In these financially troubling times, many employers are asking what the requirements are in terms of premium payments for their group risk benefits. They would have seen what some banks have done with “payment holidays” on debt and you may have received requests for something similar on employee benefit contributions, including group risk premiums.
After contacting our insurers, the situation at this time is that premiums are still due in order to ensure cover is in place. The insurers will continue to assess and pay claims and the premiums coming in are obviously required to sustain their ability to meet their obligations in terms of claim payments. It is also worth pointing out to your clients that their group risk premiums are relatively inexpensive compared to other contributions and many expenses, and the cover they are paying for is extremely important at this time.
There will be instances where cash flow is under extreme pressure though and employers are simply not able to meet their financial commitments. Under these circumstances, please contact us to discuss the options that your client’s insurer might be willing to consider for them in these unprecedented times.
Our thoughts and prayers are with all employers and employees at the moment. We will do all we can to ensure that their group risk benefits are efficiently administered and up to date so that should a claim arise, there will be no delays and the need will be met as quickly and effectively as possible.
Yours sincerely,
The TSA Team
