An unsettling trend in insurance has recently become apparent. It is emerging that employers are being advised not to take out or renew group income protection insurance (GIP – also known as permanent health insurance), as such arrangements could create a conflict between the benefit provided by GIP and the freedom of the employer to manage his workforce.
The purpose of the GIP scheme is to ensure the employer’s ability to continue to pay an employee who is unable to work by reason of incapacity – which is not always a disability defined under the Disability Discrimination Act (DDA).
