Home  >  News & Insight  >  Employee Benefits – products and services

Employee Benefits – products and services

Employee benefits are products and services an employer pays for on behalf of their staff. Employers have a duty of care to their employees and introducing employee benefits goes some way to reassuring employees that their efforts in the workplace really count.

As well as showing a genuine care for their wellbeing, it can improve staff retention – boosting workforce morale and helping to attract staff.

Whether it’s prevention, intervention or protection, employees know they are supported with highly valuable benefits.

Here are some of the most common group insurance products that businesses provide for their staff:

  • Group Medical Insurance
  • Group Life
  • Group Income protection
  • Group Critical Illness

Simply knowing the scheme is available if they need it is often enough to give workers a boost. Meanwhile, should they ever be in a position where they’re eligible to claim on any of these policies, having such a safety net can be a huge weight off their minds.

Private Medical Insurance allows your staff to have private medical care, lets them avoid NHS waiting lists and get treatment when they need it most for short-term, curable medical problems.

It has a range of benefits which can greatly reduce stress for employees who fall sick, such as:

  • Access to the latest procedures and medications, including some the NHS may not yet fund due to cost.
  • Reduced waiting times compared to the NHS, cutting time spent off work with painful health conditions, potentially on minimal sick pay.
  • Freedom to choose the hospital and professionals which provide the treatment.

It’s one the most sought-after policies among workers and therefore very popular to introduce.

Group Life (also known as Death in Service Cover) pays a tax-free lump sum to an employee’s loved ones should they pass away during their employment at your company.

The policy is set up under a trust, which means the payout is free from inheritance tax for the beneficiaries.

Group Life Cover is fairly inexpensive and one of the simplest employee benefits a company can offer its staff.

Benefits for your employees:

  • Provides peace of mind and reassurance.
  • Premiums paid on an employee’s behalf are not treated as a benefit in kind, so are therefore not subject to income tax.
  • Any lump sum payable to dependents is not subject to Inheritance Tax.

Group Income Protection is designed to help employers manage long term sickness absence more effectively. By providing a guaranteed income for employees who are unable to work because of illness or injury, an employer can help to support them financially through what can be an emotionally and financially stressful time.

It’s not just about paying claims – it’s about supporting your workforce in all aspects of life. The aim is to reduce the risk of an employee being long-term absent, providing access to rehabilitation specialists to support employees as they plan their return to work.

The benefit will be a proportion of salary and is payable after an employee has been off work for an agreed length of time.

The benefit is paid to you as the employer by the insurer.  You then pay your employee via PAYE, therefore employees pay income tax on the benefit, just as they would on their salary.

Group Critical Illness offers a ‘living benefit’ to employees, who can use the lump sum provided to help towards any expense they choose, such as treatment costs, nursing care, financial commitments, or changes that their illness necessitates to their lifestyle or home. Many people diagnosed with a serious illness can make a full recovery and return to work.

Support Services – These services often come with their group protection and can offer huge value to employees at a time when it’s really needed.

Some of the more popular include:

  • Medical and financial assistance helplines
  • Counselling / cognitive behavioural therapy (CBT), either face-to-face or over the phone
  • Remote GP services
  • Bereavement counselling and legal support for employee’s family and colleagues

We can help you structure your employee benefits package to maximise it’s worth to both you and your employees. Please contact us for more information about our services.


This is a marketing communication.

Wealth Management
Posted by Stacey Cole
4th March, 2021
Get in touch with Stacey Cole