Temporary unemployment and group insurance – points of attention


The Belgian system of temporary unemployment is – as a result of the coronavirus pandemic – currently being used by more employers than ever before. It’s, however, essential to make sure there are no unintended consequences as a result of deploying temporary unemployment in the company.

Against that backdrop, it’s important to point out that group insurance policies generally disregard temporary unemployment in terms of old-age pension build-up, death and disability coverage, medical coverage etc.

Indeed, a period of temporary unemployment is a period of suspension of the employment agreement during which no salary is due and the payment of insurance premiums is normally suspended. Depending on the policy, this in turn could mean that coverage for death or disability is lost during the period of temporary unemployment. In order to avoid any adverse effects in this respect, you might consider making the necessary adjustments.

Do not hesitate to contact us should you need any assistance in this regard.