Did you know that roughly one out of three employees will need to take extended time off from work at some point in their career? Currently, there are over 500,000 cases of long-term sick leave in Belgium. Just over a third of them can be attributed to psycho-social disorders such as burnout syndrome and depression. In twenty years, this represents an increase of 163% in disability cases and more than 40% in mental health conditions.
In light of this alarming trend, it has become all the more important to invest in prevention and support for employees in order to minimise the impact of these long-term absences. One effective solution is to set up an income protection plan.
In this article:
Why offer this type of insurance?
With AG's Income Care income protection insurance, you can protect your staff members from financial strain if they are unable to work due to an illness or accident. This coverage pays out a monthly replacement income to top up the INAMI/RIZIV benefits, which are often too low to cover living expenses.
According to our benchmark study of 1,071 respondents, two out of three people overestimate the size of the replacement income they will get from the INAMI/RIZIV in Year One of their sick leave. With income protection insurance, they can maintain their standard of living and protect their loved ones from the consequences of financial difficulties.
On top of providing your staff members and their families with peace of mind, income protection insurance also indirectly reduces the costs associated with absenteeism. Employees who know they have a financial safety net are often more motivated and engaged at work. This leads to greater satisfaction and less staff turnover, plus savings on the costs of productivity, recruitment and training of interim staff.
This coverage is also a compelling argument when it comes to attracting talent. Statistics[i] show that among employees with access to 10 or more fringe benefits, 82% reported that they are thriving at their company versus only 58% for employees that only have between 1 and 4 benefits. Our study also shows that 90% of employees who are aware of how low the statutory benefits are would greatly welcome the opportunity to have income protection insurance.
Finally, let's not forget the tax benefits. Employer contributions to income protection plans are tax deductible, so you can reduce your tax bill while providing your staff members with an essential safety net.
[i] Survey by Mercer Marsh Benefits on fringe benefits
Income protection insurance explained: watch now
In this podcast with ZigZagHR, Sven Desmytter, Head of Sales at AG, guides you through the complex world of income protection insurance. He highlights some key findings from our benchmark study and makes this topic accessible to everyone with clear explanations and concrete examples. Don't miss this informative and engaging video!
Available only in Dutch.
What should you do if a staff member needs to take long-term sick leave?
If one of your staff members is unable to work, s/he should report the situation to AG as soon as possible once the waiting period has been served. This can easily be done by filling out a form available on our website.
Once the claim has been accepted, AG will start paying out the monthly replacement income after the pre-defined waiting period has been served, giving your staff member peace of mind during this challenging period.
To help guide your staff member through the different steps, you can share our explanatory brochure, available from your contact person. It contains all the necessary information to understand and take advantage of income protection coverage.
"How much will I collect?"
In addition to dealing with a difficult medical situation, uncertainty about income is a major source of stress for employees on long-term sick leave.
With this online calculator and the MyAG Employee Benefits app, your staff members can easily get an estimate of their income if ever they are off on long-term sick leave. Feel free to share this information with your staff.
"Return to Work" assistance programme
At AG, we do more than just provide financial coverage. Our Return to Work programme, included in our Income Care coverage, was designed to help your employees on sick leave for a mental disorder get back to work up to three times faster.
You can choose to work with one of our five independent care partners. The programme provides individually-tailored support, maximising the chances of a safe, successful return to work.
And it works! 70% of all participants managed to go back to work after completing the assistance programme. For a part-time return to work, allow (on average) just under five months of assistance. 80% returned to their original employer and 90% were relapse-free in the six months following their participation in the programme.
More information about Return to Work? Click here.
Watch this glowing testimonial from a programme participant to get an idea of what's included in our return-to-work programme.
Other health services included in our offer
To provide more mental health support, your staff members also get unlimited access to My Mind in the MyAG Employee Benefits app, free of charge.
This health service helps your staff members take care of their mental well-being via self-learning programmes, personalised recommendations and a 24/7 helpline for questions or emergency mental well-being needs.
Automatically included free of charge in our healthcare and supplementary pension plans, this little extra is useful not only in cases of long-term sick leave, but also as a preventive measure to maintain positive mental health.
How does your company measure up to the competition when it comes to the covers it provides?
See the complete results of our benchmark study on income protection insurance and compare your company with others in your sector.
Request your free copy of the white paper here.
Questions?
To find out more about our offers and how we can help you protect your employees, feel free to contact us.