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.
Glenn Laming, sales director for group protection said: "As a major player in the Group Income Protection market, we are constantly reviewing our proposition to ensure it's meeting the needs of businesses today. We have seen a demand for higher benefit levels and so we've responded."
L&G now manages to get two out of three people suffering from stress back to work within 12 months of starting to claim for benefit. Much of this success is due to early intervention and 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 long-term absences (those over four weeks) by the sixth week of absence. L&G has paid over £600,000 since the initiative was first introduced in 2006.
