PMS Business
Group Income Protection
Support eligible employees financially and help them return to work following a long-term illness or injury, subject to the policy terms. The scheme pays the employer, which continues to pay the employee.
What is Group Income Protection
Group Income Protection is an employer-owned policy that pays a proportion of an employee's salary if they cannot work for a long period because of illness or injury, once a deferred period has passed.
How Group Income Protection works
The insurer pays the benefit to the employer, which passes it to the employee through payroll. The employee remains employed while they are on claim, and the scheme covers eligible employees under one policy.
Benefits and support the scheme may provide
The insurance benefit is the monthly payment. Separately, many insurers offer services such as early intervention, rehabilitation and absence-management support. These services vary by provider and are not the same as the insurance benefit itself.
Which employees may be covered
Eligibility is set by the employer within the insurer's rules — for example all permanent employees under a certain age. Free cover limits and underwriting apply in the same way as for group life.
Choosing the benefit level
Benefit is usually a percentage of salary, often between 50% and 80%, and may include employer pension contributions and National Insurance depending on the insurer.
Choosing a deferred period
The deferred period is commonly 13, 26 or 52 weeks, and is usually set to start when your company sick pay ends.
Limited-term and long-term benefits
Benefit can be paid for a limited term, such as two or five years per claim, or for the long term, potentially up to the scheme's ceasing age. Limited-term schemes cost less but protect for a shorter time.
Benefits for employers and employees
Employees have reassurance their income is supported during a serious illness. Employers can manage the cost of long absences and may have access to support that helps people return to work when they are able.
Supporting absence management and return to work
Early referral to the insurer's support services can help, but no scheme can eliminate absence or guarantee a return to work. Outcomes depend on the individual and their condition.
Potential benefits and important considerations
Benefits
- Monthly benefit during long-term absence, paid through payroll
- Access to rehabilitation and early-intervention services, depending on the insurer
- Helps control the cost of long-term sickness
Things to consider
- Claims depend on the policy's incapacity definition and terms
- Support services vary by insurer and are not guaranteed outcomes
- Premiums are reviewed and can change at renewal
How it works
Getting a group income protection quotation
Designed around your sick pay policy.
- 01
Review your sick pay and staff
We look at your current sick pay arrangements and the employees you want to cover.
Scheme design agreed - 02
Compare insurers and services
We compare benefit levels, deferred periods and each insurer's support services.
Options compared like for like - 03
Implement and support claims
We help launch the scheme and explain how and when to notify a potential claim.
Scheme live, claim process clear
Ready to take the first step?
Your initial consultation is without obligation. Speak with an adviser in Croydon or over Zoom.
Group Income Protection FAQs
Usually yes. The benefit is paid to the employer, which continues to pay the employee.
As early as the policy allows. Many insurers encourage notification well before the end of the deferred period so support can start sooner.
Yes. Statutory and company sick pay still apply; group income protection is designed to start when they end.
Some insurers allow employer pension contributions and National Insurance to be included, within their limits.
Related PMS Business services
Request a Group Income Protection quotation
Speak to us about your business. Your first conversation is without obligation.
Important information
Benefits are paid only when the policy definition of incapacity is met, after the deferred period, up to the insurer's limits and subject to the policy terms.
Cover, eligibility and underwriting vary between insurers and policies.
Tax treatment depends on individual and business circumstances and may change. We do not give tax advice; please speak to your accountant or tax adviser. The Financial Conduct Authority does not regulate tax advice.
Before you proceed we will confirm in writing whether PMS Mortgages advises on and arranges this cover, or introduces you to another firm, and what that firm's role is.