Care workers to get payout for coronavirus-related death from frontline work

Care workers in England can benefit from a life assurance scheme that entitles their families to a payout if they die of coronavirus contracted from working during the pandemic.

The government has extended a scheme set up in April initially for health workers in the NHS and independent sector, to enable all social care staff to be eligible for the scheme, regardless of whether they work for publicly-funded care providers.

Payouts of £60,000 will be made to the estate of ‘eligible’ workers who die from COVID-19, ‘contracted during their frontline essential work’.

The NHS and Social Care Coronavirus Life Assurance Scheme ‘covers staff who provide hands-on personal care for people who have contracted coronavirus or who work in health or social care settings where the virus is present’.

Death in service scheme recognises 'increased risk faced by staff'

The government stated ‘the scheme recognises the increased risk faced by staff during the crisis’.

Martin Green, chief executive of Care England, which represents independent care providers said: “Unfortunately this pandemic has taken the lives of many of our wonderful care staff.

“Care England wants to acknowledge the Government for making this scheme available to all care workers.

"This is a tangible way in which they have shown that they see health and social care as to interdependent systems, and they recognise the value of all health and care staff in whatever place they work.

“Care England welcomes the fact that CQC registered providers are eligible regardless of whether they are publicly funded or not”.

Care workers' families exempt from inheritance tax

The families of care workers who have died as a result of contracting COVID-19 during frontline work, are to be exempt from inheritance tax, the government has also announced.

The legislation was initially created for emergency services and serving military personnel but has now been extended to include care workers, in recognition of their frontline work during the COVID-19 outbreak.

Inheritance tax is charged at 40 per cent on estates valued at over £325,000 or £650,000 for a married couple.

Many care workers are low paid and have estates that may fall outside of inheritance thresholds but the announcement from HMRC has been welcomed by the care sector.