Financial peace of mind for small business owners and their employees…made simple

Employees are the life blood of any business, so it makes sense to look after them.

Financial peace of mind for small business owners and their employees…made simple

Having a workplace pension in place helps your employees prepare for their future. But how about giving them and their loved ones the peace of mind that comes from knowing there’ll be financial help should the worst happen?

Why is life insurance a good addition to your employee benefits package?

As an employer, you want the best for your employees, and that includes lessening their everyday stresses and worries.

A life insurance policy does just that, helping your employees rest easy knowing that their loved ones will have some financial support if they die during the policy term.

It’s a positive addition to an employee benefits package for all concerned

Expanding your employee benefits package to include financial protection for your employees is good business sense as well as being good for your employees.

  • It shows how your company values and recognises your people as a key asset.
  • It helps your business stand out from the crowd, working to both attract and retain staff.
  • It gives your employees and their loved ones financial peace of mind.
  • It doesn’t cost your employees anything and isn’t usually classed as a Benefit in Kind for tax purposes.
  • It is written under Trust so the lump sum doesn’t usually form part of the employee’s estate, meaning that payment is normally tax-free and not subject to Inheritance Tax.
  • The premiums you pay normally qualify as an allowable business expense.

Adding a life insurance policy to your benefits package highlights just how much you value your staff and their impact on your business.

It doesn’t have to be expensive

Small business owners may think that adding life insurance for their workforce would be out of the question because of the cost, but that doesn’t have to be the case.

At Aviva, we offer all our Aviva Workplace Pension customers the chance to add our Simple Group Life Insurance for only £7 a month for each employee. In other words, if you have 10 employees, it will cost you £70 a month to give them life insurance, adding up to a yearly amount of £840.

The premium is a fixed cost, so it will only change when your head count changes, meaning you can provide essential protection cover without breaking the bank.

Get cover without a fuss

We’ve designed our Simple Group Life cover to be quick and easy to set up. Here’s what it offers:

  • it pays out a lump sum of £50,000 to the employee’s spouse, partner and/or dependants if the employee dies while the policy is in force
  • it can provide cover for up to 99 employees who are enrolled in an Aviva Workplace Pension
  • employees will be covered until they leave the company or reach State Pension Age
  • there are no medicals to worry about; the employee simply needs to meet our actively at work requirement on the day they join the scheme.

The author is Simon Candy, group protection propositions manager at Aviva.

This article is sponsored by Aviva.

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