A redundancy settlement with employer & Private Income protection insurance claim &

bobthemoggie

Hi Folks,

I was/am working in England.

A few days ago, my employer suddenly informed me that I had been provisionally selected for redundancy.

They gave me 2 options- Option 1) To go through the standard Redundancy process

Or Option-2) to do a settlement agreement with slightly enhanced severance amount & PILON.

They put both of these options in email to me on the same date. and also there was a calendar invite for redundancy meetings later down the line.

I signed the Option-2 i.e. the Settlement.

It was a fast and very stressful process and happened fairly fast & after signing I realised that-from last couple of years, I myself from my pocket had subscribed to a Private Income protection insurance which covered sickness & Unemployment.

I managed to find out documentation of that private income protection insurance & found that it needs registration with New JSA style claim and an involuntary separation.

Now, I've signed the Settlement & as mentioned on settlement agreement, my employer will be providing standard reference, for any future employment. Although There's no explicit mention of redundancy in the settlement document, whereas it do mentions "..settlement amount inclusive of the statutory redundancy payment."

Will I be able to make a claim on my above-stated private income protection insurance?

Please advise. Cheers

Weighty1

It appear you have opted for voluntary redundancy and unemployment policies are designed to pay out on involuntary redundancy so, no, you would not be able to claim.

Obviously, if you have opted for option 1, the standard redundancy process you may not have been selected for redundancy and the insurance company would not have had to pay out. In this situation by selecting a voluntary settlement you are wanting to have your cake and eat it, so to speak.