Nick Homer, group protection manager of Zurich UK Life, says he is open to discussions around automatic enrolment for group income protection but would rather see tax advantages for employers who offer the benefit.
In the latest FTAdviser video interview, Zurich’s Mr Homer said he would rather see “a carrot more than a stick” used to increase take-up of group income protection plans.
Speaking to Money Management’s Jon Cudby, Mr Homer said tax incentives or simplifying the way private provision works with state support would boost take-up of group income protection.
He said: “The government recognises the important role that income protection plays and (the need to) help the industry promote it more widely by improving interaction with the state system and making sure people are not penalised for where they put provision in place.
“Not only is group income protection good for employees and employers, but is good for the government.
“It (GIP) helps the welfare budget and of course when people are retained in work that contributes positively to the economy.
“We think the government should look to support and incentivise.”
emma.hughes@ft.com
