It is the responsibility of the employer to protect its employees. The employees being important part of the organization, the group personal accident cover helps in protecting the employees. The policy cover helps in covering the medical expenses and other compensation to the employees in case of any accident or injury and against other unfortunate events.
This also makes the organization look good, makes the existing employees feel that the management is concerned about their well-being and even helps in attracting potential talent to join the company.
Case for Benefits of Group Personal Accident Insurance
The PQR Ltd experienced a recent change in management. The old management was very particular about finances and believed that it is better to compensate the employees as and when they meet any mishap instead of spending money in group personal accident cover.
But, the new management does not agree with this point and sees investment in group personal accident cover as an assurance for the company. It prevented the company to incur huge monetary losses in case of any accident of any key employee as well as the employees were also happy with this move of the company.
By subscribing to this policy, the PQR Ltd benefited in many ways.
Mr. Shyam Kapoor, one of the key engineers of the company, met with an accident during routine maintenance of the machinery and broke his right arm. It was a sad moment for Shyam as well as the company. But, the good thing was Shyam was compensated sufficiently by the accident cover policy of the company. The company did not incur any monetary obligations to Shyam due to this event, and after few weeks of recovery Shyam was able to join the work back
Mr. Rajat Jain, the accountant of the company slipped in the office premises and broke his hip bone due to which he was advised for a bed rest for 12 weeks. All his medical bills were taken care by the insurance plan. Moreover, he was also paid a lump sum amount to compensate for the broken hip bone. Even though company faced the loss of work for which they hired a replacement temporarily, but there was no monetary loss to PQR Ltd.
The PQR Ltd. is the big organization with more than 500 employees working for them. Though, such accidents are not regular affairs for the company, the management decision to buy a group accident cover for the employees is a wise move to protect its employees as well as the company from paying huge compensations to the employees.
The insurance also helps the company retian its position as the most preferred employer in the industry and is able to retain much of the talent, apart from attracting new recruits.