Group Income Protection insurance helps employers to safeguard the wellbeing of their staff by providing a replacement income for their employees during long-term absence from work through illness or injury.

Our own research shows that sickness absence can cost an organisation up to 16% of payroll. Relatively few companies however have active programmes in place to reduce these costs.

Long-term illness and injury can be a challenge for employers in many ways:

  • Employees on sick leave have to be paid. Statutory Sick Pay must be paid for 28 weeks but many employers feel obliged to extend this period.
  • Other staff may have to cover for sick colleagues resulting in production problems, overtime payments and an impact to employee morale.
  • New staff must be trained to provide a replacement either temporarily or permanently. - The Disability Discrimination Act, with changes in October 2004, requires all employers to make adjustments to the work environment to allow a disabled employee to come back to work.

Group Income Protection addresses all these realities in one simple and flexible product.

The benefits for employers are clear:

  • The cost of long-term staff absence through illness or injury can be reduced and predicted more accurately. See our cost of absence calculator to see how sickness can affect your business.
  • Employers can continue to pay employees a proportion of salary beyond the expiry date of Statutory Sick Pay requirements as this is covered by the policy.
  • Employers can also cover other Associated Business Costs on the policy e.g pension and National Insurance contributions and Group Life premiums.

For employees, Group Income Protection, enables their employers to provide the following benefits:

  • An income if they are unable to work because of long-term illness or injury.
  • Financial security for themselves and their dependants.
  • No need to rely on State Incapacity Benefits which have become increasingly insubstantial and difficult to claim if individuals are capable of doing any job whatsoever.

To discuss this in more detail please call the office on 0845 0179 578 or send an email to This email address is being protected from spambots. You need JavaScript enabled to view it.