Less than half (47%) of organisations offer group income protection to their staff, according to research by Jelf Employee Benefits.
Conversely, the research found that life assurance was offered by 82% of respondents, even though employees are three times more likely to be off work with a long-term illness than die.
Nearly 74% of respondents indicated that income protection insurance was of greater importance to their workforce than life assurance cover, yet the majority of employers offer life cover as standard.
Steve Herbert, head of benefits strategy for Jelf Employee Benefits, said: “What is more, even where an income protection policy has been put in place by an employer, it often only covers senior employees.†
“There is a lack of understanding among both employers and employees in terms of what income protection actually involves, and the important benefits it can offer.†
“In our view, it is a vital component of a benefits package for the 21st century, and is one of the most important benefits an employer can offer.”
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