Group Income Protection: Providing Benefits For Both Employers & Employees

In Business, Group Income Protection, Protection by Paul Connolly

Employee sickness absence is an inevitable part of running a business. After all, everyone feels under the weather from time to time and the best remedy is to simply have a day off.

But what about more serious illnesses that require extended periods away from work? The impact they can have on both the employee and employer can be hugely significant. That’s why products that provide financial protection and rehabilitative support when an employee is absent due to ill health or disablement are so valuable.

One such product is Group Income Protection.

What is Group Income Protection?

Group Income Protection provides a vital safety net at a difficult time, helping employees by giving them an income while they are off work and providing employers with tools to support their staff, manage absence, and control the costs of long-term sickness.

Key benefits of Group Income Protection

For employers:

  • It reduces the financial impact of long term absence.
  • Provides support where appropriate to help employees return to work.
  • Enables collaborative absence processes and better management information.
  • Helps the employer and HR department manage sickness absence from the very start of the process.
  • Helps to enhance an employer’s benefits package, allowing them to attract the best talent.
  • It also shows that they are an employer who cares about their workforce and this can lead to improved morale, motivation and productivity, which in turn boosts retention.

For employees:

  • It provides financial support when absent because of long term illness or injury.
  • Which massively reduces stress at a time when the individual should be focused on getting better.
  • Where appropriate, it allows fast track funded rehabilitative treatment, such as physiotherapy and psychological care.
  • This early intervention and rehabilitation supports employees from early on in their absences with the key aim of getting them back into work faster.
  • Rehabilitative support can be provided throughout the employee’s absence and even cover their return to work.

How much does Group Income Protection cost?

The cost of Group Income Protection ultimately depends on a number of factors relating to a business, including:

  • Employee age
  • Employee gender
  • Job roles
  • Salaries
  • Whether the employee is already on long-term sickness leave

Then there are a few policy requirements which will also have an impact on the premium, like:

  • For how long the cover will pay out
  • The deferred period (this is the length of time an employee has to be absent before the cover kicks in)

However, having said all of that, Group Income Protection usually costs around 1% of salary roll as a rule of thumb. When you consider the benefits it affords, it’s easy to see why so many businesses choose to offer this valuable cover.

Contact us today to find out how Premier Choice can help you secure Group Income Protection that’s right for your business and employees.

I joined Premier Choice Group as a Healthcare & Protection Consultant in 2017, where I now look after the needs of over 200 clients nationwide. Prior to joining the Premier Choice Group, I worked for a large Private Healthcare Insurer, VitalityHealth, and managed SME and Individual clients across the country.