FAMILIES of NHS heroes who die on the coronavirus frontline may have their benefits stopped if they claim on the virus insurance policy.
In April, Health Secretary Matt Hancock unveiled a fund which would give the workers’ families a £60k lump sum under the NHS and Social Care Coronavirus Life Assurance Scheme.
It was set up so that families who lose their loved ones due to Covid-19 aren’t left destitute.
But as the cash is treated as a form of income, they could lose their Universal Credit.
Under benefit rules, people who apply have their finances checked to make sure they’re not falsely claiming money from the government.
If your savings, or capital, is worth more than £16,000, then you aren’t eligible for Universal Credit.
People who’ve claimed from the Covid-19 scheme aren’t exempt from these checks, and the payment is “fully taken into account” when they’re being assessed for the benefit, the government said.
A total 135 claims have been made so far, with 30 receiving payments, 64 accepted and waiting to be paid and the rest are being processed or assessed.
No claims have been rejected yet.
More than 180 NHS workers and 130 social care workers had died after contracting Covid-19 earlier this year.
The government’s flagship benefit system is already designed to get people back into work but a string of serious issues with the system has actually left millions worse off.
That’s why HOAR has launched the Make Universal Credit Work campaign, calling for a number of changes that will benefit hard-up claimants.
As part of Universal Credit, there’s a taper rate which means that for every £1 that is earned, the payment reduces by 63 pence.
HOAR wants the taper rate to be slashed to 50p to help at least four million struggling families.