What is absenteeism insurance and why is it essential for employers?
As an employer, you want to take good care of your employees, but at the same time, you also need to protect your company against unexpected costs. One of the biggest risks is absenteeism due to illness. Did you know that as an employer in the Netherlands, are obliged to continue paying wages in the event of illness – for up to two years?
A absence insurance can help you with that. In this article, we explain what absenteeism insurance is, what it covers exactly, and why it's so important for employers—from freelancers with employees to SMEs.
What is absenteeism insurance?
Absenteeism insurance is an insurance that covers the costs when an employee becomes ill. You as an employer must provide assistance during the illness. minimum 70% of the salary Continued pay. Depending on salary and the duration of the absence, these costs can rise considerably.
With absenteeism insurance, you can cover this financial risk. You decide which portion of your salary you want to insure: 70%, 80%, or even 100%.
In addition, you can often insure additional services, such as occupational health and safety services or reintegration guidance.
Why take out absenteeism insurance?
Many employers wonder: why take out absenteeism insurance? The answer is simple: to avoid unexpectedly high costs.
Without insurance
- In case of long-term illness, you continue to pay your salary for up to 2 years.
- The costs can run into tens of thousands of euros.
- This can be a major financial blow, especially for small businesses.
With insurance
- You will be (partially) reimbursed for your wage costs.
- You receive support in the event of absenteeism and reintegration.
- You prevent your company from getting into trouble due to long-term absenteeism due to illness.
Who needs absenteeism insurance?
Absenteeism insurance is not legally required, but highly recommended. Especially for:
- SMEs with a small team – the absence of one employee has an immediate major impact.
- Self-employed persons with staff – unexpected wage costs can threaten the continuity of the company.
- Larger organizations – where the chance of multiple sick leave reports is greater.
In short: every employer who employs staff runs a risk.
The benefits at a glance
Absenteeism insurance offers more than just financial security:
- Protection against high wage costs in case of illness.
- Certainty for the continuity of your business.
- Support for reintegration and occupational health services.
- Preventing unexpected financial surprises.
Conclusion
A absence insurance is a smart choice for any employer. It not only helps you costs of long-term illness to bear, but also provides the right guidance and support. This allows you to focus on your business, while your employees receive the care they need.
Want to know which absence insurance policy best suits your company? At Bouvy Advies, we're happy to help you find the right approach for your business. appointment.