Inflation rises, increasing costs and the economic climate are among the top concerns for SMEs, followed by recruiting and retaining employees, according to a latest study on group protection.
Research commissioned by Aviva in May 2024 surveyed 375 SME employers and 244 advisers, identifying concerns both sides have when it comes to comparing and considering group protection services and providers.
The importance of quality
The quality of protection policies is paramount for both employers and advisers. The research highlights that the value of the offering is equally, if not more, important. SMEs want to make sure they are getting the best quality policies for their money, with a focus on:
- Range of wellbeing services: The variety and quality of services offered by providers is a top consideration.
- Terms and conditions: These need to align with the specific needs of the business.
Delivering valuable services
The research also highlighted that SMEs want services that will genuinely help them, not just the basics. This could include wellbeing services, for small businesses without such structure in place, and legal services.
Employers want to support employees in the best ways possible. Not only for times when they need to call on the services, but also to highlight the benefits and support available when looking to attract or retain potential and current employees.
Standing out in a competitive job market
In a competitive job market small business owners feel they need to stand out from the crowd to attract talent. Part of the attraction, most employers agree, is the expectation of benefits alongside their salary.
The research concluded 57% of employees today expect to receive benefits such as death in service and other cover options to protect against loss of income or earnings.
Prioritising employee wellbeing
As well as recruitment and retention, SMEs cite employee benefits and wellbeing programmes as critical to keeping their workforce healthy and reducing absence (56%) and boosting productivity (50%). And just below half (48%) view it as being ‘the right thing to do’.
Turning to advisers
The research stresses the importance of advisers when making decisions about employee benefits for SMEs.
More than three quarters of employers had reviewed their employee benefits within the last 12 months, and of those employers:
- Almost half will turn to an adviser for group protection recommendations – it can be difficult for employers to know where to start
- Once bought, many employers value support from advisers with employee engagement and, in time-poor environments, providers can really help support with hubs, benefit fairs, account management and more
Offering value for employees
With Group Life seen as a basic requirement as part of an employee’s benefit package, Group Income Protection is one of the policies seen by SMEs as most important in offering value to their employees, and Group Critical Illness cover isn’t far behind. These feature in the top tier of perceived value alongside more obvious key benefits:
Top workplace benefits valued by employees:
- Flexible working
- Health insurance
- Income Protection
- Training and development programmes
- Health and wellbeing programmes
- Critical illness cover
- Enhanced holiday package
From an adviser’s perspective
The survey showed that wellbeing services, such as access to digital GP appointments, health checks and mental health support, rank highest amongst perceived needs for SMEs.
The good news is, Aviva’s got it covered
We understand the needs of your clients and you as an adviser, which is why we designed our group protection policies to fit businesses of all shapes and sizes.
Here’s how some of our many services could help your smaller clients:
- Annual fingerprick Health Check: Access to an at-home blood test that checks 20 different health markers, including cholesterol levels, liver and kidney health, and much more.
The annual Health Check is one several services available through the Aviva DigiCare+ Workplace app, provided by Square Health. It's available to employees insured under an Aviva Group Protection policy. This service is a non-contractual benefit Aviva can change or withdraw at any time. Terms and residency restrictions apply. - Early intervention and rehabilitation support: With our Group Income Protection cover, we can support your clients even before they need to take time off work. In 2023, 83% of employees we provided rehabilitation support returned to or remained at work.
- Committed to delivering support: We’ve paid more than £1.15bn in Group Protection claims over the last 3 years, on average that’s over £1m a day.
- No minimum premium: Making our services accessible to a wide range of businesses.
Here’s how we can help you
AGPOL, our end-to-end digital platform for SME business means you can now quote, renew, start rate reviews and view scheme history at the touch of a button.