ProtectionMay 29 2013

Launchpad: Healthcare trusts

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The Master Trust allows Axa PPP, rather than employers, to establish and administer the scheme through a specialist trust administration arm.

James Freeston, sales and marketing director at Axa PPP healthcare, said: “With all the advantages of a traditional healthcare trust without the distraction of setting up and managing the scheme, employers can secure the benefit of cost-effective healthcare treatment for ill or injured employees, which supports an early return to work and improved productivity.”

- Minimum benefit spend of £200,000 per annum

- Flexibility on benefits, underwriting and risk

- External legal advice provided by Pinsent Masons

Andrew Dawkins, director of Falkirk-based ARD Consultancy, said: “Why wouldn’t an employer want to pass over the trustee duties? So long as the administration goes according to plan and data input is done correctly, this system is reasonably foolproof.

“The only concern is what might happen to the workplace benefits market in general when auto-enrolment comes into play. Generally, advisers need to make sure employers understand the risks of cutting back protection packages, even if there is an affordability issue.”