Group Income Protection
Group income protection is a way of giving your employees an income if they need to take a long-term break from work because of illness or accident. It’s not designed to cover employees indefinitely but will provide them with a monthly amount - usually a percentage of their salary - while they recuperate.
Most policies have a deferred period before the cover starts, so you can plan the cover to start when the employee’s standard sick-pay runs out.
Different levels of cover can also be set for different employees depending on their job title or length of service.
Advantages to employees
- Long-term financial support
- Rehab and medical support (e.g. physiotherapy/psychological treatment) to speed up recovery
- Personal case-managers to advise them on returning to work
Advantages to employers
- Reduced financial impact from employee absence
- Increased likelihood of employees returning to work
- Independent support schemes to help people back to work
- More attractive benefit package for potential employees
Some policies will also give you help with workplace assessments, deal with healthcare professionals on your behalf and offer advice on conditions like stress and mental health issues.
How much will it cost?
That depends on how many people you want to cover and the level of cover you want to give them. Things like how much they earn, and their age are also taken in to account.
Generally, the price of premiums per person is less than an employee would pay if they took out the cover individually. For you as the employer, premiums are classed as a business expense, so you can offset them against corporation tax.
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