When changing jobs, one thing most people don’t consider are the ancillary or extra benefits they receive from their employer.  You find people remember the pension scheme, but forget this provides benefits other than just a pension in the distant future.  Many schemes also provide you with life insurance or disability income cover.

The majority of people will leave an employer on a Friday and then assuming they have a new job, will start with their new employer on the Monday, so what you may ask, is the problem with that? 

Well, if you leave your employer on a Friday you will also cease to be covered for those extra benefits on the Friday.  If you join your new employer on the Monday, or have week or more off between jobs, your new employer will not be covering you under their scheme until you join them and their scheme.  You could therefore have a period, a weekend or more, when you have no life insurance. 

If you have a car or household insurance you do not have the odd weekend where you stopped cover on a Friday, but don’t take out a new policy until the Monday, so why do this with your life assurance, where the financial future of your family could be at risk.

So, what can you do about it? Well there are two options. First option - take out some extra life assurance cover for a short period.  This is more likely if you are going to have some time off before starting your new job or if you can't join your new employer’s scheme immediately.  

Alternatively, do not hand in your notice and leave on a Friday!  There is nothing to say your last day should be a Friday, it’s just assumed to be the most convenient. 

Most people have a day or two of holiday to use, so use it wisely, keep one and arrange for your notice period to finish on the Monday, which you take as holiday.  Doing this you can still start your new job on the Monday and you will always be covered and you even have double cover on the Monday!

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