Cash Back for Company Insurance

QUESTION

Dear all,

If an employee is entitled to A class ward, however she has decided to downgrade to B class ward. As a result there is a hospital cash allowance being paid out by the Insurer to the Company.

My question is whether the company should pay this hospital cash allowance to employee or since it is employee’s decision to downgrade, there is no need to pay this hospital cash allowance to the employee.

Appreciate your advice if your company has a similar case.

Thank you.

REPLY 1

Since the employee voluntarily downgrade his/her ward to a lower class ward, our company allows the employees to enjoy the hospital cash allowance paid out by the insurer i.e. we would hand the cheque from the Insurer to the employee.

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