Group Life Insurance Plan – Features and Benefits to Know About

One of the most important things you can do for your employees is providing them financial protection against life’s uncertainties. A group life insurance policy helps financially secure your employees’ future and that of their families, in an affordable way.

Moreover, with the right insurance partner, you can get a scheme tailored to your company’s structure, needs and budget.

Basic Features of Group Life Insurance

1. Death Benefits

In case of an unfortunate event, the policy will provide a sum insured to your employees’ family members. This can also include accidental death benefits. You can decide on the sum insured, based on:

• Grade or designation
• Multiples of annual or monthly salary
• Fixed for all employees

2. Terminal Illness Benefit

A lump-sum amount will be paid out if your employee is diagnosed with a terminal illness. This can provide a financial cushion against loss of income and also help towards treatment expenses.

3. Permanent/Temporary Total/Partial Disability

If your employee suffers permanent or temporary disability, due to an accident or illness, resulting in loss of income, you can compensate their family through the policy. The policy can also cover the repatriation expenses for the employee, if required.

Benefits of Providing Group Life Insurance

Firstly, the right employee benefits can significantly enhance employee satisfaction and retention. With group life insurance, employees gain financial security, while the company pays the premium amount. The premium amount also tends to be lower than that for individual policies. Many companies also consider this as a great way to attract talent.

Further, the process is easy and quick, without the need for individual medical check-ups.

Consider a plan after proper research and comparison, so that you choose one that meets your organisation’s requirements. Also, check out the exclusions, if any, so that your employees don’t suffer or remain misinformed.