Group Life Insurance: Everything You Need to Know
Insurance is a very important part of every individual’s life. It is a protection against future mishaps and an assurance against accidents that may or may not happen in the future. As a result of continuous development in the field and companies realizing the importance of providing more affordable schemes, group life insurance is one such scheme.
A group life insurance provides insurance to a large group of people, usually the employees of a company where the employer is the policyholder. The group life insurance provides a little less coverage than other life insurances because of it being almost free. If the employee accepts the group life insurance, a small amount may be deducted from his or her pay check, depending on the policy.
What are the Benefits Of Group Life Insurance?
Yearly Rewards – If the employee has worked with the company for a few years, he or she is entailed to certain rewards and bonuses. This is because the employer can build up funds from the regular collection of premiums.
Financial Security – The employee receives the benefits of the life insurance plan once he or she retires from the job. This is extremely beneficial in case the employee wants to save for the retirement phase of his life.
Term Policy – This is a very crucial part of the group insurance policy. If unfortunately, the assured dies before the completion of the term plan, the sum assured amount is paid to the nominee of the assurer.
Professional Fund Management – The collected premium and the group insurance policy is handled by seasoned professionals. The employee won’t have to worry about the mismanagement of funds as they are in trusted hands.
Affordable Premium Payment – The premium amount of the assured may be decided as a small percentage of their salary. So, the employee doesn’t have to go out of their way to pay the premium as it deducted monthly from their pay check.