Hiring a new company director is a major undertaking. It is crucial to find a director with the knowledge and skills your business needs to thrive. They will also be a key business leader, so it is vital that they can motivate others and have a personality that will fit well with the culture of your company. It can also help to find a director that will bring extensive contacts and networking opportunities to your business.
Finding the right director can be challenging, so it is vital that you offer the right incentives to attract the most qualified and talented individuals. Not only will you need to provide an excellent salary, but you will also need to show that yours is a business worth working with. Offering excellent benefits, including group life insurance, can help do just that.
What Is Group Life Insurance?
Group life insurance is a form of insurance that a company takes out to cover their employees in the event of their death. It is sometimes known as death in service insurance. You need to have at least three full-time employees to obtain group life insurance. These employees must fit the various eligibility criteria, including age, contract type and ability to work in the UK.
Unlike private life insurance, group life insurance is tax-deductible, meaning that it is cheaper for employees and that there is no tax on the pay-out. The level of pay-out can vary based on a range of factors, so it is essential to do your homework and find out the different levels of cover you could gain for your employees.
Providing Peace Of Mind
While death is not something we like to think about, it can still be hugely beneficial to our peace of mind to know that our families will be taken care of in the event of our death. This peace of mind is why group life insurance can be such a crucial employee benefit. Many of us have mortgages to pay, debts to wrap up, and children to help into adulthood.
Group life insurance can provide loved ones with two to four times an employee’s salary in the event of their death – in some cases, even more. This allows loves ones to pay for funerals and other expenses associated with death and have money aside to help with living costs.
Showing Employees They’re Valued
Being heard and valued is a critical way to ensure employees are happy in the workplace. Employee happiness can boost job satisfaction and, therefore, performance at work. Offering employees group insurance shows them you value them beyond the benefits they can provide to your business. It is quickly becoming recognised as one of the most valuable and valued employee benefits there is.
Boosting Your Reputation As A Company That Cares
Reputation is everything for a business. It is crucial that you cultivate a responsible company image that will boost your standing with customers and other companies. One essential way to do so is by ensuring that your company can be seen to be caring for your employees.
You can do this in many ways, and one of the best is by offering quality employee benefits. This will show that your business cares about more than profit – it cares about wellbeing of the people at its heart.
Saving On Tax Bills
Group life insurance is set up as a trust, meaning that the premiums are eligible for corporate tax relief. In addition, this means that any pay-out is also tax-free. This ensures that employees’ loved ones aren’t left with a sizeable inheritance tax bill.
Group life insurance is a win-win for both employees and employers. Employees won’t have to pay for life insurance premiums out of their post-tax earnings, meaning they receive more of their take-home pay than they would if buying private life insurance, and employers will see enhanced loyalty and retention.
Attracting The Best Talent
Competition is fierce among businesses for the best candidates. It is essential to do all you can to make your business an attractive place to work. Naturally, this includes an excellent salary, positive work culture and environment, and good career progression paths. Benefits like group life insurance are another crucial element to help attract the top talent to your business.
Improving Employee Health And Wellbeing
Group life insurance is about more than simply ensuring a pay-out after the death of an employee. Group life insurance offers a range of additional support that helps to improve the overall fitness and health of an employee.
This can include a digital GP service, help with nutrition and fitness, counselling and mental health support helplines, prescription services and physiotherapy. In addition, you can also find benefits such as discounts on high street shops. Get in touch with an industry leader in financial planning like Drewberry to learn more about the additional benefits you could receive for your team.
Boost Retention
Showing that you are invested in helping an employee or director’s loved ones should the worst happen can help inspire loyalty, improving retention. The loss of talented employees is a significant burden for businesses – not only do you lose the skills and insight of that employee, but the hiring process itself can be costly.
Offering a wide range of practical and valuable benefits can help ensure employees remain satisfied in their roles. Financial wellness is often one of the most crucial, as financial worries can be a significant cause of stress.
Enhancing Employee Financial Wellness
Aside from the physical wellbeing that group life insurance policies can provide, offering this insurance can help employees plan appropriately for the future and improve financial wellness. Financial benefits like insurance can encourage employees to consider their financial situation and what their loved ones will do after they’re gone. Improving employee financial wellness can prevent employee stress, enhancing productivity and efficiency significantly.
Going Above And Beyond
As mentioned earlier, going above and beyond can have a multitude of benefits for your business. It is crucial to strive to go the extra mile in every element of your business, whether it’s customer service, employee engagement or networking. Finding the best benefits possible, including the most advantageous group life insurance policy, can have boost your business reputation, employee and customer loyalty, and profitability.
Treating Your Employees Like Family
Should the worst happen, and a director or employee die while working for you, you will be able to help provide for their family. For many businesses, their employees are like a part of their extended family, so you can also benefit from the peace of mind that group life insurance can offer.
Final Thoughts
Group life insurance can bring a vast range of benefits to your employees and your business. Not only can it help to attract the most talented individuals to your doors, but it can also help retain them and boost the productivity levels of your existing employees.
Finding a new company director can be tough. It is vital to attract the right people to the role and ensure that you benefit from the expertise and skill of the best and brightest minds. You should think carefully about what you will offer to your employees. Put yourself in their shoes and consider the level of care you would want from an employer to find the best possible benefits.