Managing your business risk through employee benefits

Transcription

1 Corporate Solutions Managing your business risk through employee benefits

2 Contents Protecting your business and your employees Why benefits rather than salary? How we can help Why Origen Corporate Solutions? How much it will cost Already offer group risk benefits? Your key contacts Contact us We negotiate high value benefits at the right cost, providing solutions for you and your employees which are industry benchmarked and tailored to your business. We do the work, so you don t have to. 2

3 Protecting your business and your employees The best way to attract and retain high calibre employees is to offer a package of benefits that they value, on top of a competitive salary. Providing insured group risk benefits can also help you manage your business risk. If your company did not have an insured group risk package, would you have the ongoing cash flow to support a claim for long term-sickness, whilst also paying for additional employee cover. What is group risk? Group risk is an umbrella term used to describe employee benefits which are usually insured, such as: Life assurance This provides a tax-free lump sum, a taxable pension or both, payable on an employee s death while in service. Income protection This provides a continuing income for employees if illness or injury prevents them from working for a prolonged period or forces them to reduce their working hours. Critical illness cover This pays a tax-free lump sum to an employee on the diagnosis of one of a defined list of serious conditions or on undergoing certain surgical procedures. 23

4 Why benefits rather than salary? By choosing to provide group risk benefits you are also giving your employees the peace of mind that should the worst happen, they and their family will be financially secure. There are significant savings to be made by insuring your employees as a group rather than on an individual basis. It costs you less to provide these benefits for your employees than to give them the money to buy the benefits themselves. Insured group risk benefits also offer more than simply financial security. For example, income protection cover can include expert help to support your employees in their return to work. They also demonstrate your duty-of-care to your employees, and may be the deciding factor in retaining and attracting the best employees. DID YOU KNOW? Two in five UK employers have seen their sickness absence rates improve over the last 12 months. One in five said a key reason for this was health and wellness initiatives in place to support employees*. Source: GRiD 2015 Another benefit of providing group cover is that employees do not generally need to provide medical details before cover is granted, reducing your administrative burden and giving your employees the assurance of being protected from day one. In addition, if implemented correctly, group life assurance and group income protection policies are tax exempt for P11D purposes. 4

5 How we can help To provide you with an appropriate package at the best price, we follow a simple four-stage process. 1 We work with you to develop a specification of who you want covered and at what level of benefit. We will also discuss the best way to establish these benefits in order to maximise tax efficiency and advise on setting up a trust if required. 2 We then approach the group risk market to obtain the best quotations and terms for the cover you require and report back with our findings and recommendations. 3 4 On your approval we will approach the selected provider for specific terms and conditions. These may be subject to negotiation and any changes must be agreed by the insurer before the policy comes into force. Once everything is agreed, we will help you to complete all the necessary paperwork. We will undertake the ongoing administration of your group risk insurance policies to minimise the work you need to undertake. 5

6 Why Origen Corporate Solutions? We offer many aspects of employee benefits consultancy with national reach and the tenacity to produce tailor-made solutions that fit your needs. We concentrate on you, so you can concentrate on your business. There are unique benefits to working with us, and these include: Dedicated ongoing support We offer regular communication and follow strict internal processes to ensure we continually monitor your needs with annual renewal (dependent on size) and a group risk rate review every two years. We are flexible in how we charge for our group risk services and can operate on a fee or commission basis, whichever suits you best. Our small schemes deal provides a three year rate guarantee for under 100 lives including preferential terms. is actively involved in Government lobbying for the improvement of terms (e.g. removal of the default retirement age). We constantly liaise with insurers to obtain satisfactory outcomes for our clients. Our dedicated group risk consultants have a strong understanding of the absence claims cycle and can advise on claims management strategies to suit which may involve the assistance of the insurer and any other third parties involved (i.e. occupational health). DID YOU KNOW? We provide ongoing dedicated support to 200 small and medium sized corporate customers and a number of the largest organisations in the UK Over 350,000 private customers also retain Origen Financial Services as their adviser. We are members of the industry forum GRiD ( Group Risk Development ) and have been for six years. This group is an important tool for the future provision of this type of insurance and We have a best practice view on income protection claims which we follow stringently throughout the claims process and we expect all insurers to meet our requirements in this regard. 6

7 Origen Corporate Solutions is part of Origen Financial Services, one of the UK s leading financial advisers. Ongoing internal training and development is hugely important to us in maintaining the high standards that you will become accustomed to. That s why we invest significant resources in training and development to ensure that our consultants can become the best qualified in the industry. More about why we can provide the best advice on your group risk benefits package: We create an annual plan of risk management and compliance measures to ensure that the FCA principles, rules and guidance and our own compliance manual are adhered to. The plan includes a comprehensive programme of internal audit and quality assurance measures. We are multi-award winners: Adviser Firm of the Year Treating Customers Fairly at the FT s New Breed Adviser Awards, Best Training and Professional Development Firm at the Corporate Adviser Awards, and finalists for Best Corporate Adviser at the UK Money Marketing Financial Services Awards. We also offer Financial education services to employees of the UK s largest corporates including mid-career guidance, advice for senior executives, pre and at retirement seminars and bereavement counselling. Our list of clients is extensive. What clients say Thank you for your help in recommending Origen Corporate Solutions they have been fantastic Origen s approach was outstanding by comparison and have been an absolute a pleasure to work with. All our questions and worries were easily answered and we re now very much on the right track. We are certain to use their professional expertise in the future. Keith Mason, CEO, Motogb. 7

8 How much it will cost The cost will depend on how many employees are covered, the level and type of benefits provided and the demographic profile of your specific workforce. DID YOU KNOW? A staggering 131 million workdays were lost in 2013 due to sickness absence*. *Source: Office for National Statistics For example, it will cost more per head to insure a workforce of manual workers with an average age of 45, than desk-based employees all of whom are under 30. That is the nature of insurance, but to give you a rough guideline: Life assurance For a scheme offering a lump sum of 4x salary covering administrative workers, you should budget for approximately 1% of payroll Income protection For a benefit that continues to State Pension Age you should allow for approximately 1.5% of payroll; if payments cease after a specified number of years, this could be as little 0.5% of payroll Critical illness cover 50,000 of cover could be provided for approximately 0.25% of payroll 8

9 Already offer group risk benefits? It is important to review your group risk policies to make sure that the cover you are providing is still appropriate to your workforce and that you are getting the best deal. The group risk insurance market is very competitive and the best value provider one year may not be the next, just like any car or house insurance, its always best to shop around. So, if you ve had your policies in place for a number of years, it s time for a review. Our team will research the market on your behalf to help you obtain the best combination of value and service. 9

10 Your key contacts Steve Bond Head of Group Risk Direct: * stevebond@origencs.co.uk Experience Developing strategic and tactical plans with corporate clients Providing advice in the design of benefits for employee attraction and retention Representing Origen on GRiD (Group Risk Development industry forum) Providing technical expertise to the business Global benefit solutions Conducting forensic analysis and audits of employee benefits design (including T.U.P.E.) Benefits restructuring Professional qualifications Group Risk 1 - CII Financial Planning Certificate 1 Expertise Responsible for the management of Origen s Group Risk Team. Assists the business in delivering advice to employers regarding their group risk management. Risk benefits provision including group life assurance, income protection and critical illness with over twelve years dedicated experience in the field. Provides technical support to clients with scheme design, employee communication strategies and claims management. John Eynon Senior Corporate Relationship Manager Direct: * johneynon@origencs.co.uk Experience Developing strategic and tactical plans with corporate clients Engaging with corporate clients in the design of benefits for employee attraction and retention Implementing benefit structures ` and schemes for corporate clients Co-ordinating Origen s specialists for effective delivery of employee benefit solutions Maintaining strong client relationships through ongoing account management Providing global benefit solutions Conducting forensic analysis and audits of employee benefits design (including T.U.P.E.) Benefit restructuring Communicating topical employee benefit matters to HR and Finance professionals Principal resource for group risk solutions Delivering employee education Professional qualifications Financial Planning Certificate with an additional paper in Pensions Simplification Financial Adviser Certificate in Trustee Pensions Knowledge Expertise Responsible for the successful delivery of Origen s corporate clients proposition and ongoing maintenance of client relationships. Principal resource for group risk and in aligning benefits to meet clients objectives. Regular speaker on corporate topics. Mike Bardell Group Risk Consultant Direct: * mikebardell@origencs.co.uk Experience Developing strategic and tactical plans with corporate clients Engaging with corporate clients in the design of benefits for employee attraction and retention Maintaining strong client relationships through ongoing account management Providing global benefit solutions Conducting forensic analysis and audits of employee benefits design (including T.U.P.E.) Benefits restructuring Professional qualifications Group Risk 1 - CII RO5 Financial Protection Expertise Delivery of advice to employers regarding their group risk benefit provision including group life assurance, income protection and critical illness with over eight years dedicated experience in the field. Specialises in scheme design, employee communication strategies and claims management. *Calls cost 7p per minute, plus your phone company s access charge. All calls to Origen Financial Services Limited are recorded for business purposes. 10

11 Get in touch now Contact your Origen Corporate Solutions consultant today to review your group risk arrangements and ensure they are valued by your employees and boost your status as an employer. If you would like to discuss group risk benefits for your business, please contact your usual Origen Corporate Solutions consultant or our Client Liaison helpline on: * Lines are open Monday to Friday 8.30 am to 5.30pm, Monday to Friday or us on: clientliaison@origencs.co.uk *Calls cost 7p per minute, plus your phone company s access charge. All calls to Origen Financial Services Limited are recorded for business purposes. 11

12 Corporate Solutions Origen Corporate Solutions is a trading name used by Origen Financial Services Limited which is authorised and regulated by the Financial Conduct Authority. Registration number Registered office: Infor House, 1 Lakeside Road, Farnborough, Hampshire, GU14 6XP. CA7772 Exp 06/2016