With the phased launch of automatic enrolment due to begin in October, Canada Life have released a comprehensive guide outlining the effects auto-enrolment will have on group risk benefits and their approach to these changes.
The guide is split into two main sections. The first offers a detailed, jargon-free explanation of auto-enrolment, including what exactly it involves, when employers can expect to start the enrolment process (dependent on the number of PAYE employees in the business) and who will be eligible.
The second section takes the guide one step further by exploring the impact of automatic enrolment on group risk benefit provision, in which Canada Life sets out potential issues and their straightforward solutions. Default terms, a simple accounting process and certainty of cover are all laid out as part of the guide, as well as common FAQs.
Paul Avis, Sales and Marketing Director at Canada Life Group Insurance comments:
“The introduction of automatic enrolment may offer fantastic potential for the group risk market, as it provides advisers with the opportunity to explore the extension of risk benefit packages with their clients. We anticipate that, over the coming months, there will be a move away from pension-linked risk scheme membership towards all-employee provision.”
“As a result, it is vital that people are well informed about automatic enrolment and the consequent effects this may have on group risk benefits. Our guide is ideal for advisers to use in communicating necessary information to employers and their employees, many of whom will be experiencing the effect of automatic enrolment in the near future.”