Guaranteed redundancies but not sure who yet - is this legitimate for cover?

anon234_2

Hi there

Some advice would be appreciated on this one. My company's currently undergoing restructing and there will be some redundancies over the next months. No more than 10 out of 200 employees. There's internal consultations going on for the 30 days but currently no decision has been made as to who will lose their job. Therefore my question is can I legitametly take out redundancy insurance since no decision has been made as to who will lose their jobs. Does company restructuring such as this invalidate the cover? Will the insurers contact HR to find out if redundancies were proposed at the time the cover was taken out?

Many thanks,

p00hsticks

Why not ask the insurance companies directly ? Better to get it from the horses mouth than have someone on this board advise you wrongly only to take out the insurance and then find it they refuse to pay out....

motorguy

anon234 wrote: »

Hi there

Some advice would be appreciated on this one. My company's currently undergoing restructing and there will be some redundancies over the next months. No more than 10 out of 200 employees. There's internal consultations going on for the 30 days but currently no decision has been made as to who will lose their job. Therefore my question is can I legitametly take out redundancy insurance since no decision has been made as to who will lose their jobs. Does company restructuring such as this invalidate the cover? Will the insurers contact HR to find out if redundancies were proposed at the time the cover was taken out?

Many thanks,

I would have thought its closing the gate after the horse has bolted. If the insurance company do any levels of checks - which they do if someone takes out insurance and then miraculously gets made redundant a month or two later including checking with your HR department - then they'll not pay out. And you can see their point to be honest.

Its maybe worth a try for the sake of a month or twos premiums but to me its unlikely.

Rockporkchop

Company restructuring might not invalidate the cover but it's not just restructuring if they have said that there will definitely be redundancies.

Even if you did find a company to insure you (which is unlikely) the majority of them have 90 day exclusion clauses so you probably wouldn't be covered by the time the redundancies happen anyway.

Hopefully you won't be one of the chosen redundancies and are worrying unnecessarily, fingers crossed.

jizadine

Spend your time on brushing up on your CV and looking for another job - Just in case! I ws made redundant in May 09 didn't have any insurance, wife was pregnant and we owned 3 houses(not through choice!) :eek:

Was very lucky to find another job by August 09. I spent every hour I could trying to find a job whilst on "garden leave" and I am now in a much better job with better opportunities and much nicer people to work with ;-)

J

anon234_2

Hi - many thanks for your responses. Twas what I thought....

Almost guaranteed now - letter through the post :-( This job was a good'un - gutted. Thanks again for helping me out. Cheers - Jon