Unum is introducing a new level of income protection cover, designed to support the nine out of ten UK employees who do not currently have a financial back-up plan in place against long-term illness or injury.
The cover is intended to relieve the financial burden and stress from an employee and ensure that their essential costs, such as mortgage payments, bills and transport, can be paid while they recover.
It will provide up to 60% replacement income with no offset for state benefits at a lower cost, helping employers to offer everyone in the workplace a back-up plan.
The cover will continue to pay until retirement for those employee who do not return to work. However, Unum’s rehabilitation programme will ensure that the majority can return to the workplace within two years.
Tom Dupuis, head of products at Unum UK, said: “In the current economic climate, employees value their benefits package far beyond its short-term monetary value.
“Income protection provided through the workplace extends the financial security of employees, meaning they have a back-up plan in place if they are unable to work due to illness or injury.
“Employers tell us that cost is often a barrier to offering income protection to all staff, so we have developed a low-cost option, which is still tax deductible.
“Budget-conscious employers can now cover their entire workforce, allowing employees to protect their essential costs, and have access to professional and financial assistance to facilitate a return to work.”
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