As a company manager or senior manager you have probably asked yourself this question: what insurance should I take out in my company for my employees?
Check out this guide to all the types of employee insurance you may need and it will become clearer to you.
Read on to find out more!
Types of insurance for employees and workers
Its function is to protect against the consequences of a bodily injury derived from a violent, sudden, external cause beyond the control of the insured, in this case an employee of the company, and which results in Temporary or Permanent Disability or Death.
In addition to this coverage, it is possible to include additional capital for Absolute Disability or Traffic Accidents and Health Care.
The Accident Insurance will allow to contract relatively high insured sums in order to compensate the beneficiaries, the employee himself or his heirs, of the unfavourable economic situations derived from the accident, its sequels and the possible expenses of cure.
This type of group health insurance guarantees the employees of a company to be covered in terms of health, guaranteeing them both primary and specialised care (either through a medical insurance product or reimbursement of expenses) in addition to the rest of the usual coverage provided by an individual health insurance.
These are types of insurance for employees that guarantee financial support for workers and their families in the event of death (widowhood and orphanhood), as well as permanent disability, retirement and dependency.
Savings and retirement insurance
Pension plans and flexible remuneration schemes can be taken out or set up for the benefit of employees and can help them to save money for when they need it most.
There are also savings insurances, which allow the employer to set up a salary – additional and deferred – in favour of a specific employee based on performance and seniority; or early retirement insurances, which minimise the complicated economic situation that can result from the employee’s departure.
There are exclusive disability insurance policies, which are less comprehensive than life insurance, as they guarantee a response to a smaller number of cases; death insurance for employees; sickness insurance and subsidies, which help to compensate for loss of income or increased expenses caused by temporary disability or hospitalisation due to illness or accident.
You also have at your disposal travel insurance, which covers employees in the event of travel abroad, and a multitude of specific insurances depending on the professional activity carried out by each company, offering both national and international coverage if appropriate.
Compulsory insurance for employees
All companies that have workers affiliated to the Social Security and the Collective Agreement to which they are affiliated so indicates, are obliged to take out a collective accident insurance policy for their employees.
This must include the coverage indicated in the agreement itself, and usually covers the risks of death or permanent disability, whether or not arising from accidents at work, and even common or professional illnesses.
Some collective agreements also include the obligation to subscribe to the so-called Employer’s CR. It is highly recommended to take out this cover in addition to accident insurance in the case of hazardous activities to avoid subsequent problems and to offer greater security to workers in the event of an accident.
Insurance by type of worker
Insurance for trade employees
In addition to trade insurance for the self-employed and SMEs, which is extremely useful, there are also products designed to protect workers in this sector, which has millions of businesses in Spain.
Insurance for household employees
Although there are no specific products for this type of group, it is always possible to take out accident or health insurance to suit household workers, whose type of work and work environment (as well as their proximity to the owner of a home and their family and belongings) have specific characteristics that require the insurance to cover one or the other.
There are dozens of sector-specific insurances, even allowing for multi-risk coverage: services, transport, electronics, construction, jewelry shops… as well as millions of workers in each of these professional fields.
In each case, as an employer, you need to find out which insurance policies are essential to take out and, for your employees, what specific risks they may run and what basic needs should be covered to protect and support your staff depending on the work they do and the sector in which they operate.
What to consider when taking out employee insurance?
First and foremost, we need to do a thorough job of gathering clear and accurate information about which insurance policies are mandatory.
Then, depending on the sector in which the company carries out its work, the collective agreement that has been signed, the particularities of the work to be carried out and the number and characteristics of the employees that form part of the company (in addition to other fundamental factors such as the economic muscle of our firm and our priorities and particular point of view as an employer), decide whether it is advisable or dispensable to take out other insurance products that cover our company or our workers.
Can I take out temporary insurance for workers?
There are temporary insurance policies for workers, whether or not they are renewable.
They can be applied in the event that employees take part in a certain event with particular characteristics, need to travel or carry out work for a period of time that is different from that which is normally carried out in their company.
Another case is that of temporary workers or those who have signed a contract for work or service, who must be covered by a permanent insurance that covers them during the time they are carrying out their work.
How much does employee insurance cost?
The cost of insurance for company employees will depend very much on the product that is contracted, the coverage available, the size of the workforce, the professional sector that is covered, etc…
So this question has a very open answer. However, group insurance tends to be competitively priced, and becomes proportionally cheaper as more staff are included.
In addition, employers who take out group insurance policies have easy access to information on the options offered by insurers with regard to group insurance and a wide margin for personalisation of the product they decide to take out.