Group pension schemes

What is a company pension scheme?

Group pension schemes consist of several levels that complement each other. They allow policyholders to protect themselves against life's risks: death, temporary incapacity, disability and dependency.

The compulsory minimum schemes, organized by national collective agreements, and the cover offered under company group contracts represent a necessary addition to the social security system, whose benefits are insufficient to ensure the financial security of employees and their beneficiaries.

Thanks to its expertise and knowledge of the insurance market, the Roederer Group can offer you comprehensive support in selecting a group insurance contract.

Is it compulsory to set up a group insurance scheme?

In the majority of cases, it is not compulsory to set up a company pension scheme. However, there are some exceptions:

• A company pension scheme is compulsory for professional and managerial staff (ANI 2017, collective agreement for professional and managerial staff of 1947).
• Some branch agreements may provide for compulsory group benefit insurance for non-executives.

Finally, the company directors can impose a group benefit insurance contract by means of a referendum, company agreement or UED (Unilateral Employer's Decision). As a fundamental social policy tool, setting up a group benefit insurance is a significant advantage for employees (and for companies!).

What does a group benefit insurance scheme cover?

The group benefit insurance contract taken out by the company enables employees and their families to be protected against the hazards of life.

• In the event of the death of the insured: this cover ensures the payment of an income to the relatives of the deceased insured. It can take several forms: lump-sum death benefit, accidental death benefit, spouse's pension, education pension or funeral expenses coverage.
   
• In the event of work stoppage: this cover is intended to supplement the daily allowances paid by the Social Security. These benefits are paid at the end of a contractually defined deductible period, taking into account the contractual and legal obligations (monthly payment, local law) applied within the company.
   
• In the event of disability: the guarantees aim to supplement the payment of the Social Security disability pension, the level of which is determined by the category of disability adopted in the basic scheme.

Specialized in preventive health insurance for professionals, our experts can advise you on the cover that will provide optimum protection for your employees.

Dependency risk and long-term care insurance

In the general sense, dependent people are adults who depend on another person for daily life activities (washing, dressing, shopping, taking medication).

The Aggir (Autonomie Gérontologie Groupe Iso-Ressources) national evaluation grid is used to define the degree of dependence, the degree of loss of autonomy or the degree of physical and/or psychological dependence.

There is still no compulsory supplementary scheme for dependency. Long-term care insurance offers that companies can put in place for their employees support employees and their families in meeting the significant expenses associated with loss of independence. The company pension scheme thus provides a concrete response to an increasingly strong expectation from employees faced with the risk of dependency of their ascendants, administrative assistance and psychological support.

The social security regime for company managers (GSC)

This cover is part of protection of the executive. It is insurance cover against the risk of involuntary loss of employment and allows managers to have, under certain conditions, an income that can represent up to 70% of the professional tax income for a maximum period of 24 months.

Depending on the status of the company, the persons concerned are the following:

• SA – CEOs, MDs, management board members, senior managers whether or not they are directors;
• SAS – the Management Board Chairperson, the statutory officer;
• SARL – majority or equal shareholding manager;
• Other legal forms – artisans registered in the trade register, traders, sole proprietors, managers of civil companies.

Before taking out this type of contract as part of a company pension scheme, it is necessary to ensure that the company:

• Is registered with a trade union that is itself a member of the GSC association;
• Is registered in the trade register or in the employment repertoire;
• Is not in financial difficulty at the time of joining.

It is also necessary to ensure that the manager is under 58 years of age, does not hold a disability pension of 65% or more and does not hold a retirement pension for the activity covered by the CSG.

Taking advantage of the support of one of the Roederer Group's health insurance experts means leaving nothing to chance. Our expert will carry out a complete audit of your situation and your needs to offer you an appropriate group insurance contract that complies with the legislation.