Group Life Insurance provides coverage to a group of people such as employees of an organization or members of an association under a single contract.
These policies offer worldwide coverage on a 24-hour basis and provide broader protection than statutory workmen’s compensation policies.
A minimum of 10 members is typically required and all employees must be covered under the policy.
Members can be covered automatically up to a specified limit without medical underwriting.
Minimum entry age is 18 years and maximum entry age is 64 years.
Coverage applies between 18 and 65 years. Members aged 65-70 may be covered subject to policy terms.
Group life insurance provides financial protection to a group of people, usually employees of a company.
In the event of an employee’s death, the insurance policy pays a death benefit to the designated beneficiaries to support their financial needs.
Employers often provide group life insurance to attract and retain talent and to ensure financial security for employees’ families.
Group policies are usually more cost-effective than individual policies because the risk is spread across a larger group.