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Business Travel Insurance Coverage on 1st Day
Benefits & Compensation
Business Travel Insurance Coverage on 1st Day
Exchange ideas about health plans, retirement, work/life benefits, and employee assistance.
I would like to learn more about best practices regarding travel insurance and coverage on the 1st day. We provide travel insurance coverage for our employees and we consider it a benefit. Our b
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Forums » Topic Forums » Benefits & Compensation » Business Travel Insurance Coverage on 1st Day
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Business Travel Insurance Coverage on 1st Day
posted at 11/6/2012 10:54 AM EST
on Workforce Management
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Posts: 2
First: 11/6/2012 Last: 11/7/2012 |
I would like to learn more about best practices regarding travel insurance and coverage on the 1st day. We provide travel insurance coverage for our employees and we consider it a benefit. Our benefits do not kick in until the employee has been with the company for 31 calendar days. The issue has come up in regards to mainly some of our sales force who travels for training on their first day with the company. Technically, they would not be covered on our travel insurance plan until their 31st day. |
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Re: Business Travel Insurance Coverage on 1st Day
posted at 11/6/2012 1:44 PM EST
on Workforce Management
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Posts: 144
First: 9/21/2011 Last: 2/8/2013 |
Have you asked your benefits broker/insurance carrier? To me they should be good sources of information. Can they even get you first day coverage? A lot of times the 30 day requirement has to do with the admin/paperwork time and making sure it gets to the carrier prior to any possible usage. Or it has to do with that and high turnover within the first 30 days. What does your turnover look like? And in the end it sometimes comes back to cost. |
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Re: Business Travel Insurance Coverage on 1st Day
posted at 11/6/2012 3:52 PM EST
on Workforce Management
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Posts: 174
First: 9/20/2011 Last: 2/11/2013 |
In Response to Business Travel Insurance Coverage on 1st Day: I would like to learn more about best practices regarding travel insurance and coverage on the 1st day. We provide travel insurance coverage for our employees and we consider it a benefit. Our benefits do not kick in until the employee has been with the company for 31 calendar days. The issue has come up in regards to mainly some of our sales force who travels for training on their first day with the company. Technically, they would not be covered on our travel insurance plan until their 31st day. Is this a common practice to provide this insurance as part of our benefits package and have it start with other benefits begin or is the trend to provide travel insurance on day 1? Thank you for any insight. Posted by kellyjohnson Business Travel Accident Insurance is underwritten differently than regular employee benefits insurance. It is more of a property and casualty product. Therefore the companies that underwrite this coverage understand that the employee is covered from the first day. The census is done retroactively and then the premiums are trued up. There are very few claims under this type of coverage and there are very specific rules as to what is covered or not covered. The company's prior history will establish the rate within the specific class of coverage. Country of travel and employee occupation will have the biggest impact on the rates. The carriers have thousands of data points based on experience and can set the rates with high accuracy based on that. Business travel deaths is likely the lowest cause of death for any employee. However having said all the above, if your carrier will not provide coverage for the first 30 days you can merely self insure this risk to give the employee and his/her family the peace of mind that they deserve. |
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Re: Business Travel Insurance Coverage on 1st Day
posted at 11/7/2012 1:15 PM EST
on Workforce Management
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Posts: 2
First: 11/6/2012 Last: 11/7/2012 |
Thank you both for your responses. I will have to get in touch with our insurance provider to see what our policy disctates on this as well. In addition, we have some sales reps who actually travel the day before (sunday) their first day of work to get to the training site for a monday start. Is it best practice to cover these employees with travel insurance even before they officially become an employee of the company? |
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Re: Business Travel Insurance Coverage on 1st Day
posted at 11/13/2012 7:01 AM EST
on Workforce Management
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Posts: 61
First: 10/2/2012 Last: 12/5/2012 |
They are in even lucky as in some companies that I know off, any kind of benefit wouldn't be usable for the employee until he is changed from new hire to regular employee. which can last up to even 6 months. |
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