Employers who offer their employees group risk benefits (employer-sponsored life assurance, group income protection and critical illness) saw 68% of their absentees return to work during 2025, according to new data compiled by GRiD, the industry body for the group risk sector.
Katharine Moxham, spokesperson for GRiD, said: “It is great to see just how much employers and employees benefit from the tangible and practical support from group risk benefits. Good work is good for people, and of course, employers need a present workforce to function, and our data shows just how much group risk supports this.”
Record payouts
In addition to supporting returns to work, financial support was provided to employees and their families protected by group risk benefits, at a record total value of £2.69bn in 2025, an increase of £96.7m compared to 2024.
Return to work
One of the most valuable aspects of group risk benefits is the embedded support that helps employees get back on their feet and back to work, including support for mental health, musculoskeletal issues and serious illness – some of the main reasons for absence.
During 2025, 5,590 employees who were absent due to ill-health were helped to return to work by the end of 2025.
Of these:
- 3,920 employees returned to work before a claim was made as a result of support provided by the insurer.
- 1,670 employees who made a claim on their group income protection (GIP) benefit during 2025 had returned to work by the end of the year.
Group risk insurers provided health and wellbeing interventions to nearly 8,300 employees in 2025, and made a total of 5,915 health and wellbeing interventions within 6 months of an employee’s first absence during 2025. Of these:
- Half (48%) were for mental illness
- 11% were for musculoskeletal issues
- 9% were for cancer
848 employees who became new GIP claimants during 2024 had returned to work by the end of 2025. This is in addition to the 1,739 employees that began claiming GIP benefits in 2024 that had returned to work by the end of 2024.
Katharine Moxham, spokesperson for GRiD continued: “A strong economy needs a strong and present workforce – hence the focus from government with initiatives such as the Keep Britain Working Review. Our new data shows again just how important group risk benefits are in supporting a strong economy, and employers who offer these benefits to their workforces are the winners.”
Total benefits paid across group risk products:
- Group life assurance policies paid out £1.8bn: an increase of £88.9m compared to 2024.
- Group income protection (GIP) policies paid £670.7m: a decrease of £3.8m compared to 2024.
- Group critical illness (GCI) policies paid out £190.8m: an increase of £11.6m compared to 2024.
The average new claim amounts (£143,436 for group life, £29,026 pa for group income protection, £77,098 for group critical illness) demonstrate how vital these benefits are to employees of all levels.
| Benefit | No. of claims | Value of claims paid | Average new claim amount |
| Group Life Assurance | 12,730 | £1,825,938,475 | £143,436 |
| Group Income Protection* | 17,403 | £670,652,227 | £29,026 pa** |
| Group Critical Illness | 2,475 | £190,818,009 | £77,098 |
| Total | 32,608 | £2,687,408,711 |
Total number of claims in payment (new and existing) as at 31 December 2025 and value of amounts paid out across 2025, including any claims paid for part of 2025. Group income protection claims are often paid for several or many years, so the ultimate value of these benefits will be much higher.
**During 2025 there were 7,920 new group income protection claims, totalling £229.9m pa and averaging £29,026 pa
Main cause of claim:
Cancer was the main cause of claim across all three products during 2025.
| Benefit | Main cause of new claims | % | Second main cause of new claims | % |
| Group Life Assurance | Cancer | 33% | Ischaemic Heart Disease | 15% |
| Group Income Protection | Cancer | 28% | Mental illness | 20% |
| Group Critical Illness | Cancer | 69% | Heart Attack | 9% |
Moxham continued: “Group risk benefits are some of the most popular benefits in the UK, with more and more employers offering them every year, and with data such as this, it’s easy to see why. The financial payouts from group risk benefits can be life-changing for employees and their families, at a time when they need it most.”
