Consider carefully before signing up for benefits at a reduced cost when they are offered by and through your employer (e.g. working for Metlife and buying Metlife insurance).
You may be taking on more risk than your realize through your workplace. If you do not already, at some point you will have a job. The first day of work is typically spent filling out paperwork for human resources. This involves selecting a healthcare provider, dental, vision, life insurance, your 401(k), optional coverage, and any other benefits they might have thought up that allows the employer to pay you less cash (remember to ask how much time you have to decide on your benefit elections so that you can seek advice from friends or family if necessary, typically thirty days).
General advice aside, your employer may offer you benefits through affiliates, particularly if you happen to work for a major corporation or financial firm. Often this can translate into reduced prices on company stock, insurance, investment options, or even medical benefits if you happen to work in insurance. In addition to the costs of these benefits, there is a hidden risk.
Not that kind of Risk, let's try to stay on topic here, people!
If something happens to your employer, the financial stress of your termination will be compounded if you have a stake in financial options offered through the firm: -The most common issue is stock purchases at a reduced price. If the company tanks, it can destroy a retirement portfolio. Bear Stearns (this just happened) and Enron employees know this risk all too well. The moral: emphasize mutual funds in your 401(k) to diversify individual stock risk.
-If you have health benefits through your employer, which also happens to be the insurer, you may have to switch providers during unemployment, possibly to an inferior government plan. For example, working for MetLife and having a MetLife policy, having Metlife liquidate, and being forced to find a new insurer. Unlikely, given their size and affiliated businesses, but possible.
-If your 401(k) is filled with mutual funds that are managed by your employer, you may not be getting the best investment selection or lowest cost. For example, being employed by GE and owning GE Asset Management funds.
-If you work for a bank, having a bank account with the firm. Despite FDIC insurance, it may be risky if the bank goes under and you are terminated.
The list continues. The thrust is that certain benefits equate to putting multiple eggs in one basket, and you should weigh carefully the potential downsides of something happening to their provider particularly if the provider is also your employer. You may pay more for third-party asset management, for example, but the consequences of becoming unemployed and the asset manager losing your assets are at least independent of one another.