Group Life Insurance

Group life insurance is a type of life insurance in which an entire group of people can be covered under one insurance contract. In most cases an employer provides group life insurance for it’s employees. In New York State an employer can establish a group life insurance plan with as little as two employees, while some states require more. Group life is commonly provided as a benefit for associations and Labor unions too. Group life is usually far less than individuals would have to pay on their own and has been traditionally been considered part of a complete benefits package. Benefits can be paid for by an employer or be purchased on a voluntary basis by the employee. Insurance medicals are not commonly requested except for very high amounts of insurance.

Advantages to the Employee

• Employee has the right to name and change beneficiaries at anytime.
• Accident death and dismemberment are usually provided.
• Coverage provided at low rates.
• Employee may be able to purchase additional insurance for spouse and children.
• Additional coverage provided at low rates.
• Base limits are provided on a guarantee issue basis.
• Remains in-force until retirement or employment is terminated.
• Policy can be converted to whole life or portable as group term life.

Advantages to the Employer

• Employee has the right to name and change beneficiaries at anytime.
• Attracts and retains current and new employees.
• Keeps employee morale high and provides a sense of security.
• Premiums are provided at low rates.
• Tax-deductible premiums.

Group life contracts vary between insurance companies. Be sure to review your contract before switching companies.

Please contact us for more information