Research carried out on risk clients database by Punter Southall Health & Protection, one of the UK’s leading health and protection advisers, suggests that the life assurance benefits for workers in the retail, leisure and hotel sectors are the lowest in the UK.
On average workers in these sectors receive just £45,000, compared with those employed in roles with professional qualifications, such as banking, who get on average £232,000.
|Occupation||Average life assurance||Average cost per annum|
|Other white collar||£140,000||£125|
When it comes to group income protection (GIP) benefits, those employed in the retail, leisure and hotel sectors are also at a disadvantage to those in professional services, receiving benefits based on lower average salaries as shown in the table below.
|Occupation||Average salary per annum||Average cost of GIP per employee|
|Other white collar||£40,000||£140|
However, whereas the life assurance benefits for those in the retail, leisure and hotel sectors were lower than any other sector, for Group Income Protection (GIP) they appear to be better paid than those in manufacturing and in the “other white collar” group.
“This seems counterintuitive,” says Punter Southall Health & Protection consultant Paul White. “The explanation for this is that while life assurance is reasonably customary as a benefit for all sectors, GIP is reasonably common in the white collar and professional categories. However in the retail, leisure and hotel sectors, where it exists, it tends to be limited to senior managers and above. The same is true in the manufacturing sector, but to a lesser extent.”