Corporate

Wealthcare can assist in enhancing the positive culture experienced within a business. By implementing various group employee benefit arrangements, an employer can boost their staff retention levels and hold on to quality staff.

Various benefits are detailed below:

Group Life Cover

This offers a valuable Death-In-Service benefit for employees whilst working for their employer. The benefit pays a lump sum to the employee’s dependant(s) which is intended to help them through some of the difficulties that losing a breadwinner can bring.

There are economies of scale in obtaining group terms which means that an employer can offer a multiple of salary benefit for their employees at a reasonable cost to the business and as part of the employee’s overall benefits package.

It can be the best way for the employee to put fairly high levels of cover in place and as the employees are underwritten on a “scheme basis”, there is often no need to underwrite each one individually.

It is put in place to run alongside some form of Company Pension scheme although it is costed and insured separately to allow the adviser to secure the best rates year on year.

Tax Considerations

Generally, Group Life Insurance policies operate within HM Revenue & Customs’ regulatory framework for a registered occupational pension scheme. This enables lump sum death in service benefits to be paid tax-free up to the Lifetime Allowance.

Group Critical Illness Cover

Group Critical Illness cover provides an employee with a tax-free lump sum following the diagnosis of one of a defined list of serious conditions or undergoing one of a defined list of surgical procedures. The benefit is paid once the employee has survived for a specified period.

The option to include permanent and total disability can usually be offered.
The employer generally obtains corporation tax relief on premiums, but is liable for Class 1A National Insurance.

Group Private Medical

Group Health Insurance helps an employee obtain prompt, private medical treatment. It is designed specifically to treat acute conditions that start after the policy begins. An acute condition is regarded as a disease, illness or injury that is likely to respond quickly to treatment.

There are a variety of options, levels of cover and restrictions that can apply to this insurance, so particular attention should be paid to the terms and conditions of any policy. The premium paid by an employer can be offset against corporation tax and premiums are treated as a P11D benefit for employees.

Group Income Protection

Group Income Protection provides the benefit of a continuing income if an illness or injury prevents an employee from working or they have to work reduced hours for a prolonged period of time. Benefit is usually paid after a deferred waiting period and can be payable until death, retirement or for a fixed period.