Voluntary Accident Insurance as an Employee Benefit
Voluntary accident insurance provides funds to pay for additional costs incurred from injuries. If you’ve ever seen an Aflac commercial—with the duck that keeps repeating the name of the product—you get the idea that supplemental insurance provides coverage for bills that your major medical plan doesn’t cover. You can see how this is an attractive option to catch the attention of top talent.
What else should you know?
- This coverage is an extra benefit. Supplemental insurance doesn’t take the place of workers’ compensation coverage or short- or long-term disability plans.
- The payouts can help cover household bills and replace missed wages.
- Cash benefits are paid for covered hospital stays, ambulance bills and other
treatments or services. - This benefit can include worldwide travel assistance for emergency medical, travel and pre-trip information services.
- The employee usually pays for 100% of the cost, but you can provide a company-paid policy as a supplemental insurance benefit. Employees can make premium payments through payroll deductions.
- Benefits can extend to sports accidents or emergency room treatments for employees and their dependents.
- Once covered, employees submit proof of out-of-pocket costs to the accident plan for reimbursement, up to the plan’s maximums.
- Many employees like that benefits are paid directly to them so they can use the money where it is needed.
- The benefits can be customized for your employees’ specific needs, catering to diverse vocations, stages of life, locations and lifestyles.
- Plans often have maximum dollar limits that they’ll pay. Some plans have maximum benefit caps that apply to certain services, including emergency room visits, urgent care visits and procedures such as stitches.
In the past, supplemental accident insurance was seen as a significant administrative expense that involved seeking out options, driving enrollment and dealing with payment of benefits. But companies may find that it’s a simpler process today. Voluntary worksite benefits can be offered via payroll deductions and cover therapies, surgeries and other costs associated with treatment or recovery from an injury. The injury or condition doesn’t have to be work-related for benefits to be paid out—indeed, you should remind employees this is not a form of workers’ compensation.
Great for employees
Voluntary accident insurance gives you an opportunity to offer employees coverage that pays for the out-of-pocket expenses that can result from an accident—and often apps make it easy to submit a claim on a 24/7 basis. And with group rates, the coverage can be made more affordable, especially if voluntarily obtained with payroll deductions.
See this benefit as a way to level the playing field for your business and show that you care about your employees’ well-being. Unexpected accidents can lead to financial strain and possibly a reduction in workplace productivity—accident insurance can provide a financial cushion. In a competitive job market, benefit options that offer increased protection can help improve employee satisfaction and become a key part of your employee recruitment strategy. Voluntary insurance offers flexibility for your employees to personalize their coverage to meet their needs. Your team members may see workplace benefits as more valuable today than before the pandemic because they provide another layer of protection.
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