group income protection
Good work provides a sense of purpose, achievement and social interaction. Sometimes illness or injury mean an employee can’t work for some time, Group Income Protection can pay a replacement income so that the employee needn’t worry about their finances whilst not working.
It also offers support and assistance to employers in many ways. Early interventions and rehabilitation can be used to help manage and reduce both long-term and short-term absence.
XYZ Ltd took a Group Income Protection policy out in order to provide financial and rehabilitation support if an employee was unable to work because of a long-term illness or injury.
They wanted to pay their employees 75% of their salary if they were off sick to help them return to work when they were better. To offer their ten employees this cover, it would cost them an annual premium of £489.60 for a total benefit of £171,750. This would cover an employee if they were off work for two years.