Skill shortage predicted to boost group PMI…

Private medical insurance specialists are anticipating a boom for IFAs as companies turn to healthcare packages as a way to attract and retain key members of staff.

The trend could give IFAs an ideal opportunity to approach corporate clients about the various benefits available to their staff.

As the talent pool bec- omes stretched, PMI experts say offering employee benefits will be the key to success in attracting staff.

Standard Life Health Care says it is increasingly common for small and medium-sized firms to offer benefits.

PMI product designer Red Arc Assured managing director Richard Thomas believes offering benefits will become as common as in the US, where benefit packages are often as important as the salary offered.

He suggests this creates a new market for IFAs in the low commission world created by Isas and stakeholder. He says: “Offering a package of benefits is proving effective in attracting employees and retaining those already on the payroll.”

Standard Life Health Care public relations manager Gillian Gibbons says: “Offering benefits is a very important way to retain and attract staff. There has been a rise in companies offering private medical insurance as an employee benefit.”

Royal & Sun Alliance operations manager John Woolfenden says: “Employees have a fear the state will not provide for them and are looking for an employer who will provide the security of benefits.”