What is Group Salary Continuance Insurance?

Salary continuance insurance (you might know it as income protection insurance ) provides a monthly income if a worker's illness or injury prevents them from doing their job.

For a business, taking out group salary continuance insurance, or group income protection insurance, is more than just another insurance option. It’s a way to make your employees feel safe and valued, while also protecting the future of your business.

Taken out on behalf of employees, group salary continuance provides a form of income protection generally equating to a maximum of 75% of an employee's income. It also removes an employer's dilemma in financing extended leave or replacement costs, ensuring minimal impact on day-to-day operations.

Why Take Out Group Salary Continuance Insurance?

Smart businesses know that protecting their employees against sickness and injury is essential. Group salary continuance insurance provides an attractive employee benefit and strengthens the relationship between company and employee. This helps you attract and retain top talent, improves staff morale, increases productivity
and loyalty, all of which ensures that your company's competitiveness is maintained.

Group salary continuance insurance is an essential risk mitigation strategy because it:

• Provides support in meeting your obligations under workplace and anti-discrimination laws
• Covers your employees for both at-work and outside-of-work events
• Supports employees who may have exhausted the entirety of their sick leave benefits, but are unable to return to work at their contracted capacity
• Maintaining the first right to rehire for key staff
• Reducing the incidence of the legal actions against the company when an employee is terminated due to injury or illness.

What Does Group Salary Continuance Insurance Cover?

Group Income Protection Insurance gives employees access to insurance that may otherwise be unobtainable. Many Australians are excluded from life insurance or income protection due to pre-existing medical conditions.

If an employee becomes ill and has exhausted their sick leave, group income protection insurance can provide an ongoing salary, reducing pressure on the business and individual. And because the premiums are tax deductible and don’t usually attract Fringe Benefits Tax, it’s a cost-effective way to provide peace of mind.

Group life insurances are not a one-size-fits-all coverage plan – fortunately, your cover can be negotiated and customised to best suit the unique needs of you and your business.

How to Take Out Group Salary Continuance Insurance

Given the complex nature of group salary continuance insurance and life insurance products, we recommend seeking the guidance of qualified financial advisors before selecting a plan for your business.

As each type of group insurance offers different levels of coverage with varying advantages and disadvantages, BlueRock's insurance experts can help simplify the process of deciding what level of coverage is right for your unique needs and put you on the right track to securing the financial future of your employees.