We
recently spoke with Sherry Wertz, the Director of the Cruise Division at MHG
Insurance, about the evolution of
Crew
Benefits
in the cruise industry, emerging trends, and how cruise employers
are improving their benefits to address challenges in attracting and retaining
talent.
With
over 30 years of experience in the cruise industry, Sherry is a well-recognized
authority on Crew Benefits. Her career began onboard before she transitioned
into senior management roles across multiple cruise lines, concessionaires, and
companies supporting the cruise sector. Sherry’s extensive industry knowledge
and Crew Benefits expertise allow her to connect easily with both seagoing crew
members and corporate leaders, understand their challenges, and provide
effective solutions.
Let’s
dive in!
Q: MHG has been providing insurance advice and
guidance to the cruise industry for over 30 years. How have Crew Benefits, and
the industry's approach to providing them, evolved during that time?
Years
ago, health benefits were mostly just for senior officers in the Deck and Engine
departments. But that’s really changed. More and more employers are seeing the
value in offering health coverage to all officers and crew. Offering some form
of healthcare coverage not only supports the well-being of employees but also
benefits employers by creating a healthier, happier, and more productive
workforce.
Q: What key factors have driven these changes, from
regulatory requirements to shifting crew expectations?
The
Maritime Labour Convention, or MLC, really helped set the standard for
protecting the welfare of crew at sea. It holds cruise lines accountable and
makes sure they’re meeting those requirements. On top of that, with so much
information available online now, crew members are more informed than ever. They
know their rights, understand what fair treatment looks like, and are more aware
of the standards that should be in place.
Q: With attraction and retention continuing to be a
challenge, how does investing in Crew Health insurance impact recruitment and
long-term retention of officers and crew?
Competitive
recruitment is essential. Many officers and crew are looking for employers who
value their contributions. Providing a strong Crew Benefits package is a
powerful way to show that appreciation and stand out as an employer of
choice.
Q: What are cruise lines doing to differentiate their
benefits packages to stay competitive in attracting and retaining top
talent?
More
and more cruise employers are expressing interest in offering retirement or
loyalty bonus packages to their officers and crew. These plans can be started
with just a small group of participants and a modest investment, then allowing
them to grow over time. It’s a great way to help your team plan for the future
while also encouraging them to stay with you. While we don’t handle this
directly, we work closely with a trusted financial services partner who has over
40 years of experience in this area.
Q: Are there specific benefits that have been
particularly effective in improving crew satisfaction and engagement?
Dependent
coverage, for sure! Crew members appreciate being able to add their spouse or
children to the health insurance plan. Even if the crew member has Vacation Only
coverage, the dependent coverage is in effect year-round, offering their
families continuous coverage and peace of mind.
Q: Based on your experience, is medical coverage
still the most valued benefit among crew, or are other benefits gaining
importance?
Yes,
medical coverage is still the number one benefit that officers and crew really
value.
Q: Costs are always a concern. How can cruise lines
strike the right balance between offering competitive coverage and managing
expenses effectively?
Providing
a Vacation Only plan for a small group of officers and crew can be a good option
for employers wanting to provide benefits but who may have a tight budget.
Another option may be to select a higher deductible, which helps keep costs down
while still giving your crew meaningful coverage. It’s all about finding the
balance between value and expense.
Q: Are there cost-effective ways to enhance coverage
without significantly increasing premiums?
Again,
higher deductibles can help manage costs while still offering valuable coverage.
Make sure you’re also tailoring the plan to your crew. For example, if the
insured population does not include U.S.-based members, excluding U.S. coverage
can lower costs while making the plan fit your team’s needs better. It’s really
about adjusting the plan to what makes sense for your crew.
Q: What advice would you give to smaller, boutique
cruise lines that have recently entered the market and may not have an
established crew benefits program yet?
Start
small. Consider offering a Vacation Only plan with a deductible to your senior
officers. It’s a smart way to keep costs manageable while still giving your crew
meaningful benefits. Plus, it sets a solid foundation you can build on as your
Crew Benefits program grows down the road.
Q: Looking ahead, what Crew Benefits trends should
the cruise industry be preparing for over the next 5 to 10 years?
Start
preparing now to expand your benefits. Medical for officers, crew, and their
dependents is key now, but employers should be looking to add Long Term
Disability and Life insurance as well as Retirement or Loyalty Bonus-type
packages in the future.
Q: Is there anything else that cruise line management
may not be thinking about when it comes to Crew Benefits, but should be?
I
think crew mental health and overall well-being deserve far more attention.
While organizations like ISWAN offer valuable resources such as Seafarer Help,
I’d like to see more cruise line employers take a more proactive role in
championing mental health support onboard.
Having
worked at sea, I know how rewarding a career at sea can be but also how
isolating and challenging it is sometimes. Making mental health resources more
visible, accessible, and embedded in company culture could make a significant
difference in crew morale, productivity, and retention.
Q: MHG introduced benefits to the industry over 30
years ago. What do you think keeps us competitive and at the forefront of the
industry today?
It
is our expertise and our commitment to client service. Clients say we take the
time to understand their insurance needs and respond quicker to their questions
and requests than anyone else they've worked with. Some have even asked if
they're our only cruise client, which is the ultimate compliment and says a lot
about how personalized our service feels. Just a few weeks ago, we got that kind
of feedback again.
Officers
and crew also regularly thank us for being there for them, whether answering
coverage questions or helping with claims. We enjoy our jobs and genuinely care.
That really makes us stand out.
Thank
you, Sherry, for sharing your Crew Health expertise with us. Your passion for
the cruise industry and dedication to helping employers offer the best possible
benefits really shines through. MHG
is known for providing expert guidance and personalized service that truly makes
a difference for both employers and crew. To learn more, visit mhginsurance.com
or
get in
touch
with us directly.