New Vlerick research indicates that a majority significantly overestimates social security payments in case of long-term sick leave.
- Two employees out of three overestimate the social security payments they will receive during their first year of prolonged sick leave – many of them are unaware of benefit caps applying to those with higher income levels.
- Furthermore eight out of ten employees expect their inability to work will seriously impact their standard of living. One out of three even excepts financial hardship.
- An Income Protection insurance is therefore generally considered to be a very useful benefit. More than nine out of ten employees would strongly appreciate their employer offering such Income Protection insurance as part of their overall compensation package.
- Despite this clear demand only a minority of Belgian employers currently offers such insurance – less than 20% of the overall workforce has an Income Protection coverage in place.
Maternity leave, burn-out, serious illness or an accident … all potential causes of long-term sick leave. But what are the financial consequences? And what role should the employer play? In cooperation with AG Insurance the Brussels – Ghent Vlerick Business School recently investigated how private sector employees and non-statutory civil servants assess the risks associated with long-term sick-leave. Total reward expert, Professor Xavier Baeten looked into the personal experiences and expectations of employees with regard to long-term sick leave and what role they see for their employer. Read the full article.