allowed me to continue with my day in a productive way.” Sharon R. ❚ Wayne, PA ⁵

87 percent of members feel the ARAG Legal Plan reduces their stress overall when handling a legal situation.⁴

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When Legal Issues Occur: The Stress Zone vs. The De-Stress Zone

ARAG MEMBERSGENERAL CONSUMERS

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79% feel stress related to not knowing where to turn or how to

get started.

59% feel stress related to the possibility of (or the reality of)

having to take time off work to deal with the situation.

76% feel stress related to the time commitment that has been or may be necessary to deal with one

of more of their situations.

76% feel stress related to not truly understanding their options

and what might be the best for them in addressing one or more of

their situations.

90% feel the ARAG Legal Plan reduces their stress related to truly understanding their options and what might be the best.

85% feel the ARAG Legal Plan reduces their stress related to time commitment that has been or may be necessary to deal with the situation.

84% feel the ARAG Legal Plan provides the resources they need so they don’t have to take any more time off work than necessary.

91% feel the ARAG Legal Plan reduces their stress related to knowing where to turn or how to get started in addressing the situation.

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Offer A Legal Plan for Reduced Stress and Positive Health Research shows legal issues cause stress–and stress causes health issues. These new studies help employers and employees understand potential options to solve these problems and live a more focused and productive lifestyle.

The data supports a clear reduction in stress when dealing with a legal issue for employees that have a legal plan from ARAG. As the legal plan reduces stress, it will positively impact the overall health and well being of its members.

The ARAG suite of flexible legal solutions is designed to meet the majority of the personal legal needs of the average American and his or her family. Employers pay nothing and employees gain access to a network of attorneys and other legal resources for an affordable rate.

A legal plan is a valuable benefit in attracting and retaining employees. By freeing up employees to positively deal with a legal issue, they are more focused and productive at work. Just as important, an ARAG legal plan reduces stress–benefitting the health of your employees and your bottom line.

“Regardless of the legal issue that arises, I know that I am prepared to deal with any situation because of my ARAG Legal plan. It’s like having auto insurance. You don’t want an accident, but if it happens, you know that it’s already taken care of, so you don’t stress out over any situations.”Tamar G. ❚ Culver City, CA

For more information, please visit www.ARAGgroup.com or call 800-888-4184.

SEE THE CONNECTION.

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ARAG ® (www.ARAGgroup.com) provides affordable legal solutions through trusted service to help people protect what matters most. ARAG is a world leader in legal protection services. The company has an international premium base of nearly $2 billion and protects 15.5 million individuals and their families.

ARAG’s North American headquarters are based in Des Moines, Iowa. We are committed to providing our customers a choice of legal solutions to help them live a life full of opportunities. We demonstrate expertise, integrity and passion in everything we do to serve our customers and make a positive difference in our community. We are proud to sponsor ARAG Free Will Day, providing low and middle income citizens with free access to attorneys for the creation of important legal documents to protect their family, finances and future.

We’ve earned both a Top 100 Call Center title (2010-11) and the prestigious Center of Excellence Award for an unprecedented six years running (2007-2012).  Additionally, ARAG is recognized as a Best Places to Work in Insurance (2009-2012) by Business Insurance Magazine. This esteemed honor is based on workplace culture and employee feedback.

For more news and information about ARAG, visit ARAGgroup.com.

1 2012 American Medical Association and American Psychological Association Stress in America™ survey 2 The American Institute of Stress Web Site, 2007 3 ARAG, “Measuring the Effects of Employee Financial and Legal Woes,” March 20124 Reduces stress refers to those who stated “yes” or “somewhat” in regard to whether their legal plan reduces stress.5 Testimonials are from actual ARAG plan members.

©2013 ARAG North America, Inc.