Sevren Registered Posts: 101 Dedicated contributor 🦉
A client has a policy that pays full pay for up to 10 working days of sickness and then stops at which point SSP should kick in - the only thing that I am not sure about is if the three qualifying days are included in the 10 days that the company have paid or whether it is from the cessation of full pay.

This is the first that I've come accross this sort of arrangment - with other customers its either all SSP or a longer company sick pay period - so many thanks for any guidance !


  • Melody
    Melody Registered Posts: 5 New contributor 🐸

    I would have thought that the 3 waiting days would be included in the 10 days of full pay that your client pays their employee. Otherwise they would not receive any money for the 3 qualifying days and then receive full pay for the 10 days after that. I think you will have to clarify this with the client but that is how I would deal with the matter.

    Hope this helps:001_smile:
  • Poodle
    Poodle Registered Posts: 711 Epic contributor 🐘
    Hi Severen,

    I have seen this before I thinks it's called a salary continuance plan and it's about the only benefit that a company can offer employees without it being a taxable benefit, plus the policy is deductable as a business expense. Its quite good really and the premium is linked to duration of salary continuance payments(the one I saw guaranteed full salary for 6 months ) average salary levels and employee's ages

    You should read the small print of the policy because the one I encountered only paid the differene between SSP and the normal salary payment guaranteed. With SSP being operated and recovered, or not, in the normal way.

  • Sevren
    Sevren Registered Posts: 101 Dedicated contributor 🦉
    Many thanks for response - it turns out that there is no policy or anything in place - it is just term of the employees contract that full pay will continue for first 10 days of sickness.

    In the meantime I have checked with HMRC and this is there response for anyoneelse that comes accross this :

    If an employee has passed the qualifying conditions for statutory sick pay, the SSP would start the qualifying day after the 3 waiting days had been served at the beginning of the sickness period.

    Effectively, SSP is being paid and all you are doing is topping up that amount to their full salary with the company sick pay.

    Many thanks again.
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