Group risk benefits gaining popularity in flex packages

Group risk benefits are growing in popularity, according to research from industry body Group Risk Development (Grid).

The Group Risk Employer Research study of 500 UK businesses in October 2010 found 25% of employers
provide group life and group income protection (GIP) in their benefits, and 14% include group critical illness cover.

Grid spokesperson Katharine Moxham said: “This shows employers do understand the value of these packages for
themselves and supporting their employees in terms of their protection needs.”

The research also found that of the employers that do include these benefits, 13% believe they are an essential part of the core package, but 22% view them as an essential part of their flexible benefits package.

Moxham added: “Traditionally, employers have been reluctant to put group risk benefits into flex. They might have flexed the group life, but you do not often see income protection flexed.”

Some 9% of employers said these benefits helped to recruit and retain key employees.

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