WIA Excess Insurance

If your employee ends up in the WIA (Work and Income according to Labour Capacity Act) due to long-term disability, it has a major impact on his income. The employee's income may exceed the WIA wage limit. The WIA wage limit is the maximum amount on which the UWV bases WIA benefits. As an employer, you can take out WIA Excess insurance for your employees. This offers them a financial safety net if the employee becomes disabled and receives WIA benefits. At Alpina.nl , we explain all about WIA Excedent insurance.

What exactly is WIA?

WIA stands for Work and Income according to Labour Capacity Act. The moment your employee has been incapacitated for more than 2 years, he or she enters the disability law. Then the mandatory continuation of salary payment from the employer also stops. He will then receive WIA benefits from the UWV. There are two types of WIA benefit: WGA (Work resumption for partially disabled workers) and IVA (Income provision for fully disabled workers). The employee receives a WGA benefit if he is more than 35% disabled or an IVA benefit if he is completely and permanently disabled.

What is WIA Excedent insurance?

WIA Excedent insurance is a supplement to the statutory WIA benefit your employee receives if he is disabled for more than 2 years. This benefit covers the salary up to the then applicable excess threshold. Does your employee earn a salary above the WIA salary threshold or €100,000? Then you can take out WIA Excedent insurance to cover the loss of income from the amount above the WIA wage limit. WIA Excedent insurance supplements the income above the excess threshold. This is therefore the WIA wage limit or €100,00. The amount of the benefit depends on the degree of disability of your employee.

What is the difference between WIA Excedent insurance and WGA gap insurance?

There are several types of WIA insurance, including WIA Excedent insurance and WGA gap insurance. There is a difference between these two policies, though. WIA Excedent deals with the loss of income that occurs when your employee earns a salary above the WIA wage limit. So without WIA Excedent insurance, this part of the income is not insured.

There is a WGA gap when the employee receives the WGA continuation benefit, and in doing so, his total income falls below 70% of his insured annual wage. If a WHA gap occurs, it means that your employee's income drops significantly, by up to 30% of their former income. To protect your employee against this, as an employer you can take out WGA gap insurance.

What does WIA Excedent insurance cost?

The cost of WIA Excedent insurance depends on a number of factors, including:

• The type of business you have
• The age of your employees
• Your employees' wages
• The number of workers who have been previously disabled

So what WIA Excess insurance costs is different for each organization. Do you want to take out WIA Excess insurance, but are the costs too high? Then you can also offer the insurance collectively to your employees. They then decide for themselves whether they want to participate in the insurance or not. You can then choose to deduct (part of) the premium from the employee's salary. Moreover, the premium of a WIA Excess insurance is tax-deductible from income tax.

Why take out WIA Excedent insurance?

WIA Excedent insurance is a good supplement to maintain the income of a long-term sick employee. This way you reduce the chance of financial problems for your employee. With WIA Excedent insurance, wages are supplemented above the WIA wage limit. The amount of the benefit depends on the degree of disability of your employee. This is why WIA Excess insurance is a good fringe benefit. It allows your employee time to get better (if possible) without worrying about paying the bills. It is much seen as a sign of good employment practices. It also allows you as an employer to provide good absenteeism coverage for your disabled employee.

What are the benefits of WIA Excedent insurance?

Taking out WIA Excess insurance has benefits for both the employer and the employee. We have listed the benefits for you below:

• With WIA Excedent insurance, you prevent a major drop in income for your long-term disabled employee
• The insurer offers assistance in reintegrating your employee
• It is a good fringe benefit for your staff
• WIA insurance is often seen as a sign of being a good employer
• WIA Excess insurance premium is tax deductible

Take out WIA Excedent insurance? Request a free, no-obligation quote at Alpina.nl

At Alpina.nl , you can request a no-obligation quote for WIA Excedent insurance. Based on a number of details about your organization and your staff, we can give you an accurate quote. Do you have any questions about taking out WIA Excess insurance? If so, please be sure to contact us! Our insurance specialists will be happy to help you.