Even in a healthily growing economy –like the one we enjoy in the U.S. today– layoffs and business closures happen. In fact, in August 2018 alone, the information services sector lost 6,000 jobs, the retail industry lost 5,900, manufacturing lost 3,000, durable goods lost 4,000, and auto manufacturing lost 3,000. That’s more than just a list of numbers; it’s more than 20,000 Americans who found themselves unexpectedly out of work.
Though the Federal-State Unemployment Insurance Program provides unemployment benefits to eligible workers who are unemployed through no fault of their own, the amount received is rarely enough to fully cover one’s necessary monthly expenses. This is where job loss insurance, such as that offered by SafetyNet, a supplemental insurance company, can help unemployed workers make ends meet.
Helping Hard Working Americans
“Our mission is to help hard working Americans who suffer from financial insecurity,” Roshni Chowdhry, SafetyNet’s head of customer experience, recently told RewardExpert. “We do that with our innovative insurance policies that provide instant emergency funds to workers who face an unexpected income loss due to a layoff or injury.”
Initially launched in Wisconsin in 2016, SafetyNet has since expanded into Colorado, Georgia, Iowa, Michigan, Mississippi, Missouri, Oklahoma and South Carolina. The company plans to take its insurance products nationwide.
“We have to work with regulators to make sure we’re in compliance before we can launch in each new state,” Chowdhry explained. “But there is a lot of demand. We know that consumers struggle with savings and finances. We know that 80 percent of workers are living paycheck to paycheck and over 40 percent of Americans can’t come up with $400 to cover an emergency expense. We want to help those people.”
Protection in Case of Job Loss or Disability
4At its core, SafetyNet’s supplemental insurance policies protect workers in the event of an unforeseen job loss or disability. “We pay a lump sum cash benefit directly to customers if they lose their jobs through no fault of their own,” Chowdhry said.
Covered job loss events include layoff, business closing and job elimination. SafetyNet does not cover job loss for contract or temporary work, seasonal work, retirement or voluntary separation. Covered disability events include illnesses or injuries that prevent you from working at your job for more than 30 days. Disability due to normal pregnancy, drug or alcohol use, or elective surgery is excluded from coverage.
Each SafetyNet policy has a one-year term and a lifetime benefit limit. The lump sum payment can range from $1,500 to $9,000 depending on the policy you choose, while premiums range from $5 to $30 per month.
“Our goal is to bring to market a product that is sustainable, viable and fits the needs of our customers,” Chowdhry continued. “There are a lot of different variables that go into the pricing of an insurance product. We want to make sure that we keep our costs at the minimum so that we can give our customers more in return.”
Invest in Peace of Mind
If you’re interested in learning more about SafetyNet or want to purchase your own job loss insurance policy, you can do so at www.safetynet.com.
“Job loss and disability happen,” Chowdhry concluded. “Over 10 million Americans were laid off in the last half of 2017 alone and most employers are only required to give a 60-day notice for mass layoffs or a 30-day notice for business closures. Consumers are strapped for cash and people are living paycheck to paycheck. For the cost for what it is, SafetyNet is really a peace of mind that consumers can invest in.”