As the cost of living crisis continues to bite, more and more companies are providing group insurance policies that protect their employees and help lure the best talent. Two of the most common types are Group Income Protection and Group Health Insurance. Both are highly sought-after employee benefits, but they do quite distinct things from each other. So what are the key differences between Group Income Protection and Group Health Insurance? Read on as we answer that question, and explain how employers can benefit from providing both of them at once.DefinitionsGroup Income Protection covers employees who are unable to work due to illness or injury. When the worst happens, this policy pays out a portion of the employee's salary until they return to work. Rehabilitation services are also often included to help employees transition back to work.Group Health Insurance, meanwhile, is a policy that helps employees pay for medical expenses when they need it. It typically covers a wide range of health needs, such as preventive care (such as annual check-ups, vaccinations, and screenings), treatments, medications, doctor visits, hospital stays and surgeries. In the UK, health services are theoretically free to all citizens via the NHS, but in practice waiting times can be long. This is one of the reasons more companies are investing in Group Health Insurance right now. Rather than the NHS, Group Health Insurance services are typically provided by a network of private healthcare providers, speeding up the process of everything from seeing a doctor to getting surgery considerably. This is to the advantage of both the employee and the employer, as it helps reduce staff absence and turnover due to ill health.Key differencesIt's clear that there are a number of key primary differences between Group Income Protection and Group Health Insurance. Firstly, and most obviously, they differ in their purpose. Group Income Protection replaces income during periods of sickness and disability, while Group Health Insurance covers medical expenses for health-related issues. Secondly, they differ in their duration. Group Health Insurance provides ongoing coverage for medical expenses as they occur, whereas Group Income Protection can pay out over the longterm — in some cases, even up to retirement age. Thirdly, they differ in the type of payout received. Group Income Protection provides regular income payments as long as the employee is unable to work due to sickness or injury. Group Health Insurance, in contrast, provides only payments or reimbursement for specific medical services.Why they're complementaryAlthough these two types of insurance are very different from each other, they are not mutually exclusive. In fact, employers will see many benefits in providing both. A combination of Group Income Protection and Group Health Insurance means that staff will be comprehensively protected against the worst happening. This kind of package will prove highly sought-after amongst potential recruits, helping a business attract the best people. It also encourages staff to feel they're looked after and cared for, engendering loyalty and reducing turnover. Plus should employees suffer ill health, it will speed up their return to work, which is good for the company and the worker alike.More broadly, these policies provide peace of mind. Staff don't have to lie awake at night worrying what would happen should they fall ill or become disabled. And so this helps to promote good mental health and productivity in the workforce. (For more on this, read our article Group Income Protection and Mental Health.)ConclusionGroup Income Protection and Group Health Insurance serve different but complementary purposes, making their twin provision an essential part of any strong employee benefits package. Together, they mean that employees have few worries about paying either medical expenses or general bills during extended periods of absence. This adds up to a comprehensive safety net that can help attract and retain talented employees while providing crucial support to both staff and the broader business at times of personal crisis.