Legal & General (L&G) has increased the maximum benefit on its Group Income Protection scheme from £300,000 to £350,000 for all new and switching schemes.
L&G has also removed the 35% of scheme earnings (up to a maximum of £50,000) restriction on pension contribution cover and replaced it with a maximum of £75,000.
Two out of three people suffering from stress now go back to work within 12 months of starting to claim, according to L&G. The insurer attributes this to employers being incentivised to notify L&G about all absences between the fourth and sixth week of absence by offering a 5% bonus.
To qualify, employers need to insure over 250 staff and notify L&G of at least 80% of absences over four weeks by the sixth week of absence. L&G has paid over £600,000 since the initiative was first introduced in 2006.
